Crypto Games Are The New Pyramid Schemes, Here's Why (2024)

The world of cryptocurrency is still a niche market, even with the recent surge in popularity. Cryptocurrency is inaccessible to the average person and digital tokens aren’t much use unless you’re ready to start spending money on services or goods – which most people are not ready for. The same goes for crypto games. It might look like fun and games but these new crypto-based games are just another type of pyramid scheme. Unfortunately, many people will lose their money before they realize it, as these new crypto games are nothing more than a ploy to separate people from their hard-earned cash in exchange for some worthless digital tokens or coins that have little to no monetary value outside of this game. Here are three reasons why you should avoid investing in – or playing – any new crypto game that comes your way…

What is a Crypto Game?

Crypto games are digital games that use a new type of digital token or cryptocurrency as their primary in-game currency. You purchase these tokens with real money, and then use them to purchase in-game items, avatars, upgrades, and so on. Crypto games are still a very new concept, but there are already dozens of titles available to play, including some big-name games like CryptoKitties and Crypto Fishing. The idea behind crypto games is that they’re decentralized and transparent. Unlike other online games, which are often run by a centralized company, crypto games use blockchain technology. This means that there is no central authority that controls the game, the rules, and how you can earn or spend your tokens. Instead, the game lives on a decentralized network that is often hosted on the cloud, which is accessible to everyone.

Why Are Crypto Games Similar to Pyramid Schemes?

Crypto games mimic pyramid schemes in many ways. They pair an incredibly easy to obtain token/coin with a set of arbitrary rules to encourage you to spend money in order to earn more of these same tokens/coins. In this way, you have to keep spending more and more money in order to keep up with the game. Not to mention, there’s no guarantee that the “game” will even be around in 12 months’ time! The same goes for crypto games that use a token that has no real-world value. In order to earn more of this non-existent money, you have to keep spending money on items, upgrades, and so on. There’s no guarantee that the token you’re playing with will have any value once you’ve obtained it. In fact, many crypto games don’t even have a real-world use for the token/coin you’re earning/spending, and have no intention of ever making it useful. In this way, crypto games are similar to pyramid schemes because you’re being scammed out of your money in exchange for nothing at all.

You’ll Lose More Money Than You’ll Gain

As we’ve already discussed, crypto games require you to earn tokens in order to progress. Earning these tokens, unfortunately, has to be done by spending your money. You have to buy coins/tokens with real money and then earn more of them by completing tasks within the game. Once you’ve run out of coins/tokens to progress, you’ll have to earn more by spending more real-world cash. Unfortunately, earning these tokens is extremely easy. As a result, you’ll soon reach a point where you’ll have spent more money than you’ve earned. In this way, you’ll lose more money than you’ll gain by playing these crypto games.

They Can Be Full of Bugs and Vulnerabilities

When you invest in a new crypto game, you’re not just investing in the promise of earning more non-existent tokens/coins – you’re also investing in the game itself. In this regard, crypto games are very different to centralized online games like Fortnite. When you purchase in-game currency or items in Fortnite, you know that the money you’re spending will be used to develop a better game experience – such as more maps, characters, weapons, and so on. But how do you know that the money you spend on a new crypto game isn’t going toward fixing the game’s bugs and vulnerabilities? After all, crypto games are decentralized and often don’t come with any kind of warranty or guarantee that they’ll continue to work. It’s entirely possible that the crypto game you’re playing is full of bugs and has numerous vulnerabilities that hackers can exploit. If this is the case, though, you probably won’t find out about it until it’s too late and your tokens have been stolen.

Conclusion

Crypto games are very different to centralized online games like Fortnite because you’re investing in the promise of earning non-existent tokens/coins. Unfortunately, crypto games are often just another type of pyramid scheme. You’ll lose more money than you’ll gain by playing them, and they can be full of bugs and vulnerabilities. If you’re looking for a better way to earn money online, avoid investing in and playing any new crypto game you come across. Instead, try earning money online the legitimate way with a legitimate online money-making opportunity.