The Play to Earn (P2E) gaming sector has gained popularity presenting an opportunity not only to enjoy gameplay but earn rewards in the of cryptocurrencies or tokens. These cryptocurrencies often known as Play-to-Earn tokens (PJTs), can be used within the game’s ecosystem or traded on the crypto exchanges. With the influx of new P2E projects, recognizing undervalued gems can be difficult. This is where the Undervaluation index (UI) comes in to play it part.
What is the Undervaluation Index (UI)?
UI is a metric criterion used to assess the potential undervaluation of a PJT, it examines the project market capitalization. By Project market capitalization, I mean the total value of all outstanding tokens to its 24-hour trading volume. The lower the Undervaluation Index, the less liquid the token is compared to its market cap.
Top PJTs with High Undervaluation Index (UI)
In the course of our discussion, we will narrow down to the top 11 PJTs with a market capitalization between $1 billion and $5 billion, ranked based on their UI, suggesting potential undervaluation.
Notcoin (NOT): Notcoin is a revolutionary cryptocurrency that has rapidly gained popularity due to its innovative approach and integration with Telegram. Designed for ease of use and accessibility, Notcoin allows users to earn tokens through engaging activities like tapping games and completing simple quests. With a growing community and unique features, Notcoin stands out as a promising digital asset in the ever-evolving crypto market.
Ordi (ORDI): ORDI, also known as Ordinals, is an innovative cryptocurrency that leverages the power of Bitcoin’s blockchain technology. It introduces a unique method of inscribing data directly onto satoshis, the smallest unit of Bitcoin, allowing for a new level of transparency and immutability. ORDI aims to enhance the security and reliability of digital transactions, making it a promising asset for investors seeking stability and cutting-edge technology in the crypto space.
Bonk (BONK): Bonk, a meme coin that is connected with Solana based Solana Monkey Business (SMB) NFT collection. While it is not a pure P2E token, Bonk is utilized within the SMB ecosystem for in-game activities. The coin introduces volatility but the strong community provides underlying support for the BONK’s value.
Floki Inu (FLOKI): Floki Inu is a meme coin uplifted by the Shiba Inu dog and Elon Musk’s tweets. It has some P2E elements like NFT games and planned metaverse integration. The success of Floki Inu depends heavily on maintaining its meme coin status and delivering effectively on its planned P2E features.
Ondo Finance (ONDO): Ondo Finance is a decentralized finance platform with a P2E gaming element. Its users can get involved in yield farming and liquidity mining with rewards being distributed in the ONDO token. The combination of P2E and DeFi is attractive and its value depends on the general adoption of the Ondo Finance platform.
Dogwifhat (WIF): Dogwifhat (WIF) is a vibrant meme coin inspired by the playful and humorous world of internet dog memes. With its growing community of enthusiastic supporters, Dogwifhat combines fun and financial potential, aiming to become a significant player in the meme coin market by leveraging social media engagement and viral marketing strategies.
Ethena (ENA): Ethena (ENA) is a pioneering synthetic dollar protocol founded on Ethereum, designed to revolutionize decentralized finance (DeFi) and insurance. By offering blockchain-based insurance solutions, Ethena aims to provide enhanced security and transparency in financial transactions, making it a vital tool for the evolving DeFi landscape.
Optimism (OP): Optimism (OP) is a cutting-edge layer-2 scaling solution for Ethereum, focusing on improving transaction speeds and reducing costs. By utilizing optimistic rollups, Optimism enhances the Ethereum network’s scalability, enabling faster and more affordable transactions, which are essential for the mass adoption of decentralized applications (dApps) and DeFi protocols.
Fetch.ai (FET): This is a project focused on AI (artificial intelligence) and machine learning for blockchain applications. FET tokens are properly utilized to power the network and encourage participation. The success of Fetch Ai depends on the overall adoption and development of the blockchain space.
THORChain (RUNE): This is a decentralized liquidity network for cross-chain asset swaps. RUNE tokens are primarily used for staking, governance, and fees. THORChain facilitates trading assets used in P2E games.
Arbitrum (ARB): Arbitrum is a Layer 2 scaling solution for the Ethereum blockchain, aimed at improving transaction scalability and speed. Arbitrum tokens are used for governance and fees. ARB’s value is tied to the adoption of Arbitrum as a preferred Layer 2 solution. In conclusion, the P2E sector brings exciting opportunities for investors and gamers. By utilizing UI alongside others, you are on your way to identifying undervalued PJTs with high growth potential. However conduct research thoroughly, understand the risks associated, and invest in what you can afford to lose.
