The price of a little-known cryptocurrency called Gala has quadrupled in the last week.
Though slightly down on Sunday’s high of $0.48, it is still valued at $0.41 as of Monday afternoon, when it was at less than $0.10 a week ago.
Here is everything you need to know about the coin.
What is Gala?
Gala’s full name is Gala Games, and the token is known as GALA. The token runs on Ethereum.
Gala Games says its mission is to make “blockchain games you’ll actually want to play”.
It was created in 2019 by Eric Schiermeyer, one of the co-founders of mobile games company Zynga, which developed the likes of Mafia Wars and Farmville.
Gala has 1.3 million active users. It aims to give those users more control over their games. As Coin Market Cap explains: “The project wants to change the fact that players can spend hundreds of dollars on in-game assets, and countless hours spent playing the game, which could be taken away from them with the click of a button.
“It plans to reintroduce creative thinking into games by giving players control of the games and in-game assets with the help of blockchain technology.”
Gala players are able to own NFTs (non-fungible tokens) which allow them to influence how games are run and vote on new games.
The GALA token can be used to purchase these NFTs, as well as in-game items.
Currently Gala one has one playable game, which is called Town Star. A virtual town builder that has been compared to Sim City. However, more games are in development.
Why is its price soaring?
Many have attributed GALA’s jump to it being listed on two major cryptocurrency exchanges, including Binance.
According to the Global Gaming Market 2021-2025 report published by Report Linker, the gaming sector is expected to grow by $125.6 billion from 2021 to 2025, which works in Gala’s favour.
Coin Market Cap says GALA hitting $1 is not out of the question.
“Gala Games certainly has an interesting ecosystem of games and very experienced leadership, so even such an ambitious goal could happen in a few years,” it says.
Should I invest in cryptocurrency?
People invest at their own risk and cryptocurrencies are not regulated by British financial authorities.
All crypto investments are risky, but meme coins like Shiba Inu and smaller ones like Gala are particularly volatile, and you should be prepared to lose everything you invest.
The Financial Conduct Authority (FCA) warned in January: “Investing in cryptoassets, or investments and lending linked to them, generally involves taking very high risks with investors’ money.
“If consumers invest in these types of product, they should be prepared to lose all their money.”
Susannah Streeter, senior investment and markets analyst, Hargreaves Lansdown previously explained the risks to i.
She said: “On top of being extremely volatile, most cryptocurrencies are unregulated, which not only adds another layer of uncertainty but also means that investors have little or no protection against fraud.”
