This Friday (6), Axie Infinity (AXIE) became the most used application on the Ethereum (ETH) network, surpassing Uniswap.
After a month of fighting between decentralized finance giant (DeFi) UniSwap and NFT blockchain-based online video game giant Axie Infinity, the leadership of activities within the Ethereum network has a new leader, according to DappRadar . The feat was celebrated by the game’s official Twitter profile.
Axie Infinity stated that this increase in activity is due to movements derived from deposits and withdrawals in the Ronin side chain of Axie Infinity.
Ronin is an Ethereum sidechain that was originally announced in June 2020, designed specifically for the Axie Infinity community, to support scaling and a smoother gaming experience for a large number of users.
Exponential growth of Axie Infinity
The summer of 2021 will be remembered by both developers and Axie Infinity, AXS token holders.
On July 10th, the AXS token of the game that runs on the Ethereum network soared 55%, setting a new all-time high at $19.63. The token price continued to hit new highs, rising to $52.18 on July 27, according to CoinMarketCap. The cryptocurrency is currently trading at US$43.54.
In addition to the platform’s native token, other tokens within its ecosystem were also able to collect some of this success, such as the Small Love Potion (SLP). Since it is an ERC-20 token used to create Axies, the SLP is therefore a utility token, unlike the Axie Infinity governance tokens. In July, the SLP had a 100% price spike in just 30 days.
NFT and blockchain-based video games could be the gateway to cryptocurrency adoption
The video game industry is benefiting greatly, surpassing other more traditional markets in the entertainment world. Axie Infinity represents a new business model within the video game industry through the play to win model, in which the user can earn money, even if they play full time, earning a salary. According to estimates by prestigious disruptive technology investment fund Cathie Wood, full-time gamers can reach $1,500 a month, depending on their skills.
The app has already decided to enter the eSports industry and its new model could disrupt the current model of free video games that are so successful among smartphone users. According to an analyst at Ark Invest “Axie Infinity is the foundation for an emerging economy” for being able to offer a real financing channel for underdeveloped countries where the use of cell phones is widespread. The adoption of cryptocurrencies could get a boost with this new trend, even if that’s not the intention of users while playing the game.
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