Fnatic x Crypto.com - All you need to know
We exist to level up all gamers, even outside of the game itself.
As part of our partnership with Crypto.com, we’re committed to leveling up our fans' financial literacy, helping them better understand cryptocurrency, and enabling them to forge their future decision making.
As part of that commitment, we’ve created a Q&A for Fnatic fans who are new to the world of cryptocurrency and NFTs.
What is cryptocurrency?
Cryptocurrency, which is often referred to as crypto, is a form of digital currency that can be used to transact (e.g., purchase goods and services). The most commonly known cryptocurrency is Bitcoin, which was created in 2009 - however there are thousands of cryptocurrencies currently available, with varying levels of value.
Unlike Dollars or Pounds, cryptocurrencies are generally not issued by a central authority such as a bank or government, with potentially unlimited supply. Instead, the supply and release schedule of many cryptocurrencies is controlled and fixed by code.
What is blockchain?
Blockchain is the technology that allows cryptocurrencies to exist. Simply put, blockchain is the glue holding crypto together. It is a specific type of database that holds information about every crypto transaction. Every time new information is entered, it is stored in a new ‘block’. The information held on a blockchain cannot be edited or deleted - so the blockchain acts as a permanent record of all transactions made.
And why is Fnatic partnering with Crypto.com?
Our fans are some of the most connected, digitally savvy and engaged in the world. It made sense to further cater to their everyday needs by partnering with Crypto.com, allowing them to purchase their favourite Fnatic products using crypto.
Will I be able to purchase Fnatic goods using crypto?
Crypto.com is the fastest growing crypto platform, with over 10 million users worldwide. Fnatic and Crypto.com will work together to help fans benefit from cryptocurrency payment solutions in the near future.
We’re also going to be launching new digital products - including Fnatic NFTs - soon, and will be offering our fans rewards and money-can’t-buy experiences for using Crypto.com to purchase goods.
Crypto.com’s product suite also includes Crypto.com Pay, trusted by thousands of online merchants around the world (including household names like Time Magazine), and supports over 50 million wallets. With Crypto.com Pay, people can pay for goods and services with a wide variety of cryptocurrencies.
Sounds cool! But what’s an NFT?
NFT stands for Non-Fungible-Token. Unlike physical money and cryptocurrencies, which are fungible because they can be traded for one another, an NFT is a verifiably unique (non-fungible), digital asset. In essence, having an NFT is like having an original piece of art which you can be certain has been created by the artist themselves.
So can an NFT be any type of digital asset?
Literally any type of digital asset. Digital art has become increasingly popular but those delving into the world of NFT collectables have also purchased memes, music and drawings. As long as it’s digital, it can be an NFT.
What type of Fnatic NFTs will be available in the future?
We’re just excited about the future plans as you are! There will be plenty of cool projects coming from Fnatic in the next few months - watch this space!
Is using Crypto.com to purchase Fnatic goods safe and secure?
Crypto.com is one of the safest ways to purchase goods using cryptocurrency. Crypto.com is built on a foundation of security, privacy and compliance. It has been awarded the highest levels of compliance for cybersecurity and privacy and works with partners to continuously audit its blockchain systems. For more information about trading crypto securely, you can check out Crypto.com’s blog post about best practices.
Could I lose money getting into cryptocurrency?
The values of cryptocurrencies fluctuate. Like any investment, the value may go down as well as up which means you may not get back the money you invest in cryptocurrency.
That’s why it’s essential to understand and research which cryptocurrencies to purchase before investing in them. As part of our partnership, we’re going to be offering financial literacy and crypto education opportunities for fans who are new to cryptocurrencies and NFTs.
Fnatic staff and talent will never push any particular coin. Our ‘Doing Business With Integrity’ policies (backed up by our ‘speak up’ policy, at fna.tc/speakup) prohibit misuse of non-public information in trading by our staff. As recorded in our agreement with Crypto.com, these policies extend to crypto assets.
I read that cryptocurrencies and NFTs are bad for the environment?
Despite the positives of using cryptocurrencies, there has rightly been a lot of attention on the impact they can have on the environment. Critics’ concerns tend to focus on the amount of carbon dioxide that is produced in so-called ‘mining’, which is the process by which cryptocurrencies are created and entered into circulation, and the blockchain is maintained. “Proof of Work” blockchains (a model used by the earliest cryptocurrencies such as Bitcoin) require a lot of energy to operate. More recently established cryptocurrencies use “Proof of Stake” blockchains, which are much more efficient - these include Crypto.com’s coin, CRO.
The climate crisis is one of the biggest issues we currently face as a society, and we understand that sustainability is a critical issue for our fans. When forming a partnership with Crypto.com, we wanted to ensure our values on working towards a sustainable future were aligned.
Earlier this year, Crypto.com announced an ambitious plan to become carbon negative within the next 18 months. Their ambition to meet this goal was a crucial reason we decided to partner with the platform, and we will hold Crypto.com accountable in meeting this target.
That’s great news! But, what’s the plan for the next 18 months?
One of the reasons we chose to partner with Crypto.com is their commitment to sustainability and ongoing effort to make working with and creating digital assets carbon-neutral. To achieve this goal, Crypto.com has developed a three-phase plan it will roll out over the course of the next 18 months.
Crypto.com’s plan starts with an assessment of the carbon generated through cryptocurrency trading, deposit and withdrawal activities across all of their platforms. Having understood its carbon footprint, Crypto.com will work with experts and accredited organisations specialising in sustainability to implement a carbon offset programme. This work will be verified by an independent auditor to offer accountability to Crypto.com’s customers, the broader public and stakeholders like Fnatic.
By partnering with Crypto.com, Fnatic will be in a position to directly influence the sustainability journey of the foremost brand in crypto. We look forward to working in support of Crypto.com’s sustainability goals, and to help it meet its carbon neutral target.