Axie Infinity (AXS) is radically changing its business model to scale

Axie Infinity (AXS) is radically changing its business model to scale

Last year, the “Play to Earn” game Axie Infinity (AXS) broke all its records, with the number of trades reaching record levels. But the machine ran out of steam, and AXS and SLP prices failed to recover. It is enough to require a change in the economic model, according to the project teams.

Axie Infinity is rethinking its business model

Axie Infinity’s popularity skyrocketed last year when it was launched on the Ronin sidechain. The game had been around since 2018 on the Ethereum (ETH) blockchain, and it wasn’t until it was able to lower its fees that it found its audience. But of economic model from Axie Infinity can have it he has been too kindaccording to a post from the project teams.

In any case, here’s what it comes down to from the promo for season 20, which was released late last week. He looks back on the final months of the project:

We are all excited about this incredible growth and prosperity, but we have also recently entered. in a time of economic uncertainty. [Cela] it has made the last few months difficult for everyone. »

👉 Related – Axie Infinity (AXS) Becomes First NFT Game To Pass $1 Billion In Sales

The amount that has dropped

If we look at the daily income of Axie Infinity on the Ronin blockchain, we can see that the last few months have been far from pleasant for the game:

Daily earnings from Axie Infinity on Ronin – Source: Nansen

project management symbol, AXS, he also saw his course beat recently. It reached $47 in early February, where it had set a record high of $164 just 3 months earlier. This was the case with SLP, the reward token that is distributed to players, which currently lives around $0.014.

The average Axie Infinity NFT priceson which the game’s economy depends, has also fallen sharply.

According to the press release from the project teams, the economic crash of Axie Infinity is mainly due to the inflation of SLP. Every day, four times more SLPs are created than burned, which is a problem:

We are in the process of creating more “burn” systems. […] and we also look at the way to strategically reduce supply balance the economy. »

👉 Read – How to set up Ronin Wallet, Axie Infinity blockchain game wallet?

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Reduce SLP Supply

So Axie Infinity reviews its economic structure as follows: SLP tokens will not be distributed again in single-player adventure mode. They will also disappear from everyday efforts. The changes will also affect the PvP mode, with SLP rewards not being removed, but reduced.

The project teams also confirm that other burning methods will be introduced, and that these are not the only changes that will be made to the economic model of Axie Infinity:

Supply cuts will not be enough to restore the full power of our economic engine, but it is a necessary step to build a fully functioning and sustainable economy. »

Axie Infinity is experiencing turmoil due to the great excitement that it has released in the period of 2021. Time will be important for this game as it will decide whether it will be economically beneficial. for a long time, immediately after the first wave of the game. interest is gone.

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Image source – Axie Infinity via Twitter

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