The myth about P2E Games You Should Know

The world of gaming has evolved drastically over the years. With the introduction of blockchain technology and its associated cryptocurrencies, a new genre called Play2Earn (P2E) games has emerged that offers players opportunities to own unique digital items and earn real money.

While many people are excited about these games, some myths surrounding them still need to be addressed. This article will discuss common misconceptions about P2E games so you can understand how they work.

What are P2E Games?

Play-to-earn (P2E) is a type of gaming model where players make in-game purchases using cryptocurrencies such as Bitcoin or Ethereum to acquire rare “non-fungible tokens” (NFTs). These NFTs can then be used within the game or sold on secondary markets in exchange for real money.

A key factor that sets these kinds of titles apart from classic video game experiences is that they have a built-in economic model which allows developers to create virtual economies inside their game worlds along with attractive incentive models designed throughout the gameplay experience.

Players can also use blockchain technology when interacting within certain aspects of the game, such as trading items, adding extra security features, and tamper-proof features.

This innovative concept has recently gained traction among gamers who want to use their skills and knowledge for monetary gain rather than just entertainment.

Myths About P2E Games and Their Realities

Discussed below are the misconceptions about P2E crypto games and their truth.

NFTs are Not Environmentally Friendly

One myth surrounding P2E games is that NFTs are not environmentally friendly because they require high computing power and large amounts of electricity which could lead to increased carbon emissions from miners’ computers.

However, this is only sometimes true; while it does take energy resources to create an NFT on the blockchain network, most major platforms use renewable sources such as solar energy more often than not when creating these tokens. This means they do less damage than traditional fiat currencies like US Dollars or British Pounds, which still rely heavily on fossil fuels for production and transportation.

They are Evil

Another misconception about play-to-earn games is that they encourage evil behavior from developers and players within the game experience by incentivizing them with tangible rewards based on unethical actions taken within virtual worlds.

While certain titles may exist whose business models focus primarily on exploiting users for profit margins, most legitimate crypto collectible titles involve honest interactions between all participants. It is done by mining resources, trading goods/services, or playing against opponents fairly without resorting to underhanded tactics. The key takeaway here should always remain: play fairly & ethically at all times, no matter what kind of game you choose to participate in.

They are Scams

One persistent myth regarding play-2-earn video titles revolves around scammy practices employed by malicious operators during transaction processes.

While it is possible due to the current lack of regulation, reputable organizations have gone to great lengths to ensure safe and secure experiences since its inception in 2017. Therefore major transactions involving believable developers/publishers should proceed smoothly without complications.

They Won’t Be Around for a Long Time

Another belief about NFTs games is that they won’t be around for very long due to the inherently volatile nature of cryptocurrencies and their associated price swings.

While it is true that the value of crypto can always change, the titles are designed in such a way that they are built to last. Many developers have been working hard to ensure their projects will remain viable even if market prices crash or fluctuate. They’ve done this by designing strong incentive structures and creating innovative gameplay mechanics; P2E gamers should expect these experiences to stay popular in the years ahead.

NFTs are Just Links

Another misconception about NFTs is that they are simply links or codes pointing towards a particular item within an ecosystem — this is not the case.

NFTs are pieces of digital property stored on a blockchain, meaning they can be transferred or sold to other people just like physical goods. As such, NFTs have intrinsic value and carry the same rights and protections as any other explicitly owned asset. This way, users can trade or exchange their tokens without fear of losing control over them entirely due to a third party holding onto it.

NFTs are a Type of Cryptocurrency

Despite what some may believe, non-fungible tokens (NFT) are not considered cryptocurrencies – at least in terms of how governments classify these assets for taxation purposes.

While crypto coins and NFTs use distributed ledger technology for transactions, the former relies solely on its blockchain platform. The latter involves interaction with existing platforms such as Ethereum EOS Tron. Each token isn’t backed by anything tangible outside the virtual world, making it less desirable from a traditional financial standpoint.

NFTs are Not Secure or Transparent

One common misconception about P2E games is that they aren’t secure or transparent enough to be trusted.

This couldn’t be farther from the truth; all transactions involving NFTs are stored on a blockchain and can easily be audited by anyone with access to the network. Besides, many of these games also use smart contracts, which provide additional layers of security and protection for players and ensure that funds are held securely in an immutable escrow account until both parties have completed their part in any given agreement.

NFTs Can Be Copied and Forged

One persistent fear about NFTs is that they can easily be copied or forged due to their digital nature; however, this isn’t necessarily true either.

Each token has its unique identifier embedded within its data, making it impossible to duplicate the exact item. Furthermore, several platforms, such as OpenSea, safeguard against potential fraud by offering integrated tools that allow users to verify the authenticity of a particular asset before finalizing purchases.

NFTs Encourage Money Laundering

The last common misconception about P2E games relates to money laundering. However, certain aspects associated with cryptocurrency make it easier for criminals to hide the sources of ill-gotten gains. Governments worldwide ensure that P2E won’t become a haven for criminal activity.

Moreover, most legitimate projects strongly emphasize Know Your Customer (KYC) policies asking users to prove their identity before conducting transactions disincentivizing anonymous accounts’ usage.

Final Thoughts

Play2Earn gaming experiences certainly aren’t perfect. Still, they present exciting opportunities for gamers to earn money simply by playing games, which wasn’t possible a few years ago. This is all thanks to advancements in blockchain technology combined with the creative minds of developers and publishers. So don’t let the fear of potential scams or money laundering stop you from getting involved in the exciting world of Play2Earn gaming.

None of the information on this website is investment or financial advice and does not necessarily reflect the views of CryptoMode or the author. CryptoMode is not responsible for any financial losses sustained by acting on information provided on this website by its authors or clients. Always conduct your research before making financial commitments, especially with third-party reviews, presales, and other opportunities.

Marcin Dragunov

A freelance writer covering many topics.

Published by
Marcin Dragunov

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