What is Play To Earn (P2E)?

Play to earn (P2E) describes a type of gaming whereby users earn incentivized rewards by participating in ongoing gameplay. Typically, play-to-earn gaming allows players to earn in-game rewards that can be exchanged for other assets with real-world value — such as bitcoin (BTC) and USD. In a blockchain context, P2E gaming allows users to collect non-fungible tokens (NFTs) in the form of new characters and items that allow users to progress through the game quicker and more efficiently, further incentivizing their ongoing participation. Popular P2E platforms include Axie Infinity, The Sandbox, and Illuvium.