BinaryX (BNX): a platform that abandoned the derivatives market in favor of GameFi

What is BinaryX?

BinaryX is a decentralized platform focused on the GameFi market. It is also a platform (launchpad) for conducting an Initial Game Offering (IGO) of game tokens.

The name GameFi comes from the merger of the words "Game" and "Finance," similar to Decentralized Finance (DeFi). At its core, GameFi is a segment of the DeFi marketplace focused explicitly on the Web3 gaming sector. In other words, GameFi is a collection of decentralized gaming platforms and one of the fastest-growing areas in the crypto industry.

Initially, BinaryX was conceived as a decentralized platform for derivatives trading (from which its name was derived). Still, later, the project team changed its focus to the GameFi and metaverse markets, the popularity of which began to increase at that time.

BinaryX ecosystem

The core of the BinaryX ecosystem consists of a launchpad platform for IGOs, an NFT marketplace for trading game characters, and 4 games:

• AI Hero — MMORPG (massively multiplayer online role-playing game) based on artificial intelligence and machine learning using GPT technology;
• Project Matthew — a strategy simulation game in which players can build their space stations and explore the game universe on the blockchain;
• CyberChess — a PVP and P2E strategy card game where players battle each other and are rewarded with digital assets for victories;
• CyberDragon is the first blockchain game from BinaryX. In it, players can collect cards, recruit and level up heroes, and mine rare items in pursuit of defeating the main boss, CyberDragon.

BinaryX token

BNX is a native token of the GameFi platform BinaryX, issued as a BEP-20 token on the BNB Smart Chain blockchain. The BNB Smart Chain is one of the most popular networks, especially among game developers, as it allows for cheap and fast transactions.

This is very important for many blockchain games, such as CyberDragon, as many in-game actions, including purchasing in-game items, come with transaction confirmation. On the Ethereum network, the costs of such transactions would be very high, which may have played an essential role in the declining popularity of games based on this blockchain (some time ago, commissions reached several tens of dollars equivalent).

The maximum issuance of BNX tokens is limited to 2.1 billion, with only 372 million BNX circulating on the market as of July 2024, which is only 17.7% of the token limit.

Although in CoinMarketCap's global ranking of cryptocurrencies, the token is not yet even among the top 100 digital assets by capitalization (as of July 2024), in its GameFi segment BinaryX ranks 11th by this indicator, slightly behind the well-known gaming projects The Sandbox and Decentraland.

The BNX token is the main asset of the BinaryX ecosystem and performs many different functions:

• In-game purchases. BNX is used to pay for goods on the NFT marketplace, as well as in-game purchases within the CyberDragon, CyberChess, AI Hero, and Project Matthew games released by the platform team;
• To fund game development and community development. The BinaryX team regularly allocates BNX tokens to expand its ecosystem and even launched its own Cyber Incubation Fund in 2022. In addition, the BinaryX team financially supports projects launched through its IGO Launchpad and also rewards active members of its community;
• Governance (DAO). BinaryX, like many Web3 projects, is structured as an autonomous decentralized organization that hands over the right to manage the ecosystem to the community of BNX owners. This asset is also a management token.
• Tokensales. Initial Game Offering participants use BNX tokens to buy tokens of new projects released on the BinaryX platform;
• Earnings from games. Games released on the BinaryX platform operate on a Play-to-Earn (P2E) model. This allows users to earn income while playing the game. The BNX token is also used to hire characters in games.

Future of BinacyX

Given that GameFi is trending in 2024 and the whole ecosystem of decentralized games is evolving, the BinaryX platform has every chance to become one of the key ones in this segment.

Over the last year alone, the project's capitalization has grown more than 8 times — from $63 million to $548 million. Not many decentralized projects on the crypto market — even in the GameFi segment — have demonstrated such results.

According to CoinMarketCap data for July 2024, the total capitalization of the GameFi market already exceeds $20.5 billion. Business Research Insights forecasts that the GameFi market will reach $90.5 billion by 2031, with an average annual growth rate of 27.13%.