# 1. Background

The development of GameFi can be traced back to the rise of blockchain and cryptocurrencies. Blockchain technology provides a secure, transparent, and tamper-proof solution for the creation, trading, and ownership transfer of digital assets. Additionally, the emergence of DeFi enables financial activities to be conducted in a decentralized manner, eliminating intermediaries and trust issues present in traditional finance.

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In traditional games, players typically only obtain virtual assets within the game, which often lack real economic value outside the gaming environment. However, with the advent of blockchain technology, players can truly own virtual assets within games and obtain actual economic returns through in-game and out-of-game transactions.

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