What Does NFT Mean and What’s the Deal with Gaming Cryptocurrency?
Get the Answers to These Questions Right Here on the Coinsquad Blog
The opportunities within the world of blockchain and cryptocurrency are limitless. In fact, we expect that over the coming decades, blockchain and crypto will be use in ways we can’t even imagine today. It’s a very exciting prospect. But as with everything related to crypto, it seems, the possibilities are difficult to conceptualize without the proper base-level knowledge of this industry. You may hear or read acronyms thrown about as if everyone should know what they mean – what does NFT mean, anyway? And you might hear about gaming cryptocurrencies like Enjin and rightly feel overwhelmed with it all.
This post will hopefully help to dispel a bit of that crypto-anxiety. Keep reading to get the info you need to better understand the exciting, yet confusing, world of crypto.
What Does NFT Mean?
The term NFT is getting bandied about more and more these days. Meaning “non-fungible tokens,” NFT is the acronym used to reference an exciting blockchain product that has the potential to transform the gaming industry, among others, and give real, tradable value to digital assets. We recently wrote a pretty easy to understand explanation of NFT’s in our last blog post: Why Invest in Cryptocurrency and Blockchain that uses Fortnite skins as an example of what type of assets can become tradable with a non-fungible token. Here’s another quick primer in case you missed it (though that last post is pretty good reading, so we recommend checking it out after this):
NFT’s are tokens with unique value depending on the digital asset they represent. This makes them different from cryptocurrency, which has the same value attached to each coin. To better understand this, it definitely helps to know the meaning of the word fungible.
From Investopedia: “Fungibility is the ability of a good or asset be interchanged with other individual goods or assets of the same type. Fungible assets simplify the exchange and trade processes, as fungibility implies equal value between the assets.”
Equally valued currency is fungible because one piece of currency (a US dollar, for example), can be switched out for another piece of currency (a different US dollar), and the value stays the same. On the other hand, a cryptographic token that is linked through blockchain to a particular digital asset is non-fungible, because the value of that token changes depending on what it is linked to.
The coolest part of non-fungible tokens is their ability to give tradable value to digital assets that were previously locked up in user accounts or were otherwise difficult to transfer. From concert tickets to gaming assets like the Fortnite skins, as described by OpenSea.io, NFT’s can revolutionize these assets’ “tradeability, liquidity and interoperability,” expanding the concept of ownership as it relates to digital assets to be closer to that of physical assets. E-books or song downloads, for example, are something one can own, but can’t sell or give to someone else in the same way that one could sell a paper book or CD. Theoretically, non-fungible tokens could change that.
What About Gaming Cryptocurrency in General and Enjin, in Particular? What does it have to do with NFT's?
Enjin cryptocurrency is the cryptocurrency for the Ethereum-built gaming platform of the same name. Enjin cryptocurrency can be used in the transactions of non-fungible tokens that exist within Enjin’s gaming realm. For example, imagine that in your favorite Enjin-backed game, you have a valuable weapon that you want to sell to someone else. This weapon can be linked to an NFT through blockchain and assigned monetary value, thus becoming a tradable asset. Another gamer can then buy that weapon from you using Enjin, with the blockchain platform providing the transactional pathway and smart contracts.
Gaming cryptocurrencies, like Enjin, open up digital assets to be traded or sold to other players, creating new economies that exist exclusively in the digital realm. Meanwhile, the worlds existing within a particular gaming platform can merge and expand into multiverses.
So, You Want to Buy Gaming Cryptocurrency, But Don't Know How? Coinsquad Can Help!
Enjin is one of many gaming cryptocurrencies currently in operation and the potential for gaming economies is still in its infancy. That means there are many potential pathways to exposure, and profit potential may be just getting started. If you’re interested in purchasing gaming cryptocurrency, but don’t know where to start, Coinsquad’s Intro-to-Crypto Starter Package can get you on track. We can help you set up the accounts and wallets you need to buy and sell gaming crypto of all types or Ether tokens, the cryptocurrency associated with Ethereum, which is the platform that many of these gaming cryptocurrencies are built upon. You do the research, decide what to buy, and we help you set up the tools.
The Intro-to-Crypto Starter Package
- Cryptocurrency Exchange Account Set Up
- Hot or Cold Wallet Set Up
- :15 Minute Screen-Share Tutorial on How to Buy and Sell Cryptocurrency
This package is designed to get you set up with everything you need to begin investing in cryptocurrency. Call 1-877-295-4008 to get the details!
Even if you’re not ready to invest yet, it pays to be prepared to make a move when the time is right by having your wallet and exchange set up and waiting.