- The restriction on centralized cryptocurrency companies in China is driving investors toward decentralized alternatives in the DeFi industry.
- AXS's price has increased over 150,000% since its launch.
- Proponents believe that converting time to money is the most significant trait of Play-to-earn games like Axie Infinity.
- Axie Infinity has over 1.8 million daily active players worldwide, and AXS's daily transaction volume exceeds $520 million.
Play-to-earn games have revolutionized the DeFi landscape with income generation potential for players. China's ban on cryptocurrencies plays a key role in the growth of decentralized finance applications in the crypto ecosystem.
Axie Infinity is revolutionizing the crypto gaming industry
The concept of "generating income" while playing a game and exchanging real-world assets for fiat currencies emerged as the latest trend in the cryptocurrency ecosystem.
NFTs and the metaverse are other avenues for utilizing in-game tokens, rewards and games like Axie Infinity are pivotal to the trend.
Since its launch, Axie Infinity's token AXS has managed 150,000% in gains. AXS's price at launch was 8 cents; the token is currently trading above $120.
Arthur Cheong, a cryptocurrency fund manager and early investor in blockchain-based games, believes that games like Axie Infinity have untapped potential.
Cheong states,
We were actually one of the first few investors that saw the potential. How fast it has grown definitely surprises us.
Cheong further notes that China's ban on cryptocurrencies is beneficial to decentralized finance applications. Since centralized institutions are now restricted in mainland China, the focus has shifted to decentralized alternatives.
Cheong believes that funds invested in DeFi applications will benefit from China's move.
Following China's announcement of its crypto ban, Axie Infinity (AXS) price plunged. Experts noted that the price drop was caused by a high correlation with cryptocurrencies like Bitcoin and Ethereum.
The top two features that attract players to Axie Infinity are the potential to monetize their time and "convert time to money," in the form of in-game tokens that can be exchanged for fiat currencies. Players in Vietnam, Brazil, the Philippines and Venezuela rely on the game as their basic source of income.
Axie Infinity's daily active online players has crossed 1.8 million, and AXS's daily transaction volume now exceeds $520 million.
FXStreet analysts have evaluated Axie Infinity's price and predicted consolidation of 30% before AXS hits a new all-time high.
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