With NFTs being all the rage and talk of the town these days, many of you might be wondering how to get on this bandwagon and could possibly be quite fearful of the risks involved (after all, all of this is quite new to everyone). At Gamexus, we aim to make NFT and web 3.0 investments easier for you.
Let's look at the basics
Before entering the wonderful world of decentralization, you will come across some common terms that may or may not be familiar to you:
Blockchain - this is the root of all decentralization and what popular coins such as Ethereum and Bitcoin is built on. Simply put, its a technology layer.
Cryptocurrency - these are actually applications that sit on top of the blockchain. So yes, you guessed it, Ethereum, Bitcoin, Solana etc. are actually applications that sit on top of the blockchain.
NFT or Non-Fungible Tokens - this is what primarily gives the Internet its value. Digital assets can now be uniquely identified and this provides scarcity and hence provides value. An example of an NFT would be an AXIE in AXIE Infinity.
Web 3.0 - this is essentially the new wave of smart apps and websites that will emerge rapidly in this space using blockchain as the underlying technology.
Tokenomics - the design of how a web 3.0 app provides incentivisation to all stakeholders and users in the ecosystem coupled with the circulation of tokens (also known as coins).
Fiat currency - what we commonly know as conventional money. Examples would be USD, Euros etc.
Digital wallet - An encoded wallet that is available either in a hardware or software form that stores your cryptocurrencies. Please don't lose the unique keys that come with it. Once they are lost, they are gone forever and you can't unlock your wallet. Examples would be Metamask which is an Ethereum based wallet.
We've also created a simple video to summarize some of the key points
Understanding the evolution of NFT investments
In the early days of Bitcoin and Ethereum, one of the more popular ways of owning the coin was to put together a whole string of souped up computers or mining rigs. These rigs would then solve complex mathematical equations on the blockchain to unlock new blocks which would in turn generate a token or part of a token. Depending on which blockchain you were then operating on, you would earn that particular coin (BTC or ETH). This was a simple concept and was known as Proof of Work or PoW for short.
The world has made it easy enough for us to go out there now, start an account on Crypto.com or Coinbase and purchase some cryptocurrencies to avoid setting up our own rigs and spending a fortune on electricity. Popular ones would be Ethereum, Bitcoin and Solana while other more adventurous investors may go for lesser known coins. Essentially, this works like a stock market and the investor is subject to the fluctuations of the coin that they have purchased. This is also known as Proof of Stake (PoS) because the investor has chosen to stake their belief (as we like to term it) with a coin that they believe will generate returns over time.
In more recent times and with the maturity of blockchain technology, PoS and PoW now work hand in hand to deliver greater value for investors, creators and players alike. Let's take the example of AXIE Infinity, one of the largest NFT games available today. Investors can purchase AXIE teams (consisting of 3 creatures) but yet choose not to play the game but instead having "scholars" to play for them. In return, scholars earn AXIE shards (AXS) and this is shared between the investor and the scholars. The process of scholars playing the game is the Proof of Work and the investor who purchases the AXIEs as NFTs is the Proof of Stake. Additionally, investors can also purchase the shards as an additional Proof of Stake.
Why invest with GAMEXUS
Here at GAMEXUS, we aim to remove certain barriers of entry for new investors to get onboard the blockchain trend that promises to be around for many years to come.
As part of our NFT gaming cluster, we work with facilities and communities of people around the world to play games for investors in order to help them earn a new source of income and maximising returns for the former.
Investors are also not locked down prohibitively to long periods and are given the flexibility to withdraw or shift their investments.
Also, we would like to openly state that NFT investments are not risk free and this is not a get rich quick scheme. This is where our advisors play a critical part in working with our clients to ensuring they achieve the most effective ROI.
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