Home
News
- Gallarte, 25, had no prior interest in the realm of Bitcoin, as do many novices to so-called play-to-earn games
- Gallarte earned more than 37,000 pesos ($732) in his first two weeks of Pokémon-style questing and battling
- The number of daily active users on Axie Infinity increased from 30,000 in April to over 1 million in August
When Vincent Gallarte was laid off in July, he discovered an unusual source of income: an online game that pays out in cryptocurrencies. Gallarte earned more than 37,000 pesos ($732) in his first two weeks of Pokémon-style questing and battling, more than three times what he would have earned at his regular employment. The 25-year-old Gallarte, like many beginners to so-called play-to-earn games, had no particular interest in the realm of Bitcoin, Ether, and other cryptocurrencies. He now envisions a successful secondary business. My boss canceled my contract the same day he started playing Axie, he stated. He is extremely thankful.
Axie has become a doorway for investors
Axie Infinity is one of the most popular — and divisive — of these new games that allow players to collect tradeable cryptocurrencies. It’s a doorway to crypto for individuals all around the world, according to investors like billionaire Mark Cuban and Reddit co-founder Alexis Ohanian, who were part of a $7.5 million fundraising round for Vietnamese game-maker Sky Mavis in May. Others see indications that the Axie Infinity model is unsustainable, citing the high buy-in cost of more than $600 and the surge of newcomers working for low-value tokens.
The number of daily active users on Axie Infinity increased from 30,000 in April to over 1 million in August, with the majority of users coming from developing countries impacted hard by Covid, such as the Philippines, Brazil, and Venezuela. According to Etherscan, Axie, which was originally developed on the Ethereum network, has been transferring about $30 million worth of Ether per day for the past month. In the $2.2 trillion cryptocurrency realm, that’s not much, but it’s significant for players—and governments—in poorer nations. According to local media, the Philippines’ Department of Finance and Bureau of Internal Revenue informed players on Monday that their Axie Infinity profits are liable to income tax.
Leonard Larsen considers himself as the designer of the gaming universe
Aleksander Leonard Larsen, Sky Mavis’ Chief Operating Officer, and co-founder say they take their responsibilities seriously, monitoring in-game currency and modifying the market as appropriate. Some people compare us to the Federal Reserve, he stated in an interview. They are the ultimate designers of this universe, and it is up to them to ensure that it continues to exist. They are constantly monitoring the economy to ensure that it remains stable.
Players lead colorful, blob-like creatures known as Axies to collect two types of currency in Axie Infinity’s virtual environment of Lunacia. Smooth Love Potions (SLP) are granted for winning battles and can be cashed in or used to breed new Axies in the game. Seasonal tournaments and selling Axies in the game’s marketplace can earn you Axie Infinity Shards (AXS). AXS can also be cashed out, although they’re supposed to work like shares, just like other governance tokens: Holders will eventually be able to vote on new game features or corporate expenditure requests, according to Sky Mavis.
A cousin told Gallarte about the game. However, to get started, players will need three Axies, each costing roughly $200. That was simply too much for Gallarte, who had recently lost his job. He looked for a sponsor, someone who would lend his Axies to new players in exchange for a share of their in-game earnings, which might be as high as 90%. Whatever a player earns with a loaned Axie goes to the owner, who is expected to wire the player his cut.
Steve Anderson is an Australian crypto enthusiast. He is a specialist in management and trading for over 5 years. Steve has worked as a crypto trader, he loves learning about decentralisation, understanding the true potential of the blockchain.
