Sky Mavis is again making changes to their economics, as players will need less AXS and more SLP for breeding new Axie Infinity characters. Starting from today players will need 1 AXS token and at least 600 SLP. It’s the second change in a short time, after Sky Mavis already halved the AXS requirements in August.
Every time a new Axie gets made, users need to pay 1 AXS and a fee in SLP. This fee increases with each time an Axie breeds, and there’s a maximum of 7 breeds per Axie. The cheapest costs 300 SLP for one parent, while the most expensive one is the 7th with a 5100 SLP price tag. These price are per parent, while the price listed below are based on two parents with the same breed count.
AXS has seen an significant increase in value over the past few months, even though it recently dropped $82 back to the current $67.50. The picture has been different for the Smooth Love Potions, the bread and butter for many play-to-earn gamers across the globe. SLP was $0.34 in the end of July, but currently has a $0.077 price tag.
The game developers made changes to the economy in order to balance things out, and reward players that put in effort. To breed new Axies, players now need twice the amount of SLP. This should create more demand, and should therefore push the price of SLP up. The news was welcome well by the community, judging by the immediate 28% price bump.
Axie Infinity has always seen the price of its NFTs and SLP tokens go up and down. That’s nothing new. They expect more growth and therefore demand in 2022, as they want to introduce new gameplay and their own decentralized exchange. They expect to need tens of millions of Axie NFTs. Therefore there needs to be enough SLP on the market to create the Axies needed for such growth.
What is Axie Infinity again?
Let’s quickly talk a bit about Axie Infinity. The tactical battle game uses its own, native Ronin sidechain. In the game players need to use 3 Axie NFTs to battle opponents and earn Smooth Love Potions (SLP). Players need to use SLP to breed new Axies. In addition parent Axies can only breed children a limited amount of times. SLP has a demand, while the floor price for an Axie NFT is right now more than $200. In short, you need three $200 Axies to play and earn SLP tokens.
Earning SLP tokens has become a source of income for people in developing countries. Among those countries the Philippines is leading the pack. The organization and economics behind this, is also becoming more professional. Third party organizations like Yield Guild Games are building tools and communities to really turn people into gamers earning income by playing Axie Infinity.
Robert Hoogendoorn is a gamer and blockchain enthusiast. He got in touch with crypto in 2014, but the fire really lit in 2017. Professionally he’s a content optimization expert and worked for press agencies and video production companies, always with a focus on the video games & tech industry. He’s a content manager and creator at heart, working on Play to Earn. He’s also Head of Content for DappRadar.