Magic Eden Introduces Semi-Fungible Tokens Marketplace in Collaboration With Genopets
Leading Solana based NFT marketplace Magic Edenhas introduced its new take on Non-Fungible Tokens with their its Semi-Fungible Token (SFT) for popular move-to-earn blockchain game Genopets.Players of Genopets now have the option of minting and trading in-game SFTs that are crucial to the crafting economy, to allow them to trade entities like Terraform Seeds and Crystals through the Magic Eden marketplace.
What are Semi-Fungible Tokens
In cryptocurrency, there are normal tokens like Bitcoin, Litecoin or ERC-20 that are fungible, meaning that they’re divisible and non-unique. And there are non-fungible tokens like ERC-721 that are non-divisible and unique. Now a new type of token is making its way into which is acting as a bridge between the two worlds.
Semi-Fungible Tokens (SFTs) are tokens that start off as a fungible asset and then transform into an NFT. Essentially they act as a bridge between fungible items such as Bitcoin to non-fungible such as NFT in-game items. This will allow companies to create a sustainable ecosystem with both tokens working together so gamers have an easier time with trading items for in-game currency.
A real world example of this would be to consider a movie ticket. The ticket holds a certain value and can be changed for any other ticket that is within the same seating area. Once the movie ends though, the ticket cannot be exchanged and used to watch a movie again, hence it becomes a collectors item. The Movie Ticket went from being fungible to non-fungible.
Non-Fungible Tokens (NFTs) play a key role in allowing players and developers alike to store their accessories, weapons, outfits, and other in-game assets on the blockchain, but certain assets need to be redeemed in greater quantities more than once.
SFTs are looking to “stack” in-game assets within a player’s inventory and lower the resources required for an efficient minting and transactional ecosystem during gameplay as they share a “Mint Account” which allows for less storage and lower minting fees. They also help developers transition from Web2 and trackable assets and currency to Web3 with the same functions.
Genopets utilizing SFTs
Genopets is a move-to-earn digital pets game where players evolve and battle against other players through upgrades that are achieved through physical movement which is converted into in-game experience. This will be one of the first games to use SFTs.
In Genopets, two of the most common in-game assets are Crystals and Terraform seeds. The Crystals in the game act as a base material which is utilized for crafting other various in-game items. Terraform seeds allow a player to choose and customize their habitats as well as make upgrades in terms of aesthetics and performance upgrades.
These are two of the first SFTs to be listed on Magic Eden. Traditionally if a player wanted to for example sell their Terraform Seeds, they would have to sell each NFT as an individual item but as SFTs they can sell multiple Terraform Seeds simultaneously, leading to a quick and efficient marketplace experience, simplifying everything to one click.
Tony Zhao, the head of Gaming Investments for Magic ventures stated "We are excited to partner with Genopets to power their new SFT marketplace which will bring familiar Web2 trading mechanics to players looking to build and grow their in-game assets. In support of NFT gaming developers, we're confident that our SFT tooling will allow projects to make further in-roads with creating high-concept, playable games on the blockchain."
This story was written in partnership with Linx Games
Linx Games is a community-driven blockchain game distribution platform for gamers and developers to interact, socialize and exchange ideas. It is for like-minded individuals to join forces and build out this ecosystem together.