MV – Metaverse
“The Metaverse is a massively scaled and interoperable network of real-time rendered 3D virtual worlds which can be experienced synchronously and persistently by an effectively unlimited number of users with an individual sense of presence, and with continuity of data, such as identity, history, entitlements, objects, communications, and payments,” defines venture capitalist Matthew Ball in the foreword of his outstanding nine-part essay on metaverse — The Metaverse Primer.
ICO – Initial Coin Offering
An initial coin offering (ICO) or initial currency offering is a type of funding using cryptocurrencies. It is often a form of crowdfunding, although a private ICO which does not seek public investment is also possible. In an ICO, a quantity of cryptocurrency is sold in the form of “tokens” (“coins”) to speculators or investors, in exchange for legal tender or other (generally established and more stable) cryptocurrencies such as Bitcoin or Ether. The tokens are promoted as future functional units of currency if or when the ICO’s funding goal is met and the project successfully launches.
IGO – Initial Game Offerings
IGOs, or Initial Game Offering, are NFT assets from top-tier gaming projects available exclusively on Binance NFT. The assets can launch either via auction, fixed price or mystery boxes. IGOs are purely for gaming and all drop content will consist of in-game assets such as early-access passes, weapons and items, exclusive Binance cosmetics and skins and much more!
GameFi – Game Finance
GameFi is one of the hottest buzzwords in the cryptoverse, and is a portmanteau of “Game” and “Finance.” It describes the gamification of financial systems to create profit from playing play-to-earn crypto games.
GameFi refers to the introduction of real, financial elements in a video game by merging the functions of gaming, DeFi, and NFT technologies to create novel game mechanics. The video game application essentially acts as the front-end of GameFi, with DeFi and NFTs functioning as vital elements working behind the scenes.
DeFi – Decentralized Finance
DeFi is short for “decentralized finance,” an umbrella term for Ethereum and blockchain applications geared toward disrupting financial intermediaries.
FT – Fungible Token
Due to decentralization, security, immutability, Blockchain is considered to be the perfect technology for managing all types of digital assets. But with such interchangeable tokens, this would not be possible. Such tokens work fine for cryptocurrencies, and in fact, fungibility is the fundamental feature of any currency.
Such tokens are built in such a way that each fraction of a token is equivalent to the next. For instance, Bitcoin, the most popular cryptocurrency, is fungible, which means one Bitcoin is equal to one Bitcoin, and it’s equal to all other Bitcoins. Such tokens are assumed to be interchangeable and divisible too.
In simpler words, these are types of cryptographic tokens that are basically identical or uniform and can be interchanged with other fungible tokens of the same type without any issues. Such tokens relate to the things we use every day, and it applies to real-world well as digital assets.
As we already mentioned, such tokens are interchangeable and can be exchanged with any other token of the equivalent kind. For example, fiat currencies are fungible. For example, $50 notes are interchangeable with other $50 notes. Similarly, one Bitcoin value can be exchanged with another Bitcoin, which makes no difference for holders.
These tokens can be divisible into smaller units, and one can get any number of units, and it does not matter to holders as long as the value remains the same.
Each token is different from all other tokens of the same type.
NFT – Non-Fungible Token
NFT stands for non-fungible token. Let’s start at the very beginning—what does non-fungible mean? “Fungible” is an economic term which refers to a good or asset that can be exchanged for another good or asset of equal value. For instance, a dollar bill is fungible, because it can easily be swapped for another dollar bill of the exact same value.
If something is “non-fungible,” it means it can’t be swapped for something of completely equal value. A tract of land would be non-fungible, since land is unique, and finding another tract with the exact same value would be difficult to impossible. Art is another example of a non-fungible asset, since its value is highly subjective—and this is where NFT’s come in.
An NFT shows exclusive ownership of a particular digital asset (e.g., a piece of art, an in-game purchase, or a tweet). You might purchase an NFT at a certain price, but because it’s non-fungible, its market value is likely to fluctuate.
Unlike Fungible tokens, such tokens are non-interchangeable as they cannot be replaced with the non-fungible token of the same type.
These tokens cannot be divided in any sense.
All tokens of each type are identical in specification, and each token is identical to each other.
F2P – Free To Play
F2P is an abbreviation used in online gaming with the meaning “Free To Play.” F2P games do not require users to pay to participate. However, F2P players are typically only allowed access to very basic features of the game. Upgrades to higher levels, or to gameplay-enhancing features usually have to be paid for.
P2E – Play To Earn
As P2E’s name suggests, generating money is the key attraction here as players can earn cryptocurrencies while playing, thanks to decentralized finance (DeFi) and non-fungible token (NFT) elements embedded within them. Players can later exchange these cryptocurrencies for fiat currency to pay everyday bills.
UGC – User Generated Content
UGC stands for User Generated Content, and in its most basic definition it is any form of content (image, text, or more applicably in video games, 3D models and code) that is created by the consumer of the platform that the content is published to.
PVE – Player versus Environment
In PVE environments, players work against non-player characters/monsters, or NPC’s to accomplish tasks. PVE worlds do not have public or open-world ‘player vs. player’ combat, but may have specific areas or encounters where PVP combat might occur. DC has Legends PVP and Arena PVP; these scenarios can be accessed from the ‘On Duty’ tab on an ‘on-demand’ basis.
PVP – Player versus Player
In PVP worlds, players still work against the same types of NPC combatants and encounters that PVE players do, but are also subject to attack from other players anywhere in the open world.
Staking means holding/locking coins in your account to receive rewards. NFT games allow users to lock NFTs or coins in smart contracts for a specific time, thereby earning corresponding rewards. The reward obtained will depend on the number of coins and how long the user holds, as well as the policy introduced by the coin publisher.
The mechanism of Staking is similar to making a fixed deposit into a bank account, which will reward you with a fixed interest rate at the end of the period specified in the contract. The interest depends on the amount you deposit as well as the length of time you deposit, and this rate is set by the bank.
What is an ERC20 token?
- An ERC20 token is a blockchain-based asset with similar functionality to bitcoin, ether, and bitcoin cash: it can hold value and be sent and received.
- The major difference between ERC20 tokens and other cryptocurrencies is that ERC20 tokens are created and hosted on the Ethereum blockchain, whereas bitcoin and bitcoin cash are the native currencies of their respective blockchains.
- ERC20 tokens are stored and sent using ethereum addresses and transactions, and use gas to cover transaction fees.
- ERC20 is an official protocol for proposing improvements to the Ethereum (ETH) network. ERC stands for Ethereum Request for Comment, and 20 is the proposal identifier. This is a common standard for creating tokens on the Ethereum blockchain.
- This token standard defines a set of rules that apply to all ERC20 tokens that allow them to interact seamlessly with one another.
- Wallets and exchanges use the standard to integrate various ERC20 tokens onto their platforms and facilitate exchanges between ERC20 tokens and other cryptocurrencies.
- This standard is inspired by the ERC-20 token standard and builds on two years of experience since EIP-20 was created. EIP-20 is insufficient for tracking NFTs because each asset is distinct (non-fungible) whereas each of a quantity of tokens is identical (fungible)
What is an ERC1155 token?
- Token standards like ERC-20 and ERC-721 require a separate contract to be deployed for each token type or collection. This places a lot of redundant bytecode on the Ethereum blockchain and limits certain functionality by the nature of separating each token contract into its own permissioned address. With the rise of blockchain games and platforms like Enjin Coin, game developers may be creating thousands of token types, and a new type of token standard is needed to support them. However, ERC-1155 is not specific to games and many other applications can benefit from this flexibility.
- New functionality is possible with this design such as transferring multiple token types at once, saving on transaction costs. Trading (escrow / atomic swaps) of multiple tokens can be built on top of this standard and it removes the need to “approve” individual token contracts separately. It is also easy to describe and mix multiple fungible or non-fungible token types in a single contract.