Can you make money by playing games? How does GameFi help you achieve your passive income dreams

Playing games and making money—can these two things be combined? A few years ago, this sounded like a fantasy, but today blockchain technology has made it a reality. More and more players are earning real income through GameFi games, and this is no longer just a dream.

Why is GameFi so popular?

According to DappRadar’s Q3 2023 report, GameFi has become the most dominant sector within the decentralized application (dApp) ecosystem. Data shows that Web3 games and metaverse projects attracted a total of $2.9 billion in investments in 2023. What does this mean? It indicates that global investors and players are optimistic about this direction.

The core concept of GameFi is simple: it combines “gaming” and “finance.” Players can enjoy traditional gaming experiences while earning real economic returns through in-game tokens and NFTs. This is a revolution in gaming experience.

Three mainstream earning models in passive income games

Play-to-Earn (P2E): Play and earn

This is the most classic GameFi model. Players earn tokens or NFTs by completing tasks, leveling up, and battling other players.

Take Axie Infinity as an example. Players need to collect, breed, and battle creatures called Axies. The game’s economic system allows players to earn the Smooth Love Potion (SLP) token. According to the latest data, SLP is currently priced at $0.00, with a 24-hour change of +0.63%, and a circulating market cap of $28.4 million. These tokens can be traded on crypto exchanges for real-world income.

Move-to-Earn (M2E): Movement equals earnings

This model is more interesting—your physical activity can generate income. Stepn is a typical example. Players purchase NFT sneakers and earn GMT tokens while running, walking, or cycling outdoors.

Based on real-time data, GMT is currently priced at $0.01, with a 24-hour change of -0.06%, and a circulating market cap of approximately $45.77 million. It encourages hundreds of millions of people worldwide to improve their health while earning passive income.

Tap-to-Earn (T2E): Tap and earn

The latest emerging model is Tap-to-Earn, with Notcoin as a representative. Players can mine virtual coins with simple tapping actions, greatly lowering the participation threshold. Anyone with a smartphone can join.

Explosive growth of the GameFi market in 2024

The data is very convincing. In Q1 2024, the Web3 industry saw 7.7 million daily active wallets (UAW), a 77% increase from the previous quarter. Among them, blockchain games accounted for 30%, with unique daily active wallets (dUAW) reaching 2.1 million, a 59% quarter-over-quarter growth.

What does this mean? More and more real users are entering the GameFi ecosystem. Blockchain platforms like Polygon, Solana, and BNB Chain are becoming favorites among game developers due to faster transaction speeds and lower fees.

GameFi vs. traditional games: what is the fundamental difference?

Traditional games like Call of Duty, Fortnite, and Minecraft follow a “play-to-win” model, where only game developers profit, and players spend time and money without any returns.

In contrast, GameFi games like Axie Infinity, Cryptoblades, and Splinterlands are designed from the start to allow players to profit. In-game assets (land, characters, equipment) are tradeable NFTs with real value.

How to start your GameFi journey?

Step 1: Prepare a crypto wallet

Choose a wallet compatible with the game. For example, MetaMask for Ethereum-based games. It’s recommended to create separate wallets for each game to avoid risk concentration.

Step 2: Fund your initial capital

Most GameFi games require some initial investment to purchase starter items or NFTs. Although some claim to be “completely free,” the actual experience is often limited.

Step 3: Choose the right game

Different GameFi games have vastly different economic models. Some emphasize short-term gains, others focus on long-term ecosystems. Choose based on your risk tolerance and time commitment.

Why does GameFi attract players worldwide?

1. Multiple income streams: Gaming becomes a real source of income. This is especially attractive to players in developing countries—they can earn more than the local average wage through gaming.

2. Assets truly belong to you: Unlike traditional games, your in-game assets are fully under your control. Blockchain’s immutability guarantees this. No one can delete your account or confiscate your assets.

3. Community governance: Most GameFi projects are community-driven, allowing players to participate in decision-making. This contrasts sharply with traditional top-down corporate models.

4. Low entry barriers: You don’t need to buy expensive consoles or PCs. A smartphone is enough. Some games are even completely free to play.

What does the future hold for GameFi?

Industry analysts predict that by the end of 2024, GameFi will account for 10% of the global gaming market, a significant leap from the current 3%. What is driving this growth?

• Technological upgrades: Layer 2 scaling solutions reduce transaction costs, and AI integration enhances gaming experiences.
• Explosive user base: An estimated 50 million active participants worldwide across different time zones and devices.
• Refined economic models: Developers have learned from early lessons and established more sustainable token economies.

Blockchain technology is no longer niche. From finance to gaming, healthcare to supply chain management, it is permeating all sectors. As one of the most eye-catching applications, GameFi will undoubtedly continue to grow.

For players looking to earn passive income through gaming, now might be the best time. The market is expanding, new projects are emerging constantly, and user experience is continuously improving. But remember: all investments carry risks. Before investing real funds, make sure to fully understand the economic mechanisms of the game.