Axie Infinity Explained — How to Generate Income With This Crypto Game
An Ethereum-based digital marketplace for this popular online game is gaining traction FAST. The 72nd most valuable crypto asset by market value was inspired by popular games like Digimon, Pokémon and card based games like Hearthstone, where players breed, raise, collect, battle, and trade token-based necessities and real-world commodities.
In turn, the tokens can be used for staking to earn in-game rewards, and also give its stakeholders the power to participate in governance votes, and their maximum supply is pegged at 270 million. The token can further be exchanged for other crypto assets. Its marketplace for trading NFTs hosted over $170 million of trading volume in the past 30 days, which generated $11 million in net income for the game’s treasury.
Price patterns reveal investors are trading and holding the non-fungible token rather than for mere speculation as the digital asset flourish despite poor market conditions.
Market pundits reveal these gaming tokens are recording a significant amount of buying pressure amid falling yields in the pioneer crypto asset and Defi markets. Three Axie NFTs are required to make a team that competes in turn-based PVP, with the winner earning an in-game currency called SLP. This can also be used to breed additional Axie characters.
The game’s growing popularity has resulted in the price of the cheapest Axie NFTs rising to around $200 each, with one of its rarest (Mystic-class) approaching $50,000. This makes them one of the most expensive NFTs of any blockchain project.
Yield Guild Games recently raised $4 million to expand its mobile-focused blockchain gaming model.
SLP Smooth Love Potion
Smooth Love Potion (SLP), a token in the Axie Infinity ecosystem that is minted through gameplay as a reward to users, also broke out with a triple-digit gain. SLP can then be used as a currency to breed Axies, which are nonfungible token-based creatures that populate the Axie Infinity world. One reason for increased usage in certain geographical reasons relates in large part to the economic struggles of the population in those regions.
As new users enter the ecosystem, more Axies are needed in order for them to engage in gameplay, which has led to an increased demand for SLP since it is required in the process to breed Axies. The process of breeding can also be quite lucrative for users fortunate enough to receive a “Mystic Axie,” a rare form of Axie that now has a price floor of 30 Ether (ETH), while genesis plots of land in the Axie Universe can fetch nearly 270 Ether. To help put the significance of the growth seen in the income generated from the Axie Infinity ecosystem into context, over the past week, the protocol generated more fees than all other crypto applications combined.
While the recent growth for Axie Infinity is impressive, it remains to be seen if the current pace is capable of being maintained into the future, and the long-term success of SLP hinges upon a sustained expansion of the Axie ecosystem and you know we’ll keep you posted.
As always here at the TCL fam, wishing you the best
until next time!
