“Scholarship/scholar” refers to a program or system where players with limited resources can borrow NFT assets from experienced players (managers) to participate in play-to-earn (P2E) games.

Imagine an expensive virtual land in a P2E game that would grant access to valuable resources and earning potential.

A scholarship program allows new players (scholars) to rent this land from experienced players (managers) without buying it themselves.

In return, the scholar shares some of their in-game earnings with the manager.

How Does the scholarship/scholar system work

1. Manager

Owns the NFT assets (e.g., characters, land) needed for playing the P2E game.

2. Scholar

Plays the game using the manager’s NFTs and earns in-game rewards (e.g., tokens, virtual items).

3. Earnings split

The manager and scholar share the in-game earnings according to a pre-determined agreement, typically 50/50 or 70/30 in favor of the scholar.

Benefits of Scholarship

1. Scholars

Access expensive P2E games without upfront investment, earn rewards and learn from experienced players.

2. Managers

Passively earn income from their NFT assets and potentially expand their player base.

Popular NFT games with scholarship systems

1. Axie Infinity

The pioneer of scholarship programs in P2E, requiring players to own three Axie NFTs to start playing.

2. Guild of Guardians

It’s a fantasy RPG where players can rent heroes to battle monsters and earn tokens.

3. Splinterlands

A card game where players can lease decks to compete in battles and earn rewards.

Challenges of scholarship/scholar systems

1. Security risks

Both managers and scholars need to trust each other with their valuable assets, raising concerns about potential scams or theft.

2. Exploitation

Managers might exploit scholars by demanding unfair sharing terms or excessive work hours.

3. Game dependence

The value of scholarship programs depends on the success and sustainability of the underlying P2E game.

Generally, it is essential to check the context in which the terms “scholarship” and “scholar” are used within a particular NFT project, game, or community.

Different projects may have unique definitions and programs associated with these terms, reflecting the diversity of approaches within the broader NFT and blockchain space.