What is Gameswap? DEX for trading in-game assets
Gameswap is an innovative decentralized exchange (DEX) for trading in-game items and non-fungible tokens (NFTs). The project is community-driven, one of the first products being developed by Shroom Finance. Shroom is a protocol for minting in-game assets on Ethereum.
What is Gameswap?
Gameswap is a decentralized finance (DeFi) app aiming to bridge the gaming and crypto sector. The idea is to leverage crypto technology such as minting NFTs to trade virtual items from video games. At its core, Gameswap will act very much like an automated market maker (AMM) for swapping tokens. However, instead of the primary trading pair being Ethereum (ETH), on Gameswap it will be its own native token GSWAP. The team highlights that many trading platforms for virtual skins claim to be peer to peer, but they are centralized. Gameswap aims to provide a transparent open source platform without any central points of control.
So it’s an NFT marketplace?
Yes, kind of. You can draw similarities with an NFT marketplace such as OpenSea or Rarible. However, the main difference is Gameswap will provide a bridge for in-game items to be minted into NFTs.
Essentially, users will be able to trade different in-game currencies as ERC20 tokens, buy/sell/swap NFTs, and cashout to various stablecoins. Most likely the platform will also support trading native crypto games such as Axie Infinity or Aavegotchi.
GSWAP is the platform’s governance token along with the main payment token for the platform. For example, if two gamers swap an in-game item as an NFT but there is a price difference. The trader will then use GSWAP tokens to cover the difference.
Looking to the Future
Gameswap platform should be operational in a beta form before Christmas, however, GSWAP farming will be live shortly.
DeFi Farming… If you’re a SHROOM holder then the upcoming liquidity mining programs to farm GSWAP tokens will be a great opportunity. Currently, the first Uniswap pairs available to stake in the farming pools will be GSWAP-SHROOM (6x), ETH-SHROOM (3x), ETH-GSWAP (3x), UNI-SHROOM (1x), LINK-SHROOM (1x).
- GSWAP has a fixed total supply of 20,000,000 with 6% being sold via an initial auction on Bounce Finance. This is to bootstrap the initial GSWAP/ETH Uniswap liquidity.
A risky adventure… while the platform looks very promising, especially as it would bring together the gaming industry and NFTs beautifully. Potential investors and farmers should note major game developers such as Valve have a history of banning platforms that interact with their in-game skin markets. As a result, the platform’s success may depend on if Gameswap can establish partnerships with game developers!