Axie Infinity sustainability: Is Axie Infinity sustainable?
While the NFT game Axie Infinity has been growing in popularity recently, players and potential investors have started thinking about their exit strategies for the game. After all, considerations on cashing out and exiting are all part of an investment plan. But to be able to formulate an effective and realistic exit plan, you should understand the stability of the platform. So, the question that arises is this: Is Axie Infinity sustainable? Today, we talk briefly about Axie Infinity sustainability.
Axie Infinity‘s sustainability relies on a variety of factors. As an NFT game, its most important factor is its player base. Without players – owners of Axies who value SLP and AXS for their breeding purposes – the value of the game’s NFT axies, and crypto coins SLP and AXS will fall.
The allure of the play-to-earn model made Axie Infinity popular. Hence, in recent weeks, the game experienced an influx of new players. The swarm of new players joining the game raises the price of SLP and AXS – the demand for newly-bred Axies is high while breeders struggle to keep up. The prices will normalize later on when new player growth slows down. When demand for new Axies goes down, so too will the prices of SLP and AXS. All the while, players continue to earn SLP by playing, and top players in the Arena earn AXS.
But then, what would incentivize players to continue playing the game if the values of SLP and AXS continue to fall?
The Key to Axie Infinity sustainability
It’s no secret that many players start playing Axie Infinity because of the allure of earning money just by playing a simple game. Hence, it’s also understandable how many would lose interest once the prices of SLP and AXS fall as new player growth subsides. In this situation, it’s important for Sky Mavis to give Axie Infinity players a reason to stay – a reason to keep playing in spite of the low returns.
Sky Mavis’s strategy regarding this is to improve the gaming experience of Axie Infinity. Their plans for the future, as outlined in their latest patch notes, include adding more fun features for the game. The long-term success of Axie Infinity relies on how fun Sky Mavis can make their game. Just as how most gamers play games to have fun and not to earn, Axie Infinity‘s longevity lies upon just how willing players will continue playing the game, with or without monetary compensation. The intrinsic value of simply playing Axie Infinity will make the game, along with its cryptocurrencies, sustainable.
On top of the game’s fun factor, Axie Infinity‘s esports highly-competitive esports scene will ensure that there will always be demand for strong Axies. The esports scene will ensure that there will always be demand for SLP and AXS, whether or not there are new players joining the game. Hence, as long as there are competitive players always striving to breed newer, stronger Axies, Axie Infinity‘s sustainability will be secured.
To learn more, read the Sky Mavis’ White paper on Axie Infinity‘s sustainability.