Yield farming: translated literally, the expression means something like “agricultural production”. However, when we talk about crypto assets and decentralized finance, the meaning of yield farming has to do with “income cultivation”, or “liquidity mining”.
Best Cryptocurrency Exchanges to Buy GameFi Tokens in 2022
GameFi (Game Financing) is a new area that offers the opportunity to earn on gamified dApps in various ways.
There are two main areas of income that are actively used in games. It's about creating/selling NFT tokens, which represent various objects and locations in the game, and invest in your own native project tokens, which can grow many times in value as the project develops.
Some of these tokens have shown truly spectacular growth. For example, the value of the AXS token (Axie Infinity) has increased by 58.000% since its launch, SPS (Splinterlands) by almost 500% in the first few days of trading and ENJ (Enjin Coin) by 1.100% in the last year, and the especially rapid growth started in January 2021 with the start of GameFi's popularity.
Today, you will find out how to buy GameFi tokens or sell them and which platforms are suitable for this purpose.
What are GameFi Tokens?
The direction of gamified finance emerged from decentralized finance and is essentially very similar.
Only the external component is different — thus, developers started adding a game component to their projects to attract more users.
As a result, dozens of strategies, arcades, RPGs and other genres have emerged in which blockchain technologies play a key role: NFTs, decentralized management and the concept of Web 3.0.
The tokens of these blockchain projects can give you various rights: vote on governance, carry out some actions in the game, as well as buy or sell NFTs on integrated markets.
The most capitalized GameFi tokens according to CoinMarketCap:
- Axie Infinity (AXS) — $5,120,011,807;
- Decentraland (MANA) — $1,878,230,893;
- Enjin Coin (ENJ) — $1,774,556,761;
- The Sandbox (SAND) — $868,623,655;
- BakeryToken (BAKE) — $570,194,390;
- Star Atlas (ATLAS) — $513,560,770.
Thus, the undisputed leader is Axie Infinity (AXS), and the more popular the game, the greater the demand for its token.
In the Philippines, people are even willing to accept it as payment as many players earn money using this platform.
Where to buy GameFi Tokens?
The most popular way to buy tokens is through cryptocurrency exchanges with the most up-to-date fees. Here is the list of the most popular decentralized cryptocurrency exchanges to buy GameFi tokens.
The platform allows you to trade ERC-20 tokens based on the Ethereum blockchain through a web interface.
Switching happens instantly and there's no need to worry about trusting someone with storage or going through KYC.
On the exchange, liquidity providers can provide funds to any pool, but they must first provide collateral to each target market. For example, a user interested in the DAI/USDC market must provide the same guarantee for both currencies.
Another DeFi app with AMM (automated market maker) allows you to exchange tokens, provide liquidity and earn commissions and engage in yield farming.
PancakeSwap is powered by Binance Smart Chain and currently ranks second in terms of volume and number of transactions on this chain. This exchange is sometimes called Uniswap on the BSC Network.
The project emerged as a fork of Uniswap and aimed to eliminate its shortcomings. Users pay a 0,3% fee to use any liquidity pool.
Also, once the token pool is approved, users pay another small fee.
Since its launch, the platform has received a lot of support from the cryptocurrency community. Many DeFi platforms also support SushiSwap, and even major centralized exchanges have listed a SUSHI token.
It is one of the best AMM DEX built on Binance Smart Chain. In addition to fast transactions and low fees, it has many innovations such as creating and trading NFTs, the IDO launch pad, and more recently, blockchain games.
BakerySwap was able to quickly position itself as one of the leading providers of AMM services.
This DEX aggregator constantly scans the cryptocurrency market to find the best exchange options and the lowest transaction fees.
1inch can also split a trade across multiple exchanges to get the best result. Additionally, users have the ability to set limit orders.
Conclusion about GameFi Tokens
To quickly find where you can buy or sell a GameFi token that interests you, use aggregators like CoinGecko.
As the popularity of gaming blockchain projects grows, a trend is expected to be followed by other trading services, exchanges and wallets.
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