Enjin Coin Chooses Bancor for Tokenizing In-Game Items September 11, 2017 – Posted in: News
Enjin has partnered with Bancor and announced their adoption of the Bancor protocol as a component of Enjin Coin, the Ethereum-based cryptocurrency for the game industry. Enjin Coin will be implemented with a Bancor Token Changer and become exchangeable with the rest of the coins on the Bancor Network. More importantly, all game items created on the Enjin Coin Platform will now have the ability to tie into the same network and benefit.
“Bancor will open up liquidity channels from gaming items to BNT and other smart tokens on the Bancor network.” said Enjin CEO Maxim Blagov, adding: “It brings us closer to our goal of tokenizing all kinds of items for gamers and preserving their intrinsic value. Enjin is the first to use the Bancor platform in such a pioneering way.”
A 2% reserve of ENJ and equivalent Bancor Network Tokens will be committed as reserve in the Token Changer (ENJBNT) to facilitate this liquidity network.
Game developers adopting Enjin Coin may eventually add hundreds of thousands of new ERC-20 tokens to the ecosystem, each unit backed by Enjin Coin reserve tokens. While the reserve ENJ tokens represent the “material cost”, the true value of game items is defined by their gameplay properties inside the game.
As Bancor smart tokens, items can finally be traded with the full representation of their actual intrinsic value and user demand. Bancor exchanges are like automated robots on the Ethereum blockchain. They give gamers the ability to liquidate or trade items at the time of their choosing, even if willing human buyers aren’t immediately available for rare end-tail items.
Enjin CTO Witek Radomski stated: “This is especially useful for independent games or newer titles where the player-base is still just growing. The automation of markets across any type of game is unprecedented in the gaming world!”
Enjin Coin will be extending its token pre-sale until September 15th in light of this development, to allow the community enough time to participate in the pre-sale. The gaming cryptocurrency has raised 22,000 Ether (over US$7 million) at the time of writing, and will be entering its Public Crowdsale phase on October 3rd.
Enjin is the largest gaming community creation platform online with over 18 million users. The company, based in Singapore, was launched in 2009 and now sees more than 60 million global views a month. Enjin’s gaming communities process millions of USD per month in virtual good sales.