Axie Infinity Shards

Axie Infinity Shards (AXS) is the governance token of the Axie Infinity gaming universe. The game was developed by Sky Mavis, a Vietnamese studio, and its development began in 2017. The game was inspired by the Pokémon series and CryptoKitties, another popular blockchain game. Axie Infinity allows players to collect, breed, battle, and trade digital creatures called Axies, which are represented by non-fungible tokens (NFTs) on the Ethereum blockchain.

The game's development progressed significantly in 2018 and 2019, with the release of its first battle system in October 2018 and the alpha version in December 2019. In February 2021, Sky Mavis launched the Ronin wallet, which improved the gaming experience by reducing gas fees and speeding up transactions.

In 2021, the project raised $485 million in funding, a significant increase from the $21 million generated in the first two to three years. However, the value of the game's secondary token, Smooth Love Potion (SLP), crashed in February 2022, losing over 99% of its peak value. This crash led to a significant exodus of players, causing guild leaders to lose their cheap labor force.

Despite these challenges, Axie Infinity continues to evolve, with plans to allow players to stake their AXS tokens for rewards and use them in the game's native marketplace. The token is available for purchase, sale, and trade on several crypto exchanges.

Axie Infinity Shards (AXS) is the native utility token of the Axie Infinity ecosystem, a blockchain-based game inspired by Pokémon. AXS serves as both a governance token and a utility token within the game. As a governance token, it empowers its holders with voting rights on key decisions within the Axie Infinity ecosystem, giving them a voice in the game's future development, decision-making processes, and treasury management.

AXS holders have the ability to influence how the game evolves and how its community treasury is utilized. They can participate in voting on important governance decisions, ensuring that the community has a say in the direction of the game.

AXS is also used as a medium of exchange within the Axie Infinity marketplace. It can be used to buy, sell, and trade digital assets within the game, such as unique creatures called Axies and plots of land. Players can earn AXS tokens as rewards through gameplay and participation in the Axie Infinity ecosystem.

AXS holders can stake their tokens to earn rewards. This incentivizes AXS ownership and ecosystem support. By staking AXS, holders can earn newly created AXS tokens and participate in key governance decisions. Additionally, rewards are given to AXS holders who stake tokens in the game and vote on important governance decisions.

The total supply of AXS is 270 million, with a finite supply that makes it a scarce asset and potentially a good store of value in the long term. It is expected that all 270 million AXS tokens will be in circulation by 2026.

Axie Infinity operates primarily on the Ethereum blockchain, and both AXS and Smooth Love Potion (SLP) are ERC-20 tokens tradeable on the Ethereum network. However, due to concerns about congestion on the Ethereum network and fluctuating gas fees, the Sky Mavis team has launched and continues to develop Ronin, a bespoke Ethereum-based sidechain. Ronin is designed to improve the player experience and enable greater control over the future development and scaling of Axie Infinity.

In summary, Axie Infinity Shards (AXS) is a crucial component of the Axie Infinity ecosystem, serving as both a governance token and a utility token. It empowers holders with voting rights, enables in-game transactions, and provides rewards through staking, making it a central part of the game's play-to-earn model.

Axie Infinity Shards (AXS) has several strengths that contribute to its success and potential for growth. One of the primary strengths is its governance token status, which empowers holders with voting rights, allowing them to participate in the game's future development and decision-making processes. This decentralized approach creates a sense of community ownership and encourages active involvement from players.

Another significant strength is the play-to-earn model that Axie Infinity has pioneered in the blockchain gaming space. Players can earn AXS tokens through gameplay, which not only enhances the gaming experience but also provides a tangible reward for their efforts. This model has proven successful, particularly during the Covid-19 pandemic, as it has created a jobs marketplace in certain parts of the world where full-time gamers can profit from the ecosystem.

The game's use of Non-Fungible Tokens (NFTs) as integral parts of the gameplay also adds to its strength. These NFTs represent unique and cute creatures known as Axies, their abilities, and plots of land, providing a rich and engaging gaming environment. The dual token economy, which includes AXS and Smooth Love Potion (SLP), further enhances the game's functionality and versatility.

Overall, Axie Infinity Shards' strengths lie in its innovative approach to blockchain gaming, its decentralized governance model, and its ability to create a profitable gaming experience for its players.

Axie Infinity Shards (AXS) is a highly volatile cryptocurrency with a high risk score. The risks associated with AXS can be categorized into two types: systematic and unsystematic.

Systematic risks are related to overall market movements and cannot be diversified away. AXS is highly sensitive to market fluctuations, which can significantly impact its price. This sensitivity is reflected in its beta of 2.51 against the NYSE Composite, indicating that it is 9.81 times more volatile than the NYSE Composite.

Unsystematic risks are specific to the Axie Infinity project and can be diversified by owning multiple digital assets. These risks include events specific to the project that can negatively affect the coin's price. For example, changes in the game's popularity, competition from other blockchain games, and regulatory issues can all impact the value of AXS.

• Price Manipulation: AXS is susceptible to price manipulation, especially if traded on less regulated exchanges. Trading on government-approved exchanges like Coinbase can reduce this risk.
• Market Sentiment: AXS is influenced by media hype, supply and demand, and investor sentiments, which can contribute to its price volatility.
• Regulatory Risks: Changes in government regulations can impact the value of AXS.
• Competition: Axie Infinity faces strong competition from both on-chain and off-chain gaming platforms, which can affect user retention and growth.

Recent price movements have given AXS a high risk score due to its past 24 hours of price volatility in relation to volume changes. This indicates that the cryptocurrency can potentially be easily manipulated by limited trading activity.

• Trung Thanh Nguyen: CEO of Sky Mavis and Axie Infinity, responsible for key decisions from product to marketing.
• Aleksander Leonard Larsen: COO of Axie Infinity, responsible for business-related matters and serves on the board of directors in the Blockchain Game Alliance.
• Tu Doan: Art Director and Game Designer, responsible for art direction and game design concepts.
• Andy Ho: CTO, leads the engineering team and is responsible for technical strategy and engineering operations.
• Jeffrey Zirlin: Growth Lead, responsible for growth and community development, and token design.