While most cryptocurrency markets have been under pressure, the Ethereum-based blockchain game Axie Infinity has defied the trend. Its native governance token AXS hit an all-time high of $21.55 on Tuesday (July 13), while the in-game token Smooth Love Potion (SLP) also surged to a record $0.39. The rally has sparked both excitement and skepticism about the sustainability of the play-to-earn economy.
AXS and SLP Skyrocket: Market Data
According to CoinGecko, AXS soared 86.72% over the past seven days and an astonishing 410.11% over the trailing 30 days. Its market capitalization stood at approximately $1.3 billion, with $1.2 billion in 24-hour trading volume. AXS is now ranked 74th among all cryptocurrencies. SLP also reached its all-time high on Binance at $0.39 per unit. Players can earn SLP by battling in the game's adventure mode, while AXS is used for governance and other in-game actions.
The tokens are tradable on exchanges such as Uniswap, Binance, Bkex, Digifinex, and Huobi. To start playing, users need at least three Axie characters, a Ronin wallet, the Ronin bridge, and a MetaMask wallet.
Play-to-Earn Model Draws Users and Critics
Axie Infinity was developed by Sky Mavis, a game studio founded in 2018. The game features a play-to-earn structure where players collect, breed, and battle NFT-based creatures called Axies. However, the requirement to purchase Axies with ether has led some to label the model a pyramid scheme. One Twitter user posted: “Is it just me or does Axie Infinity feel like a Ponzi/pyramid scheme?” Similar comments have flooded social media.
Despite the controversy, the game has gained massive traction, especially in developing countries where players earn a living through in-game rewards. Critics argue that new players must continuously inject capital to sustain the ecosystem, creating a “gamified Ponzi structure.” Proponents, however, view it as a revolutionary fusion of finance and entertainment.
At press time, AXS traded around $20.50 and SLP around $0.36. The market remains highly optimistic, but questions about regulation and long-term sustainability linger.