A new gaming token that is designed to increase player engagement and retention has jumped in value by 13% after launching on the Ethereum blockchain. Dubbed the “Play-to-Earn” (P2E) token, Axie Infinity is the first gaming title built around the concept of in-game currencies that can be earned, spent, or traded.
The game was developed by Rob “SeanyD” Wachter, an Ethereum core developer, and the P2E token is used as a mechanism to increase player engagement and retention. The game is currently only available on the Ethereum blockchain, with a native token, Axie$, which can be used to pay for in-game items.
Axie Infinity was one of the first successful crypto games to leverage cryptocurrencies and non-fungible tokens to reward gameplay. The game is based on real world items, such as the Axie coin, and is played on a real-world blockchain.
The game’s gameplay is based on a child’s play and allows players to take advantage of the Axie coin’s functionality to acquire digital items more quickly and for free.
What’s behind the AXS rise?
The Axie Infinity team outlined plans for giving its community of AXS token-holders control over the project’s roughly $1 billion treasury. The roadmap calls for a major step in that direction in Q3, when the team will release the code for a new version of the project’s native token, AXS, which will allow users to vote on the direction of the platform in the same way that EOS token holders can vote on the direction of the EOS platform.
This comes after months of rumours that the Axie Infinity team was exploring a new coin spin-off. The new version of the AXS token is expected to be traded on a new exchange, likely either IDEX or UpBit, at a rate of 1:1 for current AXS: USD or AXS: BTC holdings, with the new asset being used to vote on platform changes similar to how EOS.
Play-to-Earn (P2E) tokens have been on a tear recently, with Axie Infinity surging nearly 13% in the hours following an announcement by the company regarding the launch of its P2E token.
The P2E token is designed to incentivize players to keep playing the game through a series of in-game rewards that can be redeemed for additional cards or game pieces. The move comes after a period of relative weakness for P2E tokens, which saw the market cap of the entire space shrink by more than $1 billion earlier this month.