Initial Game Offering (IGO) is becoming more and more well-liked among cryptocurrency investors because of GameFi’s growth.
Initial game offerings (IGOs) provide individuals with an opportunity to pre-purchase NFTs or tokens for blockchain games in their early development stages. Initial game offers (IGOs) give people the chance to participate in gaming projects at an early stage that might generate enormous rewards if they are released.
But that’s not all, in this article we would be covering all that you need to know about initial game offering including how it works and how to participate in an IGO. Without further words, let’s get this party started.
What is Initial Game Offering (IGO)?
During the development stage of a blockchain gaming project, the tokens utilized within the video game are sold in an initial game offering (IGO). The IGO helps game developers by allowing them to raise significant funding at an early stage. Meanwhile, buyers obtain access to the NFTs required to engage in the project.
To understand IGOs, one must first grasp GameFi (a mix of the words “game” and “finance”). Finance gamification has become a critical component of the crypto realm. GameFi refers to blockchain gaming projects in which participants are rewarded with tokens for actions taken within the video game. The video game tokens function similarly to poker chips, and you cannot play without them.
IGOs are similar to initial coin offerings (ICOs), which have been around for a while and are well-known among crypto investors. During an ICO, a project raises funds by selling tokens on the cryptocurrency exchange. When Ethereum was launched in 2014, it followed this strategy. IGOs apply that same principle to the realm of GameFi.
How Does IGO Work?
IGOs are typically launched from an IGO launchpad. TrustSwap and Enjinstarter are two popular launchpads. To participate, potential buyers must confirm that they have sufficient cryptocurrency in their wallets. Once accepted, they can wait until the IGO and then purchase the associated tokens.
After purchasing their tokens, customers must place them in a pool before utilizing them. The project will then grant project-specific NFTs to the buyers. IGOs can also be used by projects to sell in-game assets other than tokens. Characters, weapons, and mystery boxes are common goods for sale. Acquiring these assets ahead of time offers the player a competitive advantage that could result in future riches.
What Is an IGO Launchpad?
A launchpad is a platform that allows investors to identify and interact with early-stage (fundraising) projects. An IGO launchpad is often reserved for projects in the early stages of blockchain gaming. Some launchpads are solely dedicated to gaming, while others may include games alongside other initiatives.