By Beatriz Garcia
SAO PAULO (Reuters) – The non-fungible token (NFT) market has grown exponentially, and one of its aspects is video games that promise to reward users with digital assets that can be exchanged in traditional currency, something that has attracted attention. among the players, including Brazil.
NFTs are the title deeds of digital goods that can be traded for monetary value and can represent everything from cartoon monkeys to clothes for avatars to dress in metaverse, a business that is already moving billions of dollars worldwide.
The market has created business models similar to that of the Orbe888 mining company, whose main activity is the management of NFT-based video game accounts that include players associated with the company. Startup also monitors the popularity of games in the category by analyzing which ones are worth the most in terms of profits.
As NFT video games often require users to invest in advance, “Orbe888 takes that risk and company-related players receive a percentage of the profit as they progress through them,” said Orbe888 CEO Juan Alcasar.
The company was founded last year in the inner city of Conceição do Pará and is already moving to Belo Horizonte to provide a more stable infrastructure after the state suffered heavy rains.
The company’s project, which is still being implemented, includes hiring professional players to replace the various major crypto games that are being released as a “game”.
Tokens purchased through company accounts are your property. Players keep 60% of the NFT profits they extract in games that the company has an account, as long as they are in charge of the player and their contract remains active, the executive explained.
Bruno Leit, 19, plays “Bombcrypto” and “Luna Rush” for Orbe888 in Vitória (ES). The first is similar to the Bomberman video game and players have to blow up boxes to mine the BCOIN cryptocurrency. He said he received 2,500 reais ($ 485.55) when the BCOIN reached its peak. In Luna Rush, he claims to have received 3,000 reais ($ 582.66) at the peak of the game’s original cryptocurrency, LUS.
However, the withdrawals accumulated in each account vary according to the rules of each game and the blockchain portfolio used. “Bombcrypto, for example, can only be taken out when you accumulate 40 BCOINS,” Leit explains.
Also known as “Altcoins,” NFT-based digital video game currencies are subject to more intense rises than traditional cryptocurrencies, such as bitcoin, which have a much larger user base.
BCOIN, for example, was trading at 54 cents on Friday, according to CoinMarketCap. But by the end of November, it had reached $ 8.46. In the last 24 hours, the currency has fallen by 24%, operating below its starting price of $ 1.7 in January last year, when trading began, according to the platform.
In addition to Bombcrypto and Luna Rush, the market has several titles available to players, including Axie Infinity, the best known of which.
“If you take in peripheral countries, especially in the Philippines, there are people who have quit their jobs to live from Axie Infinity, because in the market, in the cafeteria, for example, they are much more profitable than the guy who works,” said Bruno Milanello. The new business executive has made Mercado Bitcoin, one of the largest cryptocurrency exchanges in Brazil.
“With few places to concentrate, these currencies are sensitive to price fluctuations. Even better known in the case of Axie Infinity, it has a considerably smaller volume than bitcoin, for example, ”says Milanello.
Axie is trading at $ 50.40 this Friday. At its peak in June last year, it reached $ 160.4 billion, representing market capitalization of $ 9.8 billion, according to CoinMarketCap.
But the euphoria surrounding the market carries risks, according to digital finance experts.
“As new players enter, there are those who buy, but the time may come when the producer can disappear and disappear with his crypto-assets,” said Isac Costa, Professor of Law, Technology and Finance at Ibmec / SP.
The scam known as “rug pull” has already been applied to a project where Orbe88 had an account and occurs when developers leave a project and run away with investor money.
“It is important to properly target our future players in the NFT Games market, which is a high risk area that requires high value investments and therefore requires great caution,” the company said in a statement.
But beyond the investment, there is the interest of the players to have a better time of entertainment. João Barreiros, a 45-year-old subway worker, plays MIR4, a blockchain multiplayer online role-playing game (MMORPG).
“I’ve always liked online games, so why not try spending money on games that don’t benefit me, on something that can benefit you?” Said Barreiros, who is not associated with Orbe888. . “Combining the fun with a likely capital gain,” he added.
Barreiros says he plays with two accounts in MIR4 and each valued at about 3,000 reais. He has not yet taken the money out of the game, and prefers to reinvest the profits as the cryptocurrency market recovers from the last few minutes among investors who have escaped from the risky assets that hit bitcoin and the rest of the cryptocurrency market.
“We live in the first generation, the prehistory of the relationship between video games and NFT, because with the concept of metaverse, we are still studying how game producers will position themselves in the market,” Costa said.