A relatively unknown game that witnessed a skyrocketing growth but has quickly broken the circle. Axie Infinity game's single-day revenue crossed 9.72 million dollars earlier this year, which astonishingly surpassed the 'Glory of the King' mobile game, the highest-paid mobile game with a revenue of USD 9.2 Million a day.

Axie Infinity introduced <a href="https://www.cryptoknowmics.com/news/axie-infinity-axs-price-prediction-2021-2025-should-you-buy-the-fall/">blockchain gameplay</a> that enabled users to earn coins as they played, which seemed a rather attractive form of gameplay. The game grossed more than USD 85.67 million monthly and USD 42.75 million weekly.

Few skeptics believe that players in Axie Infinity are terminally there to make money rather than enjoy the game.

However, people also believe that future blockchain game players will make money while participating in creating games.

This is by far one of the standard models, and the simple model of consumption will eventually take place by 'Consumption + Investment+Speculation.'
<h2>Axie Infinity: Revenue USD 9.72 Million a Day</h2>
According to different statistics by third parties, Axie Infinity, when it entered the month of July in 2021, gained more than USD 70 Million, which was around 5x the revenue in June 2021.

In June 2021, King of Glory topped the board with a monthly income of USD 277 Million, having a daily average of USD 9.2 Million. PUBG came second with a monthly income of about USD 213 Million, and an average daily income of USD 7.1 Million.

What was noteworthy in those months was that Axie Infinity's revenue on the 16th of July 2021 exceeded USD 9.72 Million in tokens; this data represented exceeded the daily average of USD 9.2 Million of the Glory of the King.

Huobi App indicated that the price of AXS rose from USD 2.8687 on the 22nd of June to USD 29.2069 on the 15th of July, a clear 10x rise during this time.

Going by the Token Economy and generally speaking, after the token enters the platform, it requires innovation to breakthrough. The main chain of Axie Infinity became the main token AXS, which triggered the surge in revenue.

Simply put, Axie Infinity already had a growing base of users. Hence, its token economy had already grown in scale. It took upgrading the main chain as an opportunity to skyrocket itself.
<h2>Axie Infinity's Blockchain Play</h2>
According to Axie Infinity's Official website, it is a 3V3 Online card battle developed by Sky Mavis, a Vietnamese Game company. The fighting is done by manipulating small creatures called Axies and releasing their card skills.

Axie Infinity's gameplay is similar to most traditional games. However, it integrates game battles, cards, land leases, and has managed to capture a lot of players in a short burst of time.

Axie infinity will give players game tokens AXS in the game. To play Axie Infinity, you need to purchase about three tokens for the turn-based battles. Winning those battles will produce SLP Tokens, and SLP can be used to upgrade Axies (you can win fights if you do not upgrade). The game mechanism is decided so that you would need more AXS to play, thus inducing a greater demand for AXS and driving up the price.

Another mechanism is that the sub-token SLS used to purchase various assets can also be purchased at the 3rd party market or in-game.

Axie Infinity uses the money of new players to pay interest, along with short-term returns to old players, thus creating an illusion of making money and deceiving new players in the market.
<h2>How Big Is the Bubble</h2>
As early as the rise of 'CryptoKitties' in 2017. Cultivating virtual cats is similar to the Axie Infinity Gameplay. Through the mating and breeding of two cats, a new cat with a unique gene is produced. Each cat becomes a unique NFT with a different style.

CryptoKitties had 1.5 Million users and contributed to about USD 40 million in transactions at its peak. Dragon was the most expensive kitten to be sold at 600 ETH.

Axie Infinity is still much more significant than CryptoKitties in terms of finances. The major token of Axie Infinity, AXS, uses ERC 1155 quite frequently. The relation between tokens is much more complex than it was in CryptoKitties. However, the price of <a href="https://www.cryptoknowmics.com/news/axs-technical-analysis-bears-warn-a-downfall-to-80/">AXS</a> today is USD 98.60; AXS shares an up and down graph, earlier when it had reached USD 29.2, it almost went back all the way.

The 100x increase within a few weeks is a 'Nuclear Explosion'stage in the Token Economy. At this stage, the token price takes even a higher number and keeps getting pushed higher and higher, exceeding its true value while mining incentive brings onboard the 'Wool Parties'. These 'Wool Parties' tend to leave the system when the price drops, thus bursting the bubble.

Is Axie Infinity in a Bubble?

Axie Infinity is a high-demanding game which witnessed rapid growth, with its token AXS surging rapidly. However, the it seems to fade and in bubble.

Pranav is not your next-door crypto geek. He Vehemently pursues his passion for writing and his insatiable thirst for the crypto-verse. A wordsmith who likes to keep his words on chain and  has a flair for explaining complex concepts, ideas and nuances in the most basic and relatable form

Is Axie Infinity in a Bubble?

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