Enjin Room: Stake Your NFTs? Enjin Announces Kraken Listing & Drops Partnership

Happy Tuesday everyone. Natural disasters dominate the headlines this week, so there’s no better time to keep looking at the construction of our future reality. The Enjin never stops, so to speak, and today’s edition of the Enjin Room looks at the two major updates last week that gave ENJ holders more optionality with their tokens and assets. 

The first announcement appeared out of the depths of crypto’s swirling waters. One of Kraken’s shining tentacles reached up to Enjin’s outstretched hand to fold its currency into a dizzying pool of coins to exchange. The second saw a partnership with Drops to let users use their NFTs to engage with other Ethereum assets without having to sell them first. 

Essentially, NFTs go DeFi. 

Kraken Listing

Enjin has been tradable on Kraken in most countries since May 15, but last week the exchange made ENJ (alongside Polygon’s MATIC) available to trade in the USA, Canada and Australia.  

Enjin alluded to the listing two weeks ago after they posted an interview with the popular exchange

CTO Witek Radomski and COO Caleb Applegate talked with Kraken’s Kevin Beardsley about topics ranging from the preservation of gaming history with NFTs, to Efinity and the choice to build on the Polkadot chain. There was a strong emphasis on future proofing and interoperability, Radomski and Applegate mentioning the hopeful end of walled gardens, and a games industry that may be willing to adapt to a decentralized asset economy.

“The majority [of developers] we’re talking to right now really emphasize that they don’t want to have control over this, they want it to be interoperable… a lot of the large enterprises don’t like the idea of something that they have to maintain forever and then what happens in ten years,” said Radomski. 

Drops Partnership

It’s still hard to truly use NFTs. Of course you can trade them or hang them up in Decentraland or the upcoming Nifty Island, but they remain an asset class still limited by their non-fungibility. Enjin’s collaboration with Drops aims to add some financial utility to a wallet full of ERC-1155s.

“Drops users will be able to utilize their NFTs and in-game items without having to sell them, in order to borrow a range of popular Ethereum-based assets, including stablecoins,” according to Drops’s Medium post. 

Drops provides a “DeFi infrastructure to NFTs,” which, “will become increasingly important as we witness the rise of financial NFTs,” according to their website. With their platform, NFT holders can put up their items as collateral for trustless loans or earn from NFT Lending Pools. 

This all now applies to Enjin NFTs like game assets across their ecosystem, and users can potentially reap more rewards from idle in-game items. So if you’re not using that Lost Relics sword, might as well stake it. 

Staking an NFT in a pool returns newly minted dNFT tokens. The Drops whitepaper example says that “A user deposits 1 Punk NFT to the pool, and in return receives 100 dPunk ERC20 tokens representing their stake in the pool.” In Enjin’s case, the tokens would be of the ERC-1155 variety. 

Of course, yield farming still comes with risks, the lack of federal insurance and the economy of crypto being as it is means that there’s always a chance an investor could lose a bunch of money, or NFTs in this instance, in a pool that goes bust.

Enjin Gaming News

In other Enjin ecosystem news, Kingdom Karnage released a dungeon yesterday. 

Their Medium article said “Catacombs is a dungeon in Kingdom Karnage. When you join, you will be given a preset deck and pitted in a 1 vs 1 dungeon battle against Multiverse Mike. Watch out though, Mike may not fight fair.”  

Space Misfits, sandbox PVP MMO that appears to appeal to a player’s deep seated Hobbsian state of rage, and encourages players to craft their own narratives by exploring the depths of space, released a list of future updates and additions. 

According to their website, Jade Stems Studios’ Space Misfits “Is a celebration of human greed, opportunism, and dabbing on the wreckage of your enemies.”

Stay tuned!

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*All investment/financial opinions expressed by NFT Plazas are from our site moderators’ research and experience and are intended as educational material only. Individuals are required to research any product before making any investment thoroughly.

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