This is not just a big headline, because the Enjin project has really opened up access to convenient tools for creating a decentralized gaming metaverse. The role of the circulatory system of all Enjin products went to the ENJ cryptocurrency: it helps to create a virtual economy, to which everyone will be accessed in the future. Let's have a look at how the digital world of Enjin works, what problems it solves and what NFT has to do with it.
1. What is Enjin
2. Enjin Coin in details
3. Enjin-based projects
4. To sum up
What is Enjin
Enjin is an open-source digital ecosystem with an emphasis on NFT. The project was founded in 2009 by Maxim Blagov and Witek Radomski. Its headquarters are set up in Singapore.
The project is targeted at players. The Enjin team provides the gaming community with tools to create decentralized games, game attributes, and exchange virtual assets.
«We're building a product ecosystem that will help humanity create advanced virtual economies through the power of blockchain technology», – that is how developers themselves describe the mission of the project.
In addition to the blockchain, Enjin also uses smart-contracts that help to automate the platform’s services.
Enjin's tools are focused on three groups of users:
🙋 Ordinary users: for them, the company creates an infrastructure that allows to immerse in the world of metaverses.
🧑💼 Business clients: they may be interested in Enjin tools for the development of projects through NFT solutions.
🧑💻 Developers: in Enjin they will find tools for creating NFT games, applications and websites.
How does it work? A business client wants to create an NFT project and enters into cooperation with Enjin. With the help of Enjin tools, the developer creates this project. The final product is targeted on ordinary people: they can interact with the metaverse of projects built on the basis of Enjin, move gaming items between apps, buy, sell and trade NFT, and much more.
Co-founder of Enjin is Vitek Radomsky. He is the co-author of the Ethereum ERC-1155 token standard. The standard provides an efficient transition of fungible, semi-fungible, and non-fungible tokens. ERC-1155 helps to create various assets, including cryptocurrencies, digital art, and digital game items.
Now the audience of Enjin Network is 20 million users and more than 250 thousand gaming communities around the world. Enjin services are also used by large companies: for example, the list of Enjin partners includes technology giants Samsung and Microsoft.
The ecosystem of the Enjin project currently includes 5 products:
👛 Multiple crypto wallet for Android and iOS. In addition to Vitek Radomsky’s ERC-1155, wallet supports the most common NFT standard – ERC-721, as well as Ethereum, Bitcoin, Litecoin, Dogecoin, Binance Coin (BNB), BEP2-tokens, and classic ERC-20 tokens.
⛓️ Efinity – the interoperable blockchain for NFT. It is based on the Polkadot blockchain. According to the developers, Efinity provides the infrastructure for a decentralized cross-chain metaverse. At the end of March 2021, the project team raised $18.9 million from a number of large investors, including Crypto.com, DFG Group, and Blockchain.com, for the launch of Efinity.
⚙️ Enjin Platform that allows to create NFT projects without coding. It also simplified digital asset creation. According to the developers, even people who are far from programming can handle the tool, and 27 thousand projects have already been released on the Enjin Platform.
🛍️ Marketplace. There you can buy and sell non-interchangeable tokens, trade them, and, most importantly, find the pearls of the NFT world, which can then become much more valuable than at the time of the first sales.
🪄 The «bridges» network JumpNet. The main goal of this technical solution is to reduce transaction costs for users of the Enjin ecosystem by transferring tokens to their smart-contracts. Such an approach allows them to refuse paying for so-called «gas» (Ethereum network commissions) by helding operations through the «bridge».
The connecting link of all elements of the Enjin ecosystem is the project tokens:
Efinity Token (EFI). Developers call EFI the fuel of their metaverse. EFI is needed to pay rewards to ordinary users and developers, as well as to increase the motivation to explore the digital world of Enjin.
Enjin Coin (ENJ). This is the main token of the ecosystem. It is used as collateral for Enjin-based digital assets, including NFTs. Let's look closer at ENJ.
Enjin Coin details
ENJ is an Ethereum ERC-20 token. Enjin Coin’s whitepaper says it is a «smart-coin for the gaming industry». With the sale of ENJ as part of the ICO in 2017, the developers raised $18.9 million.
The supply is capped at 1,000,000,000 ENJ.
Info about Enjin Coin on CoinMarketCap.
Enjin Coin allowed the team to move the gaming industry to a decentralized format: now users can create game items, trade, sell and buy them, and also move NFT between games – which is unique for the gaming segment. The ability to perform all these actions on the blockchain protects the information from changes and minimizes the risks of fraud: all records of each player's activity and his digital property are stored in a large notebook distributed across millions of devices.
How does Enjin Coin work?
Enjin Coin provides the real value of digital assets that are issued on the basis of Enjin, and also protects them from illegal transactions. Here's how it works:
1. User create a digital asset using Enjin services.
2. In order to put real value into a digital asset, the platform blocks ENJ tokens for it: they are withdrawn from general circulation, and this is what makes ENJ deflationary.
3. All information about the digital token is recorded on the blockchain. The technology protects records from fraud and falsification. Therefore, all the players can be sure that their assets are safe.
The creator of the NFT can at any time transfer his digital item back to cryptocurrency. The process of such transformation is called ‘melting’. You can completely destroy the NFT, or you can withdraw from up to 50% ENJ. This opportunity balances the level of supply and demand, and also allows you not to clog the market with unnecessary tokens.
The developers consider the scheme of providing digital assets with Enjin tokens to be successful because:
🔸 All NFTs will definitely be compatible with all the services of Enjin ecosystem;
🔸 Any digital asset will have proof of legal origin;
🔸 Tokens created on the Enjin platform will have guaranteed market value and growth prospects due to the deflationary nature of ENJ;
🔸Users can destroy their NFTs at any time.
How does Enjin Coin behave in the cryptocurrency market?
Unfortunately, the deflationary nature of Enjin Coin did not protect it from falling during the crypto winter of 2022. The token updated its absolute maximum on November 25, 2021 (then it cost $4.85). After following the entire digital asset market and its leader bitcoin, ENJ went into decline.
Enjin Coin chart. Source: TradingView.
Now Enjin Coin is trading 91% below the maximum and ranks 80-85 in the top 100 cryptocurrencies by capitalization in the CoinMarketCap rating. Enjin Coin largely repeats the market movements, so let's believe for bitcoin to enter a new growth cycle, and then ENJ and many other cryptocurrencies will be able to rise in price.
During the existence of Enjin, many projects have been built on the basis of its services: games, games with VR support, metaverses, NFT collections, platforms for buying NFT clothes. Here are just a few examples:
🔗 The Lost Relics online game for Windows and Mac is an adventure RPG in which you need to fight monsters, search for treasures, buy and sell them on the NFT marketplace.
🔗 The My Meta Studio metaverse is a space in which there are 4 Play-to-Earn games and which was created in order for artists, musicians and directors to have the opportunity to create content. This content is used in games and brings profit to developers, players and creators, firming a full-fledged NFT economy.
🔗 NFT-collection Azure Heroes was created specifically for Microsoft, and it is needed in order to reward employees with digital NFT icons in the form of badgers for various achievements that contribute to the developer community.
🔗 The Go! by Health Her collection has a very important mission: to make people healthy and happy. The application collects data from phones and smart devices that track steps, heart rhytms and other indicators related to the activity and health of users, and encourages them with NFT awards, motivating them to continue the healthy lifestyle.
🔗 The Fabricant digital fashion house used Enjin to create a Pluriform platform that allows you to use your favorite NFT clothes in any corner of the metaverse.
🔗 Ascendance Games together with Enjin want to democratize the field of esports, allowing anyone to take part in competitions and even to get a real monetary reward for it. In the Impulse game, your character is an NFT, and for various achievements, the system gives you the opportunity to transform and acquire more and more unusual forms.
To sum up
The Enjin project has a great future, and here's why:
1. Large corporations, including Meta (ex Facebook) and Microsoft are developing metaverses. NFTs are needed to fill digital worlds. Enjin has tools for both directions. The project is already entering into partnerships with big companies (Microsoft, Samsung), and its prospects are growing every day.
2. The demand for Enjin developments can be supported by the growth forecasts of the NFT games market. For example, Valuates Reports analysts believe that the industry will grow to $28 billion by 2028. For comparison, at the beginning of 2022, the volume of the blockchain games market was estimated at $510 million.
3. The interest in Enjin is fueled by the good reputation of the project. There is no information on the internet about any critical technical problems of the platform and its products.
We will keep an eye on the development of the promising Enjin project. To always be up to date with the latest news of the crypto world, subscribe to itez on social networks: Instagram, Telegram, Twitter.
This article is not an investment recommendation. The financial transactions mentioned in the article are not a guide to action. Itez is not responsible for possible risks. The user should independently conduct an analysis on the basis of which it will be possible to draw conclusions and make decisions about making any operations with cryptocurrency.