Aavegotchi is making a solid impression on the NFT Charts. The Tamagochi-inspired NFT Game moved up seven places in the overall rankings. At its peak on June 16, Aavegotchi’s trading volume grew by 1369% which translates to $213,310 within a 24-hour period.
2-in-1 Collectible and Wallet
Like how the original Tamagotchi introduced the world to digital pets, Aavegotchi introduced the world to playable NFTs backed by a digital value.
Aavegotchis are 100% onchain NFTs that live on the Polygon Blockchain. Aavegotchis doubles as NFT game avatars and yield farming piggy bank. This means that aside from being a Collectible, Aavegotchis can also act as an NFT wallet. It can hold unlimited amounts of ERC20 collaterals such as GHST, MATIC and AAVE. Dubbed as “Gotchi Pockets,” it has its own escrow contract that allows it to accept deposits of any ERC20 token.
Aavegotchi is a DeFi-enabled crypto-collectibles game that allows players to buy NFT avatars and earn rewards. The primary value of an Aavegotchi NFT is that it can be boosted with wearables, which in turn would push its rarity score. This gamified take on yield farming is driving the growth of Aavegotchi.
Rare Aavegotchi avatars sell for incredibly high prices. DappRadar recorded several high-priced sales within the last 72 hours. Two portals sold for $10K each and a couple of Aavegotchis sold for around $7K each.
Aavegotchi vs. Competitors
Aavegotchi’s Dappradar Chart is looking good because the trading volume is growing alongside the number of sales. Looking at the top 7 Collection on June 16 (24H timeframe), Aavegotchi is among the projects with the most significant increase.
Axie Infinity is still unshakable at the top spot. The play-to-earn game will most likely continue to lead the pack because the Ronin sidechain implementation was a massive success. Additionally, Yield Guild Games announced that it would use a huge chunk of its $4 Million Investment to buy more Axie Infinity NFTs.
Looking at the numbers, Aavegotchi has the momentum to climb several places more in the overall ranking for the week and even the next 30 days.
NFTs and DeFi
Aavegotchi is the poster child on how to maximize NFTs and DeFi.
More than $2 billion was spent on NFTs during the first quarter of 2021 representing an increase of about 2100% from Q4 2020. Similarly, the Decentralized Finance (DeFi) ecosystem has seen unparalleled growth with Total Volume Locked (TVL) surging to $100 Billion as of April 2021.
Individually, NFTs and DeFi are blockchain powerhouses. Hence, it was a clever strategy to position Aavegotchi as a DeFi-staked NFT Collectibles.
Aavegotchi is also attracting attention from other established projects. Reef Finance, a leading liquidity aggregator and DeFi hub, announced that it is partnering with Aavegotchi. The direct connection with DeFi made Aavegotchi the perfect first NFT partner for Reef Finance. Thanks to the collaboration, Reef users will be able to interact with Aavegotchis by simply staking the REEF tokens.
The growing popularity and creative approach of Aavegotchi gives a glimpse of the future. It is at the vanguard of how DeFi, art, and gaming can intersect.
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This article is educational material.
As always, make your own research prior to making any kind of investment.
