Cryptos play an important role in the functioning of Web3 gaming.

Cryptos play an important role in the functioning of Web3 games. They facilitate transactions, guarantee ownership of digital assets, and support new economic models.

Thanks to blockchain technology, players can securely buy, sell, or exchange virtual items. Each game uses specific cryptos to ensure its proper functioning. Some serve as governance tokens, while others enable the purchase of assets or the payment of transaction fees.

This article analyzes the main cryptocurrencies used in Web3 games. It explores their role, their integration into games, and their impact on the evolution of the video game sector.

Native cryptos of Web3 games

Some Web3 games develop their own cryptos to manage interactions between players and ensure the internal economy. These tokens allow for the purchase of items, governance, and rewarding participants.

Axie Infinity Shards (AXS) and Smooth Love Potion (SLP)

Axie Infinity is built on the Ethereum blockchain and offers an experience based on breeding and battling digital creatures called Axies. These creatures exist as non-fungible tokens (NFTs), ensuring their uniqueness and traceability. The Vietnamese studio Sky Mavis designed this game to combine entertainment with financial gains through a Play-to-Earn model.

Axie Infinity uses two essential cryptos for its operation:

* Axie Infinity Shards (AXS) are used for governance and provide voting rights on major game updates. They also allow participation in treasury management. AXS can be traded on crypto exchanges.

* Smooth Love Potion (SLP) is earned by completing daily quests and participating in battles in Axie Infinity. This token is used to breed new Axies, a process that consumes SLP and thus creates a demand for the token.

These cryptos directly influence the game’s economy. Players can exchange them on trading platforms to generate profits. This model has attracted thousands of users but also revealed limitations, particularly regarding the volatility of token prices.

Illuvium (ILV)

Illuvium is a role-playing game in an open world developed on the Ethereum blockchain. It integrates capture and combat mechanics similar to those found in classic genre games. Each creature, known as an Illuvial, has unique characteristics and is represented by an NFT. This system guarantees players true digital ownership of their creatures and equipment.

The ILV token plays a fundamental role in the game’s ecosystem. It serves several purposes:

* It powers the Illuvium economy and allows for the purchase of in-game assets.

* It serves as a governance token, granting members of the Illuvium community voting rights on critical game updates and modifications.

* It is used to reward members of the community who contribute to the development and improvement of the game.

Illuvium stands out for its ambition to offer a triple-A gaming experience on the blockchain. Its economic model is based on true decentralization, ensuring players have total control over their digital assets.

Cryptos of decentralized gaming platforms

Decentralized gaming platforms allow players to interact in virtual worlds based on blockchain technology. They provide true digital ownership and use specific cryptos for transactions and governance.

Decentraland (MANA)

Decentraland is a virtual reality platform operating on the Ethereum blockchain. It allows users to buy, sell, and build on virtual parcels of land in the form of NFTs. Each parcel belongs to its owner and can be developed according to their preferences.

This virtual world offers varied experiences, ranging from digital art galleries to virtual casinos, as well as social and commercial spaces. Major brands and tech companies are interested in Decentraland to develop immersive experiences and provide services in a decentralized environment.

The MANA is the native currency of Decentraland. It serves several essential functions:

* It is used for buying, selling, and trading virtual land, items, and other assets on the Decentraland marketplace.

* It allows participation in the platform’s governance by voting on proposals for modifications or updates.

* It is used for creating and deploying decentralized applications (dApps) within the Decentraland ecosystem.

MANA plays a central role in Decentraland’s virtual economy. It fosters the creation of a dynamic marketplace where each user can invest, trade, and monetize their content.

The Sandbox (SAND)

The Sandbox is a virtual world designed to allow players to create, own, and monetize their digital experiences. It relies on the Ethereum blockchain and uses NFTs to represent land, objects, and avatars.

The ecosystem encourages the creation of interactive content through tools like Game Maker and VoxEdit. These features allow for the design of customized games and environments. The Sandbox attracts brands and celebrities like Adidas and Snoop Dogg who leverage the metaverse to provide exclusive experiences.

The SAND is the main crypto of The Sandbox.