What is Axie Infinity (AXS)?

Axie Infinity is a blockchain-based game that has gained significant attention for its unique blend of gaming and cryptocurrency

Inspired by popular games like Pokémon and Tamagotchi, Axie Infinity allows players to collect, breed, and battle adorable creatures called Axies.

But what sets Axie Infinity apart is its unique “play-to-earn” model, where players can earn cryptocurrency by participating in the game.

This has opened up new opportunities for gamers to earn real-world value while having fun.

What is Axie Infinity?

Axie Infinity is a digital universe where players can collect, raise, and battle fantasy creatures called Axies.

These Axies are non-fungible tokens (NFTs), which means they are unique and can be owned and traded on the blockchain. Think of them as digital collectibles with real-world value.

Key Features:

Play-and-Earn Model

Unlike traditional games, Axie Infinity enables players to earn real monetary rewards by participating in various in-game activities. These include battling other players, breeding Axies to create new ones, and completing daily quests. The rewards are typically in the form of cryptocurrencies like Smooth Love Potion (SLP) and Axie Infinity Shards (AXS).

Breeding Mechanics

Players can breed two Axies to produce offspring with unique traits. This feature adds a strategic layer to the game, as players aim to create Axies with desirable abilities and appearances. Breeding requires SLP tokens and a certain amount of AXS, creating a use case for these in-game currencies.

Ronin Network Integration

To address high transaction fees and scalability issues on the Ethereum network, Axie Infinity utilizes the Ronin Network, a Layer-2 solution developed by Sky Mavis. This integration allows for faster and more cost-effective transactions, enhancing the overall gaming experience.

What are the AXS and SLP tokens?

In the Axie Infinity ecosystem, two primary tokens play distinct roles: Axie Infinity Shards (AXS) and Smooth Love Potion (SLP):

Smooth Love Potion (SLP): This functions as a utility token on the platform.
Axie Infinity Shards (AXS): This is the governance token of the Axie universe.

Smooth Love Potion (SLP):

Purpose: SLP is the in-game utility token earned by players through activities like battles and quests. Its primary function is to facilitate the breeding of new Axies.
Supply: Unlike AXS, SLP does not have a capped supply. Its availability is determined by player activity, with tokens being minted as rewards and burned during the breeding process to manage inflation.

Axie Infinity Shards (AXS):

Purpose: AXS is the governance token of Axie Infinity. Holders can participate in decision-making processes, influencing the game’s future developments and policies.
Staking: Players can stake AXS tokens to earn rewards, promoting long-term engagement and investment in the ecosystem.
Breeding Fees: AXS is used as part of the fee required to breed new Axies, integrating it into the core gameplay mechanics.

In summary, AXS serves as the governance and staking token, granting holders influence over the game’s direction and providing opportunities for rewards. SLP functions as a utility token within the game, essential for breeding Axies and earned through active gameplay.

How does Axie Infinity work?

At the heart of Axie Infinity are the Axies themselves. Each Axie has unique characteristics, strengths, and weaknesses, making them valuable assets in the game.

Players can use their Axies to battle other players in the Arena or explore the Adventure mode to gain experience and rewards.

To start playing Axie Infinity, you need to acquire at least three Axies.

You can purchase them from the Axie Marketplace using Ethereum (ETH), the cryptocurrency that powers the Ethereum blockchain.

Alternatively, if the cost of Axies is prohibitive, a player can join the Axie Discord and apply for a scholarship.

Scholarship programs allow players to borrow Axies from experienced players or guilds in exchange for a share of their earnings.

Team Background

The team behind Axie Infinity is a group of talented individuals with diverse backgrounds in gaming, blockchain technology, and entrepreneurship.

The project is developed by Sky Mavis, a Vietnamese studio founded in 2018. Here’s an overview of the key members and their backgrounds:

Founders and Core Team

Trung Nguyen (Co-Founder and CEO)
- Background: Trung is a software engineer with a strong interest in blockchain technology and gaming. Before founding Sky Mavis, he worked as a software developer and contributed to various blockchain projects.
- Role: Trung leads the overall vision and strategy for Axie Infinity and Sky Mavis.
Aleksander Larsen (Co-Founder and COO)
- Background: Aleksander has a background in esports and gaming, having worked as the COO of ProGaming Esports and as a professional gamer. He brings deep expertise in gaming communities and competitive play.
- Role: Aleksander oversees operations, partnerships, and community engagement.
Tu Doan (Co-Founder and CTO)
- Background: Tu is a seasoned software engineer with experience in building scalable systems and blockchain applications. He has a strong technical background in software development and blockchain architecture.
- Role: Tu leads the technical development of Axie Infinity and the Ronin Network.
Jeffrey Zirlin (Co-Founder and Growth Lead)
- Background: Known as “Jiho” in the Axie community, Jeffrey has a background in economics and blockchain. He is passionate about decentralized systems and has been instrumental in growing the Axie Infinity community.
- Role: Jeffrey focuses on ecosystem growth, partnerships, and community development.
Andy Ho (Co-Founder and Product Lead)
- Background: Andy has a strong background in product management and user experience design. He has worked on various tech products and brings a user-centric approach to Axie Infinity.
- Role: Andy oversees product development and ensures a seamless user experience.

Advisors and Investors

Axie Infinity has attracted support from prominent investors and advisors in the blockchain and gaming industries, including:

Mark Cuban: Billionaire entrepreneur and investor, known for his interest in blockchain and NFTs.
Naval Ravikant: Founder of AngelList and a well-known figure in the crypto space.
A16z (Andreessen Horowitz): A leading venture capital firm that has invested in Axie Infinity and other blockchain projects.
Binance Labs: The investment arm of Binance, which has supported Axie Infinity’s growth.

Axie Infinity Marketplace

The Axie Infinity Marketplace is where players can buy, sell, and trade Axies and other in-game assets, such as land plots, which serve as homes for the Axies and can be improved with materials obtained from the auction house.

Landowners may also find AXS tokens on their parcels.

This marketplace plays a crucial role in the game’s economy, facilitating player-to-player transactions and allowing users to acquire the necessary assets to participate in the game.

Gameplay

Axie Infinity offers various gameplay modes to keep players engaged:

Arena (PvP): Battle other players in real time to climb the leaderboard and earn rewards. In Arena Mode, you earn different amounts of SLP for each win based on your Arena MMR (Matchmaking Rating). The higher your rank, the more rewards you get per win.
Adventure (PvE): Explore the world of Lunacia, battle enemies, and complete quests to level up your Axies and earn rewards. You can earn Axie EXP and up to 100 SLP per day by playing Adventure Mode.
Land Gameplay: Own and customize land plots in Lunacia, where you can gather resources, build structures, and engage in various activities.
Axie Infinity: Raylights: A land-focused minigame that allows players to cultivate land and unlock recipes, expanding the gameplay within the Axie Infinity universe.

Each Adventure/Arena battle costs 1 Energy. You can still play any of the modes if you use up all the energy, but you will not receive EXP in Adventure Mode and SLP rewards in Arena Mode.

The maximum amount and the replenish speed of Energy depend on the number of Axies you own . This is why players need at least three Axies to start playing, as it provides a sufficient amount of energy to engage in battles and earn rewards effectively.

Players can also increase their Axie score by participating in Origins gameplay, specifically through ranked battles, with each winning Axie on the team gaining 150 AXP per battle.

The current mechanism allows a maximum of 4500 AXP to be earned daily for an Axie. Axie score provides bonuses in Axie gameplay.

Understanding Axie Cards

In Axie Infinity: Origin, there are five (5) main types of Cards:

Body Part Cards: Each body part of an Axie corresponds to a Card that can be used for battle. There are 18 of these per draw pile, and they cycle once the current draw pile has been exhausted.
Curse Cards: These are added to your own deck or the opponent’s deck (depending on the indicated effect) and cause negative effects during the course of the game.
Tool Cards: These are added by the cards you play to your hand or deck and come with a variety of benefits.
Summon Cards: These are technically Body Part Cards too, but they have a special function: they call upon allies that assist you in battle.
Revenge Cards: In Axie Infinity Origins, a dead Axie’s Cards can still be drawn in battle, but those Cards will transform into Revenge Cards, which are usually weaker versions of the Card it transformed from.

Understanding the different types of cards and their effects is crucial for developing effective battle strategies in Axie Infinity.

Types of Axies and Their Roles

In Axie Infinity, Axies are categorized into different classes and roles based on their attributes, stats, and abilities.

Axies are categorized into nine classes, each with its strengths and weaknesses:

Axie Classes

Class	Role	Strengths	Weaknesses	Playstyle
Aqua	Damage dealer, Speedster	High speed, decent damage, and evasion	Low health and defense	Attacks first and deals consistent damage.
Beast	Burst damage dealer	High critical strike chance and damage	Low health and defense	Focuses on dealing massive damage in a short time.
Bird	Backline damage dealer	High-speed and ranged attacks	Low health and defense	Placed in the backline to deal damage or provide utility.
Bug	Debuffer, Disruptor	High critical strike chance and debuffs	Low health and defense	Disrupts the enemy team with debuffs.
Plant	Tank, Defender	High health and defense	Low damage output	Absorbs damage and protects teammates.
Reptile	Tank, Sustain	High health, defense, and sustain abilities	Low speed and damage	Focuses on surviving and outlasting opponents.
Dusk	Hybrid (Tank/Damage)	Balanced stats with good health and damage	No specific glaring weakness	Versatile, can adapt to different roles.
Dawn	Support, Utility	Provides buffs and utility	Low damage output	Focuses on supporting teammates.
Mech	Damage dealer	High damage output and versatility	Low health and defense	Used for dealing consistent damage.

Each Axie also has six body parts: eyes, ears, horn, mouth, back, and tail. These body parts determine the Axie’s abilities and cards that it can use in battle.

Each Axie possesses genetic traits across six body parts, with three types of genes: dominant, recessive, and minor recessive.

The dominant gene determines the visible characteristics, while recessive genes can be passed down during breeding with varying probabilities.

Axie Roles

Axies are also categorized into roles based on their position and function in a team:

Role	Position	Purpose	Common Classes
Tank	Frontline	Absorb damage and protect teammates	Plant, Reptile
Damage Dealer	Midline/Backline	Deal high damage to enemies	Aqua, Beast, Bird, Mech
Support	Backline	Provide healing, buffs, or debuffs	Dawn, Bug
Utility	Any	Disrupt enemies or provide strategic advantages	Bug, Bird

Players can strategically combine Axies of different classes and abilities to create effective teams. For example, a team with a tanky Plant Axie in the front, a fast Bird Axie in the back for damage, and a support Axie like a Reptile in the middle can be a powerful combination.

Axie Infinity Economy

The Axie Infinity economy is powered by the two tokens described above, AXS and SLP.

These tokens create a dynamic ecosystem where players can earn cryptocurrency by playing the game and participating in various activities.

Axie Infinity offers a wide array of options for earning profits. Players can earn AXS and SLP tokens by training their Axies to wage wars against opponents in the Arena, breeding Axies using SLP, and completing quests.

Axie Infinity Governance

Axie Infinity is designed to gradually shift to a true Decentralized Autonomous Organization (DAO).

A key component of this is the Community Treasury, which has grown considerably (over 1B USD in value) due to Axie’s incredible community growth.

This treasury is funded by 4.25% of all Axie NFT marketplace transactions and the AXS portion of the breeding fee.

More streams will be added in the future from cosmetic sales, tournament entree fees, licensing fees, and more as new opportunities present themselves.

The Community Treasury will be under the direct influence of all holders of Axie Infinity Shards (AXS tokens).

This allows players to have a say in the governance and development of the Axie Infinity ecosystem.

New Developments in Axie Infinity

Axie Infinity is constantly evolving, with new updates and features being introduced regularly. Here are some of the key developments in 2024 and recent months:

Wings of Nightmare: This major update, released in November 2024, introduced evolvable Nightmare parts to the marketplace, adding new collectibles and driving player engagement. This event contributed 12,000 AXS to the Axie Treasury within two weeks of its launch.
Bounty Boards: Introduced in April 2024, Bounty Boards are a reward system that allows players to earn AXS by completing daily tasks and participating in the ecosystem. The program’s success led to the creation of a Premier Bounty Board, which expanded the range of challenges and rewards available to players.
Guilds in Axie Classic: Axie Classic now features Guilds, where players can team up, share axies, and climb leaderboards to earn exclusive rewards. This has brought renewed interest in Classic, culminating in regional esports tournaments and the announcement of the Axie World Cup for 2025.
Meta Morph in Axie Origins: Axie Infinity: Origins introduced Meta Morph Mechanics, which allow players to transform collectible axies cards, ensuring they are not limited to the same set of cards in the arena.
Passive Adventure in Axie Homeland: In the upcoming update to the Passive Adventure System, players will be able to send their NFT axies on adventures, replacing the role of NPCs. This update opens new ways for players to interact with the world of Lunacia.
Dream World Arcade Mode in Axie Origins: Axie Origins introduced the Dream World Arcade Mode, a new arcade mode with unique challenges and rewards.
Era-Based Testing in Axie Origins: Era-Based Testing allows players to test Runes and Charms for free before the official season starts.
Lunacia SDK: The Lunacia SDK allows developers to create games using Axie Infinity assets and hosting them on land, expanding the Axie Infinity universe and fostering third-party game development.
Scrap System in Axie Origins: The Scrap System allows players to disenchant Runes and Charms for Scrap, which can be used for further crafting.
Axie Pals: Axie Infinity introduced Axie Pals, AI-powered interactive NFT companions that enhance the Axie World experience.

These updates demonstrate the continuous development and innovation within the Axie Infinity ecosystem.

Recent Improvements

Axie Infinity has made significant updates aimed at enhancing gameplay, community engagement, and economic stability. Here are four key improvements:

1. Axie Origins: Enhanced Gameplay and New Features

Axie Infinity: Origins, the flagship game mode, introduced several updates:

Meta Morph Mechanics: Players can now transform their Axies’ cards, adding strategic depth to battles.
Gauntlet Mode: A new competitive mode where players can earn SLP rewards.
PVE Roguelike Mode: A player-versus-environment mode that offers a fresh gameplay experience.

2. Axie Classic Reloaded

Axie Classic, the original version of the game, made a comeback with new features:

Guilds and Guild Wars: Players can team up, share resources, and compete in guild-based events.
Artifacts: A new mechanic that allows players to change their Axies’ class mid-battle.
Competitive Circuit: A year-long tournament series culminating in the Axie Classic World Cup.

3. Axie Homeland: A Player-Owned Digital World

Axie Homeland, a land-based gameplay mode, underwent significant updates:

Avatar Mode: Players can now explore Lunacia using their Axie NFTs and interact with others in real-time.
Passive Adventure System: Axies can be sent on adventures to earn rewards, replacing NPCs.

4. Economic Improvements

To address inflation and ensure long-term sustainability, Axie Infinity implemented:

SLP Stability Fund: A mechanism to reduce token emissions and maintain deflationary pressure.
Bounty Boards: Daily quests that reward players with AXS, encouraging active participation.

Risks and Challenges

While Axie Infinity offers exciting opportunities, it’s important to be aware of the risks and challenges associated with it:

High Entry Costs: The initial investment to purchase Axies can be a barrier for some players. However, scholarship programs offer a way for players to start playing without a large initial investment.
Token Price Volatility: The value of AXS and SLP can fluctuate significantly, affecting player earnings. This is a common risk associated with cryptocurrencies, and players should be aware of the potential for price fluctuations.
Security Risks: Like any blockchain project, Axie Infinity is susceptible to security breaches and exploits. However, Sky Mavis is actively working on improving security measures and addressing vulnerabilities to protect user assets.
Sustainability Concerns: The long-term sustainability of the play-to-earn model is a key challenge. Sky Mavis is addressing this by focusing on enhancing gameplay, diversifying the Axie Infinity ecosystem, and introducing new features and game modes to keep players engaged.

Future Outlook

Despite the challenges, Axie Infinity has a promising future. The developers are actively working on improving the game, expanding the ecosystem, and addressing community concerns.

The continued growth of the NFT market and the increasing interest in blockchain gaming could further contribute to Axie Infinity’s success.

Axie Infinity still has potential if developers find innovative ways to revive the ecosystem. Factors such as increased user adoption, strategic partnerships, technological innovations, and favorable market trends could contribute to a significant rise in the price of AXS.

How to Get Started with Axie Infinity

Here’s a step-by-step guide for new players to get started with Axie Infinity:

Set up a Ronin Wallet: This wallet allows you to interact with the Ronin blockchain, which houses all the gaming operations of Axie Infinity.
Create an Axie Infinity account: This allows you to obtain your own Axies and use them to earn in-game rewards.
Acquire Axies: You need a team of at least 3 Axies to play. You can purchase them from the Axie Marketplace or explore scholarship opportunities.
Install the game: Axie Infinity can be played on both mobile devices and PC.
Log in and set up your in-game account: Once you have the game installed, log in and set up your account to start playing.

For detailed instructions on each step, refer to the Axie Infinity documentation and tutorials available online.

Why Axie Infinity Matters

Axie Infinity is more than just a game; it’s a movement that combines gaming, blockchain technology, and decentralized finance (DeFi).

Its play-to-earn model has empowered players in developing countries to earn a sustainable income, making it a pioneer in the GameFi space.