The game CryptoKitties, which was introduced in December 2017, is, according to TechCrunch, “essentially like a digital version of Pokemon cards, but based on the Ethereum blockchain.” CryptoKitties is a game centered around breedable, collectible, and adorable creatures we call CryptoKitties! Each cat is one-of-a-kind and 100% owned by you; it cannot be replicated, taken away, or destroyed.
Can a digital good be rare?
Sometimes for individuals who are not connected to crypto, CryptoKitties might sound like a joke. But it is for real! Sometimes it has been a little difficult for individuals to understand the use cases of crypto mining. Because crypto kitties are from a compliance perspective, it shows you how complex it can get even though it looks easy, because what you see in the crypto kitties is a, like a drawing of two cats, which is unique. And then what happens you can buy those two drawings for around 40 US dollars. Read carefully now, because it gets abstract and complicated. There’s two crypto kitties that you bought once every let’s say two weeks, they have intercourse together. And they created another crypto kitty out of Two Kitties you get distributed. When it takes you longer to have two kitties, you can have more kitties. This is like a piece of code from a technical perspective. Eevery time when they mix together, let’s say one crypto kitty is white, another one is black they mix together and you have a white and black cat. And the most expensive crypto kitty has been sold for $170,000 in US dollars. People are buying and selling those crypto kitties, and of course, some of them the unicorn crypto kitties are more expensive than others. But to make it clear, you own the code that belongs to the kitty. The image being used is not yours. You can sell it, trade it, but you may not change the image belonging to CryptoKittes.com.
CryptoKitties are built on Blockchain, more specifically the Ethereum blockchain and have to buy CryptoKitties with Ether. Blockchain helps track and record transactions, there by it makes fraud a lot harder. Down side of it is the popularity of an Ethereum-based game CryptoKitties, for instance, caused the network to become heavily congested in 2017, slowing trade significantly. Ethereum 2.0 proponents claim that the proposed upgrade could cause thousands of more transactions per second to take place. Investors, meanwhile, assume that it could also contribute to more ether adoption as well as price appreciation.
How much would you spend on a CryptoKitty?
— Fyggex (@fyggexchange) August 12, 2020
Image: Astro_Maro and Peter Patel
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