What is Enjin Coin?

Enjin Coin (ENJ) is an Ethereum-based cryptocurrency used to directly back the value of blockchain assets created with the Enjin platform. A leading ecosystem for non-fungible tokens (NFTs), Enjin is a smart contract platform that gives gaming communities the required crypto-backed value and tools for implementing and managing virtual commodities. The Enjin platform enables other game creators to develop fungible and non-fungible digital assets in the shape of in-game Ethereum tokens.

A brief history of Enjin Coin

Founded by Maxim Blagov and Witek Radomski in 2009, Enjin launched with the debut of its first product: the Enjin Network, a community gaming platform with over 20 million users worldwide. The Enjin Network service, which is still in use today, allows anyone to create websites, forums, and applications for gamers.

Following an initial coin offering (ICO) for its ERC-20 token ENJ, which resulted in the raise of US$18.9 million worth of funds, Enjin shifted its focus to the blockchain sector in 2017 and developed its own set of blockchain tools and services. The Enjin Wallet, the Android version of Enjin’s blockchain wallet, was introduced in January 2018. This was followed by the release of an iOS version a few months later.

Enjin officially released its Enjin platform on the Ethereum mainnet in 2018, and it was also compatible with the Kovan Testnet. That same year, Enjin proposed a new ERC token standard, ERC-1155, which was adopted in 2019 and is included in the company’s current software.

Following the ERC-1155 token standard launch, Enjin established a marketplace where anyone could purchase and trade ERC-1155 assets. Over 1 million people have downloaded the Enjin Wallet, according to figures from Google Play Store as of May 2022, and over 3,000 projects are on the Enjin platform as of May 2020.

Developers can use the Enjin platform to create projects (such as video games and web applications). They can also create and issue in-game assets as Ethereum tokens once a new project is created. At any time, all Enjin Coin-made assets (NFTs) can be ‘melted’ or exchanged for ENJ.

Enjin has several prominent investors, including HashKey, DeFi Alliance, Digital Finance Group, and Crypto.com Capital.

How Enjin Coin works

ENJ is an ERC-20 token running on top of the Ethereum blockchain, which means the project provides transactions and smart contracts. Enjin began testing the Raiden Network, Ethereum’s version of the Lightning Network, before working on a custom scaling solution dubbed Efinity. The Enjin platform provides extensive features through its public API and software development kits (SDKs).

The Enjin project offers its users the ability to create and manage virtual goods. Developers can make their own cryptocurrencies backed by ENJ, incorporating them into the gaming world and making gamification easier. Enjin combines several protocols to create an all-inclusive system where gamers and developers can work together. Gamers can use the Enjin Network to develop forums, group chats, voice servers, recruitment apps, and virtual item stores.

The network now has over 20 million registered users spread across 250,000 gaming communities. As a result, it is one of the largest social gaming platforms in the world.

What is Enjin Coin used for?

While ENJ is tradable on many exchanges, the Enjin platform also offers a more focused use case for the token through games, NFTs, and other assets and applications. Items for sale in the Enjin marketplace can also be used in games such as Lost Relics and Spirit Clash. To transfer items to other players, users need ENJ. As a result, the ENJ token has a specific use case within the Enjin ecosystem.