As of the date of writing, more than 22 thousand cryptocurrencies are in circulation. Naturally, with such a wide diversity of choices, you can consider investing your money into assets from different niches.
Online gaming is one of the largest industries integrating different variations of digital tokens based on blockchains. In blockchain games, one can come across both in-game tokens for avatars and capabilities (made in a form of NFTs) and real cryptocurrencies that have a certain value in the market.
Gaming cryptos generate enormous returns for investors since this sector is responsible for a great percentage of blockchain usage. Besides, this is a highly progressive niche that can come across genuine breakthroughs that will go far beyond the crypto market.
For that reason, we decided to review the best gaming crypto you can invest in this year. Because of the extreme volatility of this asset class, we decided to focus more on products with better liquidity, namely, market capitalization. Let’s learn why you should invest in top-4 gaming cryptos by market cap!
1. ApeCoin
ApeCoin is a new cryptocurrency designed for the decentralized finance (DeFi) ecosystem. With a focus on community-driven initiatives and fair distribution, ApeCoin offers a unique investment opportunity for those interested in the potential of DeFi.
One of the key features of ApeCoin is its deflationary mechanism, which reduces the overall supply of tokens over time. This creates a scarcity effect that can potentially increase the value of each token as demand grows.
Additionally, ApeCoin offers a yield farming program that allows investors to earn passive income through staking their tokens. ApeCoin is also committed to supporting various charitable causes, which may attract socially conscious investors. While ApeCoin is still in its early stages, its unique features and commitment to community engagement make it a promising investment opportunity for those looking to get involved in the DeFi space.
As for the date of writing, this project is assessed at around $1,5 billion, which is the 38th result in the best cryptos by market cap ranking. A single token can be bought for $4.20.
2. Decentraland
Decentraland is one of the most successful brands in the branch of decentralized metaverses. It is powered by the Ethereum blockchain whose protocol is used here to build virtual units and govern the users of the platform.
Although Decentraland runs on Ethereum, it has its own utility token traded under the MANA ticker symbol with a current price of around $0.5933. Its major utility is to enable Decentraland users to buy the major asset on this platform — LAND. LAND are special digital tokens that can be used to display digital pieces of art or even organize tours within the digital space. When you buy it with MANA tokens or earn it as a reward, you gain real ownership of this digital property.
The biggest advantage of Decentraland is that we haven’t seen all its capabilities yet. This is a highly scalable platform that has become a mainstream project only in 2022, meaning it has huge room for improvement. If it manages to grow into a fully functional gaming world, it might change the entire industry.
Today, this project is the 48th biggest cryptocurrency with a $1.1 billion market cap.
3. Axie Infinity
The assets that have real value within this gaming ecosystem are represented in the form of unreal creatures aka Axies. Similar to other gaming tokens, these are NFTs that can be bought or sold or used to make playing and quest completion easier and more efficient.
Two previous projects have become popular the previous year, whilst Axie Infinity has been leading the blockchain gaming industry since 2021. It was launched in 2018 but 2021 was the year when the AXS token performed one of the best bull runs rising from $0.54 to $95 over the year.
Since the beginning of 2022, the cryptocurrency lost a significant portion of its value, as it’s now traded at $8.4. However, this doesn’t mean that cryptocurrencies lost all their prospects. Moreover, some experts claim that this might be the best time to invest in AXS. They suggest that this price level has been remaining relatively stable for quite a long, meaning the price trajectory should change soon. Due to 75% of active monthly users who play this blockchain game on a daily basis, many expect the crypto to start an upward movement.
4. The Sandbox
Last but not least, Sandbox is the platform that applies the concept of digital real estate, which is quite common to the one introduced by Decentraland. On this platform, you can also use SAND coins to buy LANDs and different in-game pieces of equipment.
This project has been in the industry of blockchain gaming since 2012, and this time was quite enough to grow into a real metaverse with multiple digital assets for participants.
Also, The Sandbox has one of the most well-established brands in the sector. It has become a partner of many projects and celebrities, which contributed to the positive reputation of the company itself. A good reputation should never be neglected in such a volatile world as the cryptocurrency market.
With a market cap of more than $900 million, The Sandbox holds 54th place in the general ranking and loses only one position to Axie Infinity.
The final thought
Similar to other digital tokens, gaming cryptos are quite risky investments. No one can be sure that the above-suggested projects will show a good performance and will reach their highs in 2023 as it depends on so many factors such as the utility and stability of their blockchain platforms, the popularity of games themselves, the use cases of native tokens, the general conditions in the market, and so on. But in any case, this is an interesting world to explore.