Axie Infinity is a game that permits gamers to accumulate, breed, increase, battle, and trade creatures called “Axies” (characters based on axolotl), digitized as NFTs. As of September 2021, most people of gamers were established in the Philippines.
New gamers need to buy at least three axies to start playing. In February 2020, Sky Mavis estimated that the average participant had spent around US$400 to match this beginning requirement. By December 2021, the beginning price for three Axies was as much as US$1,000.
The game uses a “pay-to-earn” version (also known as the “pay-to-play-to-earn” model) wherein after players pay the starting charges, they could earn an Ethereum-based in-game cryptocurrency via playing. Axie Infinity permits players to cash out their tokens every fourteen days. This model is described as a form of gambling and a risky marketplace that is overly reliant on the inflow of new players.
Members are capable of buying digital land and other in-game belongings as NFTs.
In June 2021, during a pandemic lockdown, CNBC stated that people in the Philippines had been playing the game as their foremost source of earnings. However, income prices from playing fell beneath the minimum salary of the Philippines in September 2021. In August 2021, the Philippine Department of Finance clarified that profits from Axie Infinity are taxable and advised that the SEC and BSP may classify the cryptocurrency as a currency or a security.
In February 2022, Axie Infinity has become the primary NFT series to exceed $4 billion in income.