What Is Enjin Coin (ENJ)? A Beginner's Guide

By Samuel Becker · October 11, 2021 · 6 minute read

We’re here to help! First and foremost, SoFi Learn strives to be a beneficial resource to you as you navigate your financial journey. Read more We develop content that covers a variety of financial topics. Sometimes, that content may include information about products, features, or services that SoFi does not provide. We aim to break down complicated concepts, loop you in on the latest trends, and keep you up-to-date on the stuff you can use to help get your money right. Read less

What Is Enjin Coin (ENJ)? A Beginner's Guide

Crypto investors have an increasing number of choices lately — including Enjin Coin (ENJ), which launched during the summer of 2018.

Unlike many other crypto investing options on the market, Enjin Coin (also referred to as ENJ crypto) is a bit different in that it was designed for a specific purpose: To help the gaming community and to manage digital or virtual assets.

Here’s everything curious investors and crypto fans need to know about Enjin Coin.

What Is Enjin Coin?

Enjin Coin , or ENJ, is a cryptocurrency created and designed by a software company called Enjin . Enjin’s software allows users to create virtual goods — like NFTs, or non-fungible tokens — on the Ethereum blockchain network.

While that may require some background reading about Ethereum’s blockchain network and NFTs, what you should know is that Enjin’s software is designed to create and manage in-game goods and assets. In effect, Enjin makes it easier and more efficient for participants in certain virtual worlds to create in-game assets, and to transact them.

Enjin Coin, or ENJ, then, is the native token to the Enjin network.

Recommended: What is a Crypto Token?

How Does Enjin Work?

The basic idea behind Enjin Coin is that blockchain can smooth out the process of transacting in-game or virtual assets. Much like blockchain can do the same in the real world with other assets (think of Ripple and XRP, which is designed to help facilitate financial transactions), ENJ is used to manage virtual inventories.

If it all sounds a bit meta — a virtual currency designed for virtual assets — that’s because it is. As for how it actually works, Enjin has software development kits (SDKs) that allow game developers to “mint.” Using SDKs, developers can create virtual items inside of games or applications. These created items are given a corresponding value in ENJ, which makes it easy to trade and or sell them via Enjin’s marketplace.

Because each asset has a value in ENJ, which is a traded cryptocurrency, it also has a real-life value, too. These digital assets are, in effect, NFTs, and can be traded for many times their initial values.

Developers who want to create in-game assets can start out by purchasing ENJ from an exchange, “minting” an item, trading or selling it in-game, or even “melting” it — which means turning the item back into ENJ.

While Enjin Coin is designed to function and incorporate blockchain-backed swapping systems in video games or virtual worlds, it can be used in other ways, too. For instance, sports teams or clubs may be able to use it to mint digital assets to hand out as rewards.

Example of ENJ Crypto in Action

Here’s a simplified, hypothetical example of how Enjin coin works in the real (well, virtual) world:

Say you’re a game developer, and you’re actively playing, participating in, and developing an MMORPG (massively multiplayer online role-playing game). You want to create a special weapon for the game, a longsword, and decide to buy some ENJ from a crypto exchange to do so.

You make the purchase, and with your ENJ, you “mint” the longsword using an SDK, a corresponding programming interface created by Enjin to help build and deploy the asset into the game.

Once created, the longsword also has a value equal to, say 10 ENJ. You sell the longsword to another player on Enjin Coin’s marketplace, banking 10 ENJ. You decide you’d like to accumulate more ENJ, so you trade a shield in your inventory for a spear that you plan to “melt” — which is, as you might remember, like liquidating an asset for its ENJ value.

You melt the spear and collect 5 ENJ. Now, you have 15 total ENJ, that you can either use to create more in-game assets or sell on an exchange.

While this is a very simplified version of Enjin Coin in action, it should give you the gist of the cryptocurrency’s use cycle.

Enjin Coin: Benefits and Disadvantages

As with any cryptocurrency, Enjin has its benefits and drawbacks. Here are a few:

Benefits of Enjin Coin

•   Potential for Growth: The gaming industry (and virtual world-building in particular) is big and growing. That means there’s a lot of potential runway for Enjin Coin ahead.

•   Relatively affordable price: For crypto investors, ENJ is still affordable for almost anyone — unlike Bitcoin or Ethereum. (See more on price in the next section.)

•   A large, built-in community: Enjin already has marketplaces operating and integrated, with many participants. The fact that it’s been so widely adopted may be an indication that won’t just disappear overnight.

Disadvantages of Enjin Coin

•   No easy mining: Enjin doesn’t operate on its own blockchain, so it can’t be mined directly — at least not easily.

•   No physical backup: As with all other cryptocurrencies, there’s no physical asset or commodity to backup Enjin Coin.

•   Technical know-how: Crypto isn’t easy to understand, and Enjin Coin is no different. That’s particularly true if you plan to use it to create NFTs or assets — you’d need to do some studying before you could put it all together.

Enjin Coin Price

While Enjin Coin isn’t dirt-cheap like some coins on the exchanges, it hasn’t reached astronomical levels, either. As of mid-to-late September 2021, it’s trading at around $1.25.

Over the past year, its price has fluctuated in a big way. At the end of 2020, Enjin Coin’s price hovered around $0.15, then it saw a big spike in the spring, topping $3.45 at one point. Since then, it’s come down and has mostly stayed between $1 and $2.25 ever since.

Enjin Coin Staking

Further, some exchanges and platforms do allow users to stake Enjin Coin, if you know where to look. But by and large, it seems that most larger exchanges don’t give users and investors the option to stake ENJ.

Recommended: What is Staking Crypto?

That said, Enjin is rolling out a new ecosystem called Efinity, which will also have its own cryptocurrency, Efinity Token (EFI). As a part of that ecosystem, Enjin Coin can be staked to earn Efinity Tokens.

How to Invest in Enjin

For most investors, investing in Enjin Coin is pretty much the same as any other cryptocurrency. You start by picking a crypto exchange, opening an account, funding it, then placing an order and transferring your holdings to your crypto wallet.

You can also swap your ENJ tokens for others on some decentralized exchanges, but again, for most investors, sticking to a large, trusted exchange is probably the way to go.

Recommended: Centralized vs. Decentralized Exchanges: Six Differences to Consider

The Takeaway

There are many types of cryptocurrencies out there, and the list seems to be growing each and every day. Enjin Coin is a relatively new coin with some fairly unique use cases, and it may be of particular interest to crypto investors who are into gaming and the gaming industry.

Photo credit: iStock/svetikd

SoFi Invest®
SoFi Invest encompasses two distinct companies, with various products and services offered to investors as described below: Individual customer accounts may be subject to the terms applicable to one or more of these platforms.
1) Automated Investing and advisory services are provided by SoFi Wealth LLC, an SEC-registered investment adviser (“SoFi Wealth“). Brokerage services are provided to SoFi Wealth LLC by SoFi Securities LLC.
2) Active Investing and brokerage services are provided by SoFi Securities LLC, Member FINRA (www.finra.org)/SIPC(www.sipc.org). Clearing and custody of all securities are provided by APEX Clearing Corporation.
For additional disclosures related to the SoFi Invest platforms described above please visit SoFi.com/legal.
Neither the Investment Advisor Representatives of SoFi Wealth, nor the Registered Representatives of SoFi Securities are compensated for the sale of any product or service sold through any SoFi Invest platform.

Crypto: Bitcoin and other cryptocurrencies aren’t endorsed or guaranteed by any government, are volatile, and involve a high degree of risk. Consumer protection and securities laws don’t regulate cryptocurrencies to the same degree as traditional brokerage and investment products. Research and knowledge are essential prerequisites before engaging with any cryptocurrency. US regulators, including FINRA , the SEC , and the CFPB , have issued public advisories concerning digital asset risk. Cryptocurrency purchases should not be made with funds drawn from financial products including student loans, personal loans, mortgage refinancing, savings, retirement funds or traditional investments. Limitations apply to trading certain crypto assets and may not be available to residents of all states.

Third-Party Brand Mentions: No brands, products, or companies mentioned are affiliated with SoFi, nor do they endorse or sponsor this article. Third-party trademarks referenced herein are property of their respective owners.

External Websites: The information and analysis provided through hyperlinks to third-party websites, while believed to be accurate, cannot be guaranteed by SoFi. Links are provided for informational purposes and should not be viewed as an endorsement.


All your finances.
All in one app.

SoFi QR code, Download now, scan this with your phone’s camera

All your finances.
All in one app.

App Store rating

SoFi iOS App, Download on the App Store
SoFi Android App, Get it on Google Play

TLS 1.2 Encrypted
Equal Housing Lender