A Detailed Guide on NFT Games for beginners

Cryptocurrency came in like a wave for the entire world. It kept building up and exploded far and wide. Its effects were simply amplified by the coronavirus which promoted online transactions and work ethics unlike ever before. With the world shifting towards the online world the online currencies and blockchain technology were sure to rise with it.

Of course with the rise of blockchains and the world of crypto, there were other subjects that were going to hit the limelight. NFT or Non-Fungible Token was one of them.

Before we start explaining to you what NFT actually is we would want to discuss a few other topics so that it becomes easier for you to understand NFT in depth. Along with NFT, you will have to understand things like blockchain and smart contracts.

What is a blockchain?

A blockchain is basically a network of multiple servers or ledgers that work as blocks to validate information individually. A blockchain has thousands or maybe millions of these blocks to function as a decentralized system. Any information or input in one block will have to be validated by all the other blocks. If even 1 block rejects the information the ledger will not be changed. This basically means that a blockchain can not be cheated or manipulated. This is the reason why the cryptocurrencies that are making shockwaves in the market are functioning so well on these blockchains.

What is a smart contract?

A smart contract is basically a contract that is uploaded on a blockchain. All the variables of the contract and the actions around the contract are entered. The contract mostly depends on an external activity to happen and then automatically validates the result and completes an action. It is basically a very safe way to make a contract because first of all, it is automated and secondly it can not be cheated since it is on a blockchain. These smart contracts can be used for almost anything. You can place a bet by using these contracts or make an insurance policy with them. The uses are infinite.

What is GameFi?

GameFi is simply a combination of gaming and decentralized finance or Defi. You must have already heard the term play-to-earn, it is becoming quite popular amongst kids and gamers. It is a platform to bring together things like blockchains, gaming, NFTs, yield farming, borrowing and lending, algorithmic stable coins, and so on.

What is an NFT?

Now that we are familiar with these terms we can go ahead and discuss the meaning of NFTs and what they actually do.

Well, an NFT or a non-fungible token is basically a digital property that may be present in many forms. It can be an image, a meme, a GIF, or even an in-game asset. The ownership of an NFT is basically stored in an online ledger or a blockchain which makes it decentralized. Basically, your image or GIF or meme or the in-game asset is owned by you and not the game owner or the website. The best part about an NFT is that it can be converted to actual cash through any sort of market.

Difference between NFT and Cryptocurrency?

The difference between these two is not a thin line and is quite clear. We can agree that you can own a crypto token as well as an NFT and both operate on decentralized ledgers. But a crypto token is just like any other token of the same cryptocurrency owned by anyone else in the world. It does not make it uniquely yours. An NFT is different. A non-fungible token on the other hand has a unique identity. It is the only one of its kind and if you own an NFT then only you will possess it in the entire world.

Fungible tokens are basically like coins or banknotes. They are all identical and have the same value when exchanged but an NFT has a fixed and a unique value along with the ownership.

What is the role of NFT in gaming?

NFT is basically used for selling and buying. Unlike cryptocurrencies which can have a number of uses, NFTs are simply for trading using value.

In gaming, NFTs are present in things like character skins, weapon skins, accessories, and so on. These are mostly found in the premium part of the nft games.


Game developers used these NFTs to kick-start play-to-earn games where the users are involved to come and play. The particular user will get rewards with the amount of experience, performance, and run-time on the game. This would obviously mean unlocking and owning some rare skins and other accessories which other users would pay handsomely to own. Once you own a certain, let’s say skin, it will be recorded as an NFT on a certain decentralized online ledger. If another user or a player ever buys the skin that you own the money will go to you and not the game developers.

This creates a cycle of money that only grows in size as the game ages and new users join. This is the reason for the explosion of new nft games in the market and all the hype around them.

NFT games have now reached the eyes and ears of the new generation and it is being taken up to be the new big thing in the virtual world. It can also be seen as a link between the real and virtual worlds. It is the link where the ownership and value of virtual art and other products are now being translated into real money and true ownership.

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Rupesh Kumar

First, I am an online marketing professional, as well as a night time gamer with a wide array of interests. Aside from constantly writing about games, I also enjoy writing about my other hobbies such as fitness, cooking, home DIY projects and travel. Contact me at

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