Axie Infinity has been one of the biggest fevers in the crypto market for the past few months and even held a great promise to revolutionize the market, a promise that has been copied by many.
But with the price drop of the game’s assets and various issues in the ecosystem, a Bloomberg column points out that what ultimately happened was just a disaster for investors.
“Axie Infinity’s vision of ‘Play-to-Win’ has collapsed and the company behind the game is now telling players it was never meant to make money,” says Bloomberg’s column on Axie Infinity.
Axie Infinity was not a complex game, in fact it was nothing more than a simplistic version of Pokémon, but the possibility of making money playing it caught the attention of many, with players claiming to live with the game alone, but what was the long-term outcome?
“Many Axie players recognize that it wasn’t fun, but that didn’t stop people from spending hours researching strategies, spending time on game-related Discord channels, Reddit forums, and even paying for specialized software to help them.” build builds. stronger.” , added the column.
Bloomberg highlights the story of Alejo Lopez de Armentia, Florida resident who has invested about $40,000 in the game since August of last year. Despite enjoying the game, Armentia makes it clear that the goal was never fun.
“I hoped this would become my full-time job.” said Armenia.
The way to make money with Axie was through AXS cryptocurrencies and especially with the SLP (Small Love Potion) which could be earned by completing missions and winning tournaments in Axie Infinity.
These coins have real value because, in addition to in-game use, they can be sold in a variety of markets in addition to Axies, which were themselves NFTs that could be sold, SLPs were expendable, and had “true value”.
Armentia invested in the “creation of Axies”, the creation of new NFTs by merging others. According to him, around August last year, when Axie was at full strength, he recovered the invested money with a profit margin of “300% in five days.”
“The greatest weapon that ever existed against poverty”
Axie Infinity was created by startup SkyMavis Inc. who always preached that gambling was a new way to revolutionize the entire financial system. The company’s mission statement is to empower players around the world.
“We believe in empowering our players and providing economic opportunities. Welcome to our revolution,” said Sky Mavis of Axie Infinity.
At its peak, Sky Mavis was valued at $3 billion. In the same month it reached that point, the game had 2 million daily users.
The Fall of Axie Infinity
When Yang spoke about the wonders of web3, the economy of axie infinity was in a deep crisis. The game had lost about 40% of its daily users, and the SLP, which was exchanged for $0.40was at US$0.18, while the AXS, which once traded for $165I was $56.
Shortly after Axie’s price drop, the situation deteriorated significantly when the network was targeted by a billionaire hacker.
As Sky Mavis’ revolutionary rhetoric began to sound more and more hollow, the company secretly changed its history and even its marketing.
In December last year, it discreetly changed its mission and deleted the sentence: “play to win” and replace it with the much fainter and milder “play and win”.
Instead of trying to get Axie Infinity back the way it was and trying to bring back the value of the coin, they simply decided to remove the cryptocurrency factor from the game, even if that was the main gimmick.
With the release of Axie: Origins, a highly anticipated update for players, interaction with cryptocurrencies has lapsed, with Sky Mavis saying more players would be willing to jump into a game that has no cryptocurrency complications.
The plan is for the Origin version to replace the original game, with the non-cryptocurrency version attracting more players.
Of course, this leads to a certain amount of unease for many who have invested in Axie Infinity, especially in its heyday. With the company trying to distance the game from cryptocurrencies, it is very possible that those who are at a loss will continue.
Bloomberg reached out to Armentia amid this massive collapse of Axie Infinity, but he is no longer an investor and uses the profits he made to gather some friends and buy a company that sells inflatable toys for children’s parties.
Source: Live Coins
John Cameron is a journalist at The Nation View specializing in world news and current events, particularly in international politics and diplomacy. With expertise in international relations, he covers a range of topics including conflicts, politics and economic trends.