Enjin Coin

Enjin Coin (ENJ): A Comprehensive Guide to the Gaming Cryptocurrency

Enjin Coin (ENJ) is a cryptocurrency and smart contract platform that aims to revolutionize the gaming industry by providing a suite of blockchain tools and services for game developers and players alike. Created by Enjin, a company established in 2009, ENJ serves as the backbone of a digital asset ecosystem focused on gaming.

What is Enjin Coin (ENJ)?

Enjin Coin (ENJ) is an Ethereum-based token that supports a platform for creating, managing, and trading virtual goods within gaming ecosystems. Launched in 2017, ENJ was designed to tackle common issues in the gaming industry such as fraud, high fees, and lack of true ownership of in-game items. The Enjin ecosystem enables developers to tokenize in-game items on the Ethereum blockchain, infusing them with ENJ to establish both their value and authenticity.

How Does Enjin Coin (ENJ) Work?

ENJ works through a unique concept called "minting." Game developers can mint blockchain assets (like weapons, characters, or collectibles) by locking ENJ tokens within these digital items. This process creates scarcity and gives these virtual items real-world value backed by the ENJ cryptocurrency.

The platform operates on these key principles:

• Minting: Creating blockchain assets backed by ENJ
• Melting: Destroying these assets to retrieve the ENJ locked inside them
• Trading: Exchanging these assets securely on various marketplaces

The Enjin ecosystem includes an array of products such as the Enjin Wallet, Platform, and Marketplace, all designed to work together seamlessly with ENJ token as the core currency.

ENJ Staking and Mining: What to Know

Enjin Coin (ENJ) operates differently from proof-of-work cryptocurrencies, and it's important to understand its unique characteristics:

ENJ Mining

Enjin Coin cannot be mined in the traditional sense. As an ERC-20 token built on Ethereum, ENJ relies on Ethereum's consensus mechanism rather than having its own mining protocol. This means there is no direct way to mine new ENJ tokens through computational work.

ENJ Staking

While ENJ itself doesn't have a native staking mechanism in its original design, the Enjin ecosystem has evolved to include staking opportunities. With the development of Enjin's scaling solution called Efinity (a Polkadot parachain), users can stake ENJ to earn Efinity Token (EFI). This represents a form of staking where ENJ holders can generate passive income by supporting the network.

Additionally, ENJ is "staked" in a sense when developers lock it into virtual items during the minting process, effectively removing it from circulation and potentially increasing the value of remaining tokens.

What is ENJ Used For?

Enjin Coin (ENJ) serves multiple purposes within the Enjin ecosystem:

• Backing virtual in-game items with real-world value
• Platform fees for using various Enjin services
• Anti-inflation mechanism for virtual economies
• Liquidity provider for trading virtual goods
• Incentives for community participation in gaming ecosystems

Game developers use ENJ to create blockchain assets for their games, while players use it to purchase, sell, and trade these assets. This creates an interconnected ecosystem where digital items have real-world value backed by the ENJ cryptocurrency.

ENJ Token Distribution

Enjin Coin (ENJ) was launched through an Initial Coin Offering (ICO) in October 2017, raising approximately $18.9 million. The token distribution was structured as follows:

• Public ICO: 80% of the total supply (800,000,000 ENJ)
• Team and Advisors: 10% (100,000,000 ENJ), subject to a vesting period
• Marketing and Partnerships: 6% (60,000,000 ENJ)
• Reserved for Company: 4% (40,000,000 ENJ)

The total supply of ENJ was capped at 1 billion tokens, making it a deflationary asset, especially considering that tokens get locked in virtual items through the minting process.

Additional Features and Developments of Enjin Coin (ENJ)

Efinity and JumpNet

Enjin has developed scaling solutions to address Ethereum's high gas fees and congestion. JumpNet is a private Proof of Authority blockchain that enables free and instant ENJ transactions. Meanwhile, Efinity is a Polkadot-based parachain designed for NFTs and gaming, offering improved scalability and interoperability.

Enjin Beam

Enjin Beam is a QR code-based distribution system that allows seamless delivery of blockchain assets. Users simply scan a QR code with their Enjin Wallet to receive virtual items backed by ENJ, making distribution at events or in marketing campaigns effortless.

Enjin's Marketplace

The Enjin Marketplace provides a platform for users to discover, buy, and sell ENJ-backed virtual items across various games and applications, creating a unified trading experience for blockchain gaming assets.

Trade ENJ on Any Exchange with Cryptohopper

Enjin Coin (ENJ) can be traded across numerous cryptocurrency exchanges worldwide. To optimize your trading experience, consider using Cryptohopper's automated trading bot, which allows you to trade ENJ and other cryptocurrencies efficiently on any supported exchange. With automated strategies and 24/7 trading capabilities, Cryptohopper helps both beginners and experienced traders navigate the volatile crypto markets with greater ease.

Whether you're interested in ENJ for its gaming applications or as a trading opportunity, understanding this innovative cryptocurrency's ecosystem can help you make informed decisions in the rapidly evolving blockchain gaming space.