Play-to-Earn Games Explained: How Do They Work?

Video games are constantly evolving and with the introduction of blockchain technology and cryptocurrency, a new generation of video games is emerging.

At the moment, the gaming industry is experiencing a fundamental change. This change is called play-to-earn gaming (P2E) and it means that players can really earn money by playing games. 

P2E is a new form of gaming that changes the way players interact with games.

There are many P2E games on the market, but all have a similar goal: give players the ability to earn tokens by playing. These tokens can be used to buy in-game items, or they can be withdrawn as real money.

However, this topic is more complicated, and if you don’t understand play-to-earn games fully yet, then you are at the right place.

In this article, I will explain to you the basics of play-to-earn games and blockchain gaming, and I will try to explain them in plain English.

If you want, you can also watch our simple explainer video – Play-to-earn games explained.

What Are Play-to-Earn Games?

So, you might be wondering what play-to-earn games are all about.

Simply put, play-to-earn games are video games where you can win rewards that have real value in the real world.

While the play-to-earn business model is nothing new, blockchain technology and NFTs have changed the industry.

In play-to-earn games, players can get a hold of potentially valuable in-game assets. It may be an exclusive outfit, a special quest item, cards, or specific cryptocurrency, or any other number of things that gives someone who never spends money on games an incentive to keep coming back.

As players continue to play, they will earn a huge amount of digital assets. Some of these can also be sold outside the game.

Unlike traditional games where the items are valuable only inside the game and are owned by the companies that created the game, the play-to-earn model allows players to own unique assets.

Most P2E games reward players with special cryptocurrency and NFTs that can be easily sold outside the game.

In other words, the NFT that players earn in the game can be traded and sold for real money on any NFT marketplace.

And to all this, blockchain technology indeed creates a more secure and efficient system for people to transact with one another, especially in an online environment where people may not be who they say they are.

Play-to-Earn Crypto Games 

play to earn simply explained

Play-to-earn games that pay players in cryptocurrency have been around for a while now. These kinds of games are often called crypto games and are quickly becoming one of the most popular ways for players to earn money while playing games.

In crypto games, players collect cryptocurrency by completing a variety of tasks, contests, or activities that the game provides. They then use their cryptocurrency to buy in-game items or sell them for real money on crypto exchanges.

There are two types of cryptocurrencies players can earn native or existing cryptocurrency.

When a crypto game rewards you with an existing cryptocurrency, it simply means, you are getting rewarded with some of the established cryptocurrencies like Bitcoin, Ethereum, Solana, Cardano, and so on.

However, most developers of crypto games are creating their native cryptocurrency in the form of tokens. Analogous to typical in-game currencies, these tokens have real-world value and at any time, players can sell them to other players and receive a payout.

Play-to-Earn NFT Games

Another method to reward players in play-to-earn games is by collecting NFTs.

Non-fungible tokens, or NFT, represent virtual items and assets in the blockchain. They can come in all sorts of different forms, from images to music. 

In other words, NFTs are unique, non-fungible assets that can’t be duplicated or replaced. These digital assets are stored on the blockchain and each of them holds its value.

So, if you are playing a crypto game where you have been rewarded with NFTs, it means you are the owner of the token.

This is a great aspect of these games because players are owners of the NFTs, not the developer, not the game. And as an NFT owner, you can take it outside the game and try to sell it on dedicated marketplaces and get paid in cryptocurrency.

Are Play-to-Earn Games Legit?

Play-to-earn games are legit and allow gamers to earn various assets that can be sold for real money.

Play-to-earn games have been around for years, but they have not gained much popularity until recently.

With the introduction of blockchain and Non-Fungible Tokens (NFT), these games are now more secure, and many gamers prefer them as a way to earn money.


While play-to-earn games are a new industry, they are becoming more and more popular among people. That is why it is important to understand the concept of these games.

Thank you for reading this article about play-to-earn games. I hope it has given you a better perspective on the concept and if you have any questions, then use the comment section, and I will try to reply. 


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