Are “Play-to-Earn” Games Legit? (2024)

Play-to-earn (P2E) games, often known as blockchain games, have attracted many users in recent years. This sector's growing popularity is because the in-game assets have real-world value, allowing players to transfer their rewards as tokens into a cryptocurrency wallet.

Players have the option of using the items as a form of cryptocurrency or selling them for real money. Play-to-earn games seem like a dream come true—considering the potential to make money—but not all of them are trustworthy. We have provided a few key indicators that can help you to spot fraudulent play-to-earn games.

Play-to-Earn Games: How Much Are Initial Investments?

Some blockchain games are free to play, which means that there is no cost involved in participating in the game. However, these games aren't completely "free" because you have to put in the time to complete tasks, win battles, or advance through levels to earn rewards.

Most play-to-earn games have a barrier to entrance because you must make an initial investment.

Play-to-earn games typically have an initial investment of between $1 and $20. But the initial fee for well-known games like Axies is often between $25 and $40 (under $100 on average). On the other hand, some games may demand a minimum $1,000 investment from participants. We strongly discourage you from investing such a large sum right away, even though some of these games might be legitimate.

It may take several weeks or months of playing before you gain back your initial investment, let alone double or triple it.

And it's possible that you will not get your money back if the game's developer is a scammer.

How Do Scammers Use Fake Play-to-Earn Games?

High profits with little to no risk are among the numerous red flags of a fake play-to-earn game. For instance, a title could promise rewards worth $3,000 with an initial investment of just $5.

While some projects offer in-game tokens, such as Bitcoin, ETH, or Dogecoin, as payment to players, fake ones typically offer native in-game currencies. Such native in-game tokens, however, can be fake rewards that only appear to be accumulating in your crypto wallet.

To give you the impression that you are earning a lot of money, a scammer might give you hundreds of rewards. The more money you put in, the greater your rewards will be. But the scammers' main focus might be something other than your invested money.

Scammers intend to hack into your cryptocurrency wallets, which is only achievable if you link your crypto wallets to the game. Hackers will use malware to steal money from you—even if you use the safest crypto wallets. They may even demand more money to supposedly help get the stolen cryptocurrency back.

How to Stay Protected From Fake Play-to-Earn Games

You should follow the following practices and look for early warning signs of a fake blockchain game.

• Research the game: Do some research on the game's developer, reputation, and reviews before downloading it. Scammers can easily create fake websites, white papers, partnerships, employment pages, and token listings, so you need an all-rounded view of the title before installing anything.
• Create a unique wallet: Ensure none of your other investments are in the wallet you connect to any gaming project. Keep your gaming wallet separate from your other funds.
• Don’t share sensitive information: Keep your personal information confidential, including your full name, address, phone number, and financial data. Hackers can also target genuine play-to-earn games and steal data, as was the case with Axie Infinity, reported by The Block.

Are Play-to-Earn Games Worth It?

Considering how much time you spend playing the game, the rewards are typically worth less than a minimum-wage job. Because blockchain gaming is still in its early stages, there is a notable level of risk involved. So, it's best to use caution and protect yourself against these scams.

Despite this, everyone can still invest wisely in cryptocurrencies. Even if you don't know much about the industry, all you need to do is learn about where and how to invest safely.