Axie Infinity Currency Begins to Replace State Money in the Philippines

Axie Infinity Currency Begins to Replace State Money in the Philippines

Howard, 22, Filipino, in an interview with Coindesk

Merchants in the Philippines are accepting Axie’s SLP token as a payment method. With almost half a million daily active users and around 60% of those coming from the Philippines, Axie Infinity has metamorphosed, and today, in addition to ensuring entertainment for players, it is used as the most popular payment method in the Asian country.

Just scroll through the social media feed and notice the amount of ads for all kinds of things you can buy in the Philippines with SLP. That’s what Coindesk’s international columnist Leah Callon-Butler did. She is also a director of Emfarsis, a consultancy in Southeast Asia that represents clients in the “play-to-earn” sector. Therefore, she interviewed businessmen in the sector, allowing us a better perspective of the impact of Axie Infinity on the local economy.

Impact of Axie Infinity on the real economy

The country’s Nextperience Group, in mid-July, began accepting the SLP token for payments. Since then, it has processed 50 online bookings, totaling PHP 150,000 ($2,980) in revenue. But it’s not the only company that has taken this step either.

“The minting and acquisition of SLP has become an everyday task for many people, so it’s helpful to be able to spend it like an everyday currency,” said Joseph Moore, Business Partner of Nextperience Group.

Read too: Walkthrough on how to play Axie Infinity

Living in the Philippines, journalist Leah Callon-Butler has seen this trend of appreciation of the SLP in relation to real-world items firsthand. “It seems like the gaming community cares less about how much SLP is worth in terms of PHP or USD. A friend of mine, on his first day as Axie, enthusiastically told me that he won three Chicken Joys in just a few hours.”

In some countries, the trading volume for SLP is so high that innovative platforms are allowing users to exchange the token for local currency. However, in the case of the Philippines, a growing number of local merchants have gone a step further as merchants in the country are willing to accept SLP tokens as payment for goods and services.

Transactions take place through a dedicated wallet, Ronin, which allows users to carry out up to 100 free transactions every day.

There are more Filipinos with a Ronin wallet than Filipinos with a credit card”, said Nikko Que, co-founder and CEO of Nextperience Group, to Coindesk journalist.

Read too: How to assemble an Axie Infinity team investing little

In his Cryptoday newsletter, Luis Buenaventura, co-founder of BloomX, a brokerage that offers a direct trading pair between the Philippine peso and the SLP, noted the following:

“The average player can earn $4,500 SLP per month, so if we assume that about a third of Pinoy players are playing at the optimum level, they will collectively earn $222,750,000 SLP this month. How much is $SLP in terms of weight? Well, as of this week, it’s over 9 pesos each, which means these kids are going to accumulate around 2 BILLION pesos this month.

To put this in perspective: 2 billion pesos is the average amount of remittances that ALL OFWs [Trabalhador Filipino no Exterior] who live in Hong Kong send it back home to the Philippines every month.”

Axie has value to Filipinos. Unlike a paper bill, or even a bitcoin, SLP exhibits an inherent usefulness because it can always be used to generate more Axies, making it similar to other payment tools that have been used over time, such as gold , rice, rum and cigarettes.

Read too: How to earn even more with Axie Infinity tokens – AXS and SLP

Clearly, the usefulness of the SLP won’t make it a good bargaining chip if you’re not playing the game, but it just reiterates the authenticity of this community and the real, organic demand for the token.

As Axie’s SLP takes on a life of its own, the country’s monetary authorities have already sensed the demand for digital SLP payments and have worked out a way to tax them.

The Philippines’ central bank, in response to the currency phenomenon, said this was a big step towards the bank’s goal of making the Philippines a “heavy and cash-strapped digital society”, with 50% of all transactions being digital by now 2023.

For Filipino metaverse workers, the SLP is the elixir of community development, demonstrating that the definition of money is fluid and value is in the eyes of the beholder.

Do games have value for you? Understand if it’s worth investing in this sector:

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