What Are Play-To-Earn Crypto Games? Games Or Crypto?

Play-to-earn crypto games are games built on the blockchain that offer players rewards in the form of cryptocurrency, NFTs, tokens, or other crypto-based rewards. Typically, P2E crypto games require an initial purchase of cryptocurrency, or the acquisition of one or more tradeable Non-Fungible Tokens (NFTs). Players need a crypto wallet and may require an account with an exchange, to be able to play.

What Are P2E Games?

Play-To-Earn (P2E) games existed long before blockchain and cryptocurrency. In early examples, players earned real money, gift cards, or in-game currency that could be exchanged for cash or other prizes. Blockchain development has seen the evolution of these games, and they have become more prominent than ever.

Modern P2E crypto games are developed on the blockchain. Players take part in games and receive crypto-based rewards. Rewards can take the form of cryptocurrencies, NFTs, or tokens that are owned and retained by the player and can be sold on open marketplaces.

Rewards are given for time spent in the game, leveling up, reaching certain milestones, or beating opponents. The size and frequency of rewards can vary according to player level and other factors.

Benefits Of P2E Crypto Games

• Earn For Playing: Some gamers plow hundreds or even thousands of hours into their favorite titles. They might gain some recognition and a sense of satisfaction for beating the games, but very few manage to turn that time sink into monetary gain. P2E games offer players the chance to do exactly that – earn profit from their gaming efforts.
• Games Are Accessible: Typically, P2E games are available as mobile apps or via browsers. They are accessible. And, while some do require an initial investment, for example, to buy a selection of NFT trading cards or starter assets, many titles do not require any investment. According to some sources, there are as many as 3,000 P2E games available for play. Tap-to-earn are some of the simplest P2E titles, although this can mean limited enjoyment for some players.
• Players Keep In-Game Assets: The biggest benefit with play-to-earn blockchain games is that the player gets to keep all of their in-game assets, whether that’s cryptocurrencies or even NFTs. While NFTs often come in the form of tradable cards, they can include in-game assets such as player skins, weapons, and other collectibles. Whereas in mainstream video games, these in-game assets are owned by the game maker, they belong to the player in P2E games.

Challenges Of Play-To-Earn Games

• Emphasis Tends To Be On Earning: The onus with play-to-earn crypto games is on the earning, rather than the gaming, which can detract from the fun. A new rash of play-and-earn games, rather than play-TO-earn, attempts to redress this balance with gaming at the forefront.
• Can Require Investment To Start Playing: Although some P2E games are completely free to start playing, many do require an initial investment to buy starter items or pay for NFTs. This has led to some claims of titles being pay-to-win games.
• Additional Player Requirements: To enjoy P2E games, players typically need a crypto wallet as well as, potentially, accounts with NFT marketplaces and crypto exchanges. Although modern exchanges and wallets are easier to use, with less chance of errors and mistakes, their use still represents a barrier to entry for some.

What Are NFTs?

A lot of P2E games use NFTs, either for trading or as in-game assets. These are digital assets or collectibles. They can be used to show ownership of physical or digital items: in the case of P2E games, they are essentially the digital items that the player keeps.

NFTs are minted and recorded on the blockchain and the records cannot be altered or deleted. NFTs, like cryptocurrencies, can increase and decrease in value, with some Cryptokitties NFTs having sold for hundreds of thousands of dollars. This high price tag is rare, but the collectibles can increase in value.

Do You Need A Wallet For Play-To-Earn Crypto Games?

Crypto wallets are used to store private keys for cryptocurrency assets. In some cases, games and game platforms allow players to keep and send their crypto holdings directly from the platform, but the game maker retains the keys. If something goes wrong with the platform, for example, if it is hacked or goes down, the player does not have access to their crypto.

NFTs also use wallets in the same way, so while it might not be strictly necessary to have a crypto wallet, it is strongly advised. Players need to ensure they choose a wallet that is compatible with the NFT or currencies they will be dealing with. 

How To Sell Crypto/NFTs

The most common way to sell P2E assets is via open marketplaces or exchanges. To do this, you need to withdraw your winnings or NFTs to your crypto wallet. Register with a trusted NFT marketplace or centralized exchange and sell your crypto, either for the designated cryptocurrency or fiat currency.

• Binance, Coinbase, and Bybit are among the three most commonly used and trusted centralized exchanges.
• Popular NFT marketplaces include OpenSea and Rarible.
• Users can also sell their crypto and NFTs directly, or use decentralized exchanges to find buyers.

Do You Need Crypto To Start Playing?

Some play-to-earn crypto games can be played completely free of charge, but many require the player to buy a starter deck, NFT, or some of the platform’s native cryptocurrency to start playing. Even where this isn’t strictly necessary, some players find it necessary to invest at least a little money at the beginning of games. 

Conclusion

P2E cryptocurrency games are built on the blockchain and offer rewards, either in the form of NFTs or cryptocurrency itself, for reaching certain milestones in the game. Cryptokitties effectively started the craze when it launched in 2017. Most recently, and notably, Ubisoft launched Champions Tactics at the end of 2024.

Although Tactics hasn’t really generated too much of a buzz, other than some criticism for its $75,000 NFT, it may mark the start of mainstream gaming companies entering the fray.