The NFT gaming space continues to explode, leading the way for web 3.0 adoption. The surge in NFT interest in 2021 saw many new projects emerge to capitalize on the global demand from participants.
Aavegotchi (GHST) is an example of a high-quality project making waves in the NFT gaming market. This NFT runs on the Aave protocol, offering value to the world of decentralized finance and the growing NFT gaming market, combining aspects of DeFi and crypto while utilizing a unique approach to blockchain gaming.
Let’s unpack everything you need to know about Aavegotchi and GHST.
Where to Buy Aavegotchi GHST
This section is our top picks of where and how to buy the Aavegotchi GHST Crypto token. We chose these based on our experience of using them and considered fees, security, payment options and reputation.
- Uphold: Great Exchange for Newbies & Advanced Users
- Binance: Largest Crypto Exchange with Low Fees
- Kraken: Highly Regarded and Easy to Use for Beginners
- Kucoin: Beginner Friendly & Lots of Choice
- Gate: Great Exchange for Newbies & Advanced Users
Visit The Top Pick
Uphold: Great For Buying & Selling Multiple Cryptos
Uphold is a comprehensive digital financial services platform catering to a worldwide audience, operating in over 184 countries and supporting over 200 traditional and cryptocurrency assets as well as commodities. Through seamless foreign exchange and cross-border remittance solutions, Uphold has facilitated over US$4 billion in transactions since its inception in 2015.
As a multi-asset platform, Uphold offers a distinct "Anything-to-Anything" trading experience, allowing users to effortlessly exchange between various asset classes. With integrated payment solutions, Uphold paves the way for universal access to financial services.
Founded on a robust framework of proprietary technologies and e-money applications, Uphold is dedicated to promoting a future where individuals and businesses globally can benefit from secure, transparent, equitable, and cost-effective financial services.
Pros
- 50+ Cryptocurrencies
- Easy to Use - Single Click Trading
- iOS & Android App
- Transparent Fees
- Well Regulated
Cons
- No Volume Discounts
Binance: Largest Crypto Exchange
Binance is the biggest cryptocurrency exchange in terms of daily trade volumes. Cryptocurrency investors can enjoy full access to trade over 600 crypto assets, including big movers like Bitcoin, Ethereum, and most of the top cryptos. With a minimum deposit of $10, investors can instantly start investing their crypto of choice.
Besides its large inventory of crypto assets, Binance also offers the lowest trade fees in the market. Binance charges 0.1% on all trades, and there’s an option for this figure to be further discounted by 25% for investors who hold Binance Coin – the exchange’s native token.
Funding your Binance account is seamless and straightforward. The exchange supports several deposit channels, including bank wire transfers, peer-to-peer (P2P) payments, credit/debit cards, and payment processors.
However, unlike eToro – deposits are not always free. For instance, Binance charges customers a standard fee of up to 4.50% on all crypto purchases made with debit/credit cards. Crypto deposits, on the other hand, are free.
This popular crypto exchange features a detailed learning curve and advanced trading tools, making it more suited for well-experienced traders and not beginners.
In terms of security, Binance offers the best security integrations. This broker features two-factor authentication (2FA), whitelisting, and advanced data encryption to protect customer funds and data. Also, Binance utilizes cold storage to store a vast majority of its funds, and the exchange also operates an insurance fund that protects customers in the event of an attack.
Pros
- Lowest trading fees in the market
- High liquidity on most cryptos
- Advanced trading tools
- Large crypto inventory
- Wide range of deposit channels
Cons
- Not beginner-friendly
Kraken: A Leading & Well Regarded Exchange
Kraken is one of the longest established exchanges with an excellent reputation for security and integrity.
Started back in 2011 they have built a great reputation among traders and beginners alike and offer high liquidity and lots of different cryptocurrency listings.
Kraken is trusted by some of the largest institutions and traders around the world and can handle high volume trading with ease.
They have lots of coin pairs to trade and also offer withdrawals back to fiat in your currency of choice.
We have no hesitation in recommending Kraken for your trading needs.
Pros
- High Liquidity
- Great Reputation
- Well Established
- Easy to Use
- Fiat Options
Cons
- The KYC process can take a little while
KuCoin: Beginner Friendly & Lots of Choice
This exchange, one of the oldest and most popular brokers globally, is especially suited for derivatives traders and sophisticated investors. However, everyday investors looking to get into the market can make use of the broker as well.
Based in Seychelles, KuCoin isn’t licensed to operate in the United States. However, investors in other countries can easily access the broker and buy coins. The exchange currently supports over 200 cryptocurrencies and 400 trading pairs, and it has a full suite of features that encompasses savings, staking, and even Initial Exchange Offering (IEO) participation.
This broker works for advanced traders or beginners, the interface takes a little time to get used to but it's fairly intuitive and there are tutorials on the site.
Currently, KuCoin doesn’t accept bank deposits. Instead, the broker allows investors to deposit using cards, swift peer-to-peer (P2P) transfers, and direct crypto transfers. Users can only deposit fiat or crypto, and KuCoin requires a $5 minimum deposit.
Trading fees on KuCoin stand at a flat rate of 0.1%. However, these fees could reduce based on users’ 30-day trading volumes and their ownership of KuCoin’s KCS token.
The broker also takes security very seriously, with bank-level encryption and security infrastructures to keep users’ funds and data safe.
Pros
- Bank-level security infrastructure
- Access to IEOs
- Quick P2P trading system
Cons
- No bank deposit option
Gate.io: Good Platform With Huge Range
Gate was established in 2017 and has maintained a good reputation since then among experienced traders and beginners alike.
They offer one of the largest ranges of crypto coins and tokens available, currently standing at over 1400 different assets to trade.
The site is secure and easy to use with some nice extra protections such as trading passwords, 2 factor authentication and so on.
There is a mobile app available and their web platform is fast and easy to use.
Gate also offers a lot of other options to trade on the platform such as NFTs, P2P trading, Futures, Leveraged tokens and also some earning options.
Pros
- Huge range of crypto to trade
- Simple & Easy to Use
- reasonable trading fees
- Mobile App Available
Cons
- No Fiat Options
- Not Regulated
What is Aavegotchi?
Aavegotchi is an NFT collectible game built on the Ethereum Network. Participants can buy and grow their Aavegotchi avatars and use them to interact in the Aavegotchi metaverse. Aavegotchi avatars are digital collectibles featuring unique attributes defining their rarity score.
An Aavegotchi rarity score depends on specific avatar character traits, wearables, and their ‘Kinship score,’ based on the player’s interaction with their avatar and the number of ‘aTokens’ staked to their avatar.
The Aavegotchi platform echoes the digital pet game ‘Tamagotchi’ from the 1990s. However, Aavegotchi introduces classic gameplay while relying on next-gen blockchain-enabled functionality for the user experience.
Aavegotchi incorporates Blockchain gaming, DeFi, digital ownership, and staking into a single platform. ‘Aave’ gets its name from the word ‘ghost’ in Finnish. Aavegotchis are, therefore, visual representations of cartoon ghosts, and it’s no surprise that the name for the native token used in the Aavegotchi metaverse is ‘GHST.’
What is the GHST Token?
The GHST token is the native tokenized currency used in the Aavegotchi metaverse. Every Aavegotchi comes backed by GHST. So, crypto assets held by users in the Aavegotchi universe are known as ‘aTokens.’
The Aavegotchi protocol relies on ERC-20 tokens like ETH, MANA, and UNI, along with stablecoins listed on Aave to stake as collateral in Aave. The Aave white paper states’ aTokens generate yield via Aave’s LendingPool, which increases the number of aTokens held in the wallet.
Therefore, Aavegotchi valuations derive from their rarity and intrinsic value. The intrinsic value defines the value of Aavegotchi’s staked collateral. Its traits and equipped wearables determine its rarity value.
Aavegotchis have several traits determining their rarity value, influencing the value of Aavegotchi NFTs. As an example, the ‘Kinship’ trait increases or decreases depending on owner interactions.
The highly anticipated Aavegotchi platform launched in September 2020. GHST tokens were distributed over two rounds in Q4 2020. Its initial token distribution involved 5 million GHST to private sale, 500,000 to the presale, and 2 million to the dev team, with the balance going to public sale.
The GHST token doesn’t have a max supply cap. However, its circulating supply is currently 48,033,699 GHST, per data from CoinMarketCap in Q3 2022. The distribution protocol relies on a bonding curve, ensuring increased utility impacts demand positively, thereby increasing the price action over time.
Users can earn GHST rewards through two methods on the Aave platform. Rarity Farming and Governance rewards offer investors the chance to earn coins. The initial vesting period for GHST during both distribution rounds was fixed at one year. The Aavegotchi ecosystem reserve fund also received 1 million GHST in the distribution.
How Does Aavegotchi (GHST) Work?
To obtain an Aavegotchi, users must first acquire GHST tokens from participating exchanges listing GHST tokens. Several decentralized exchanges offer GHST, including well-known exchanges like Binance and Kraken.
After securing their GHST, users can directly purchase their Aavegotchi. They also have the option of buying a ‘Portal,’ a selection of ten Aavegotchis from which users can choose. An Aavegotchi avatar acts as a digital ‘escrow’ account holding staked GHST.
When summoning an Aavegotchi, users stake a minimum amount of aTokens. The value of aTokens is pegged to other asset values in the Aavegotchi avatar to increase its rarity score. The number of aTokens staked to Aavegotchi is its ‘Spirit Force.’ Its Spirit force plays a significant role in increasing the Aavegotchis value.
An Aavegotchi’s Spirit Force generates yield on users’ aTokens through the Aave lending protocol. As a result, it steadily increases the number of tokens staked to the Aavegotchis. Aavegotchis possess two further attributes contributing to its rarity and value score.
Aavegotchis randomly receive traits upon summoning, with the Aavegotchis traits receiving grading according to rarity. Some of the traits you’ll find in Aavegotchis include Brain Size, Energy, and Experience. These traits impact Aavegotchi’s rarity and performance in games.
Aavegotchis also require wearables to give it a unique appearance and increase its unique attributes, adding to its value. Users can buy and sell Aavegotchi wearables in the marketplace using GHST. The wearables trade separately from the Aavegotchi, creating a sustainable marketplace and adding value to the Aavegotchi ecosystem.
In-game, players can use GHST tokens for the following applications.
Purchase Portals and Summon Aavegotchis
Users can purchase a portal pack and summon the Aavegotchi into the game. After the player opens the portal, they have ten Aavegotchis presented to them, and they can select one of them to take into the game.
For the player to claim the Aavegotchi from the portal pack, they’ll need to stake the required collateral to access it.
Purchase Wearables
As mentioned, wearables increase an Aavegotchis trait and rarity score. These wearables are available through the Aavegotchi marketplace and paid for using GHST.
Purchase ‘REALM’ or ‘LAND’ Parcels
These parcels exist in the Gotchiverse REALM and require payment with GHST.
Earning Points
Users can stake their GHST to earn rewards points.
Aavegotchi Staking
Users can also use their GHST to unlock ‘REALM.‘ These tokens represent digital real estate ownership in the Aavegotchi metaverse. GHST holders stake tokens in the ‘Aavegotchi Staking Contract’ and receive a non-transferable FRENS balance.
Users then covert the FRENS into ‘Raffle Tickets’ they use t stand a chance at winning wearables. Users also stand the chance of winning ‘Drop Tickets,’ giving them a chance to win virtual real estate and portals.
All transactions in the Aavegotchi metaverse, including purchases of consumables and wearables, all require the use of GHST for payment. To trade in the Aavegotchi metaverse, users must create a MetaMask wallet and open an Ethereum wallet address.
To start playing Aavegotchi, you’ll need ETH. You can purchase Polygon (MATIC) or ETH and bridge the blockchains using a cross-chain. After completing this setup, users purchase GHST and connect to the Aavegotchi network to begin their gaming experience.
Players earn GHST tokens by participating in ‘rarity farming,’ where the owners receive GHST distributions based on Aavegotchi rarity scores. Users can also earn GHST through playing mini-games and voting in the Aavegotchi DAO.
What are the Core Features of Aavegotchi?
- An Aavegotchi is a playable digital asset existing as collateral on DeFi protocols. Since Aavegotchi NFTs come with inherent benefits in the Aavegotchi ecosystem, they have an intrinsic value that’s not solely dependent on their use in gaming.
- To interact with their Aavegotchi, users must stake ‘aTokens’ like USDC and LINK into Gotchi. As a result, users accrue interest natively in their wallets in real-time. Along with yield earnings from staking activities, GHST holders have the chance to win high-end wearables and consumables that trade on marketplaces like OpenSea.
- The Aavegotchi metaverse bases its monetization model around fees charged for mini-game interactions and the sale of wearables and consumables. All revenues are shared with top rarity farmers, ensuring market participants get a fair share of aggregated value.
- Aavegotchi avatars secure value from their unique ‘Spirit Force.’ The Spit Force essentially represents the Aavegotchis traits, wearables, and staked backing. Those Aavegotchis with a high Spirt Force value receives more demand and greater collectability in the secondary market.
- Players can upgrade rarity scores by staking ‘aTokens’ to the Aavegotchi or purchasing wearables to give the Aavegotchi a unique aesthetic.
- Finally, users can use their GHST to participate in the governance of the Aavegotchi metaverse, the Aavegotchi DAO. The Aavegotchi DAO acts as the governing body allowing GHST token holders to secure voting rights on key decisions that may influence the project’s direction.
Aavegotchi Wallets
There is no dedicated wallet for the Aavegotchi ecosystem. Users need to secure the MetaMask wallet if they want to start playing in the Gotchiverse. MetaMask is the most popular option for new Aavegotchi users. MetaMask bridges the Ethereum and Polygon networks, allowing players to start using the platform.
For those users that have no interest in the game but wish to start adding GHST to their altcoin portfolios, you’ll need a secure storage option. There are plenty of viable hardware wallets out there that take the risk of leaving your GHST in a hot wallet on an exchange.
Aavegotchi Shifts from Ethereum to Polygon
The Aavegotchi metaverse runs on the Aave protocol. Similar to Aave, it benefits from the security provided by the Ethereum Network. The Ethereum network runs on a ‘PoW’ (Proof of Work” protocol, and the Aavegotchi metaverse leverages this security.
Currently, the crypto universe is awaiting the highly-anticipated Ethereum merge. This merge promises to transition the Ethereum Network to a Proof of Stake model, enabling efficient scaling and operations.
All Aavegotchi smart contracts feature an open-source design to increase the chance of users spotting bugs and errors, thereby notifying the dev team of any faults they find with the platform. This structure allows for a faster updating and maintenance of the Aavegotchi ecosystem.
In early 2021, the team behind the Aavegotchi metaverse made the decision to delay the game due to the high gas fees charged ion transactions on the Ethereum network. After releasing a survey on its discord server, the Aavegotchi team found that 75% of users favored delaying the launch.
As a result, the management team decided to shift the game to the Polygon network, where gas fees weren’t a problem. This Layer-2 scaling solution provided the utility the dev team needed to avoid the gas fees associated with trading on the Ethereum Network.
In early 2022, the Aavegotchi game saw its NFT-based ‘Aavegotchi Baazaar’ become the most active marketplace on the Polygon Network. Aavegotchi started its second virtual real estate auction in December 2021.
The virtual auction property in the Gotchiverse saw more than $40 million in sales. Due to the success of the Gotchiverse, several gaming guilds, including Metaguild, YGG SEA, MaoDao, and FlamingoDAO, stepped in to become REALM’ paartners.’
In October 2021, Aavegotchi was finally included in Polygons Ecosystem Index (PECO) token. This token aims to assist new projects on the Polygon Network to receive exposure to Polygon-native projects as its single token.
The Aavegotchi Team
The Aavegotchi Gotchiverse concept comes from Singapore-based Pixelcraft Studios. This studio has several talented coders and devs on the team, with plenty of experience in DeFi, and NFTs, and hits a part of many successful decentralized financial projects.
‘Coder Dan’ acts as the company’s CEO and co-founder, working with co-founder Jesse Johnson. Johnson is the COO, founder of Pixelcraft Studios, and creator of ‘Bullionix,’ an NFT collectible backed by gold.
Johnson previously held strategic roles within former companies as manager of international market development and business relations director, including tenures at China’s ZB Group and Intop Exhibition Co.
The team includes other members handling critical roles in the form, such as Aave’s founder, Stani Kulechov, taking a role as the project’s advisor.
How to Buy GHST on Uphold
Looking to buy GHST? Get started on Uphold within minutes:
Step 1: Sign Up to Uphold
Visit Uphold and hit the "Signup" button at the top right of the website.
Once the account is created, Uphold requires that users enter their personal information, including legal name and date of birth, as shown on their government documents. They’ll also need to enter their home address information and verify their phone number to finalize the process. This is a basic verification process
Step 2: Fund Your Account
Uphold offers fee-free deposits to its customers. They can deposit funds into their Uphold wallet using cryptocurrencies, debit cards, bank wire transfers, and crypto deposits. New users need additional verification to use the debit card or wire transfer options.
In the sidebar, click the "Linked Accounts" link and choose to add a card or a bank.
Enter your card or bank details.
Step 3: Buy Your Chosen Crypto
Now search for your chosen crypto to purchase, you can choose a currency to pay with, the amount and the crypto you wish to purchase.
After selecting the trading pair, click on the “preview trade” option and it will show you the trade and fees, finally click "confirm trade" to make the purchase.
Conclusion
We conclude that the Aavegotchi’ Gotchverse’ and the GHST token is a project offering real value to the blockchain gaming community. The company uses a unique approach to creating and managing NFTs and its DeFi use cases.
The Aavegotchi dev team intends to add additional functionality to the Gotchiverse in the future as the project develops.
Players can manage NFTs while having fun and building unique traits into their Aavegotchis that increase their value on the secondary market. The built-in staking mechanism in every Aavegotchi also provides a fresh edge to blockchain-style gaming.
Aavegotchi brings us a promising combo of DeFi concepts that show potential in revolutionizing the blockchain and NFT gaming sector. However, with the crypto winter seeing a massive decline in the price action of GHST, we imagine there is more pain to come for the dev team in Q4 2022 and 2023.
