Axie Infinity is a blockchain-based game developed by Sky Mavis, a Vietnamese studio founded in 2018. Players collect, breed, and battle digital creatures called Axies, which are represented as non-fungible tokens on the Ronin blockchain \u2014 a sidechain Sky Mavis built specifically to reduce the transaction costs associated with gameplay. The game attracted significant attention between 2020 and 2021 when a play-to-earn economic model allowed some players, particularly in lower-income countries, to earn meaningful income by playing and trading Axies. At its peak, Axie Infinity had millions of active users and AXS reached a high market capitalisation.<\/p>\n
AXS is the governance and staking token of the Axie Infinity ecosystem. Holders can stake AXS to earn additional tokens and vote on ecosystem treasury allocations. In March 2022, the Ronin bridge \u2014 which connects Ronin to Ethereum \u2014 suffered one of the largest exploits in DeFi history, with approximately 625 million US dollars in ETH and USDC stolen. Sky Mavis subsequently reimbursed affected users through a combination of raised capital and treasury funds, and the bridge was relaunched with enhanced security. Active user numbers declined substantially after their 2021 peak as the play-to-earn economic model became economically unsustainable at scale, and the studio has been developing updated game versions to rebuild the player base.<\/p>\n","protected":false},"excerpt":{"rendered":"
Axie Infinity is a blockchain-based game developed by Sky Mavis, a Vietnamese studio founded in 2018. Players collect, breed, and battle digital creatures called Axies, which are represented as non-fungible tokens on the Ronin blockchain \u2014 a sidechain Sky Mavis built specifically to reduce the transaction costs associated with gameplay. The game attracted significant attention \u2026<\/p>\n","protected":false},"featured_media":0,"template":"","meta":{"tmp_coingecko_id":"axie-infinity","tmp_symbol":"AXS","tmp_rank":0,"tmp_chain":"","tmp_ticker":"","tmp_pair":"","tmp_yahoo_symbol":"","tmp_faq":"[{\"q\":\"What is the Ronin network and why was it built?\",\"a\":\"Ronin is an Ethereum sidechain developed by Sky Mavis specifically to support Axie Infinity and other Sky Mavis games. It was built to reduce the high transaction fees that would otherwise make frequent in-game transactions prohibitively expensive on Ethereum mainnet. Ronin processes game-related transactions at low cost, with periodic settlements back to Ethereum for asset withdrawals via the Ronin bridge.\"},{\"q\":\"What happened in the 2022 Ronin bridge exploit?\",\"a\":\"In March 2022, attackers compromised private keys controlling validator nodes on the Ronin bridge and withdrew approximately 625 million US dollars worth of ETH and USDC. It was among the largest cryptocurrency exploits on record. Sky Mavis raised capital from investors and used treasury funds to reimburse affected users, and subsequently rebuilt the bridge with a larger and more diverse validator set.\"},{\"q\":\"What is AXS used for within Axie Infinity?\",\"a\":\"AXS is the ecosystem governance token. Holders can stake AXS to earn staking rewards distributed from the community treasury. AXS is also used as a component in the Axie breeding process and for purchasing items in the Axie marketplace. Governance rights allow AXS holders to vote on proposals related to how the community treasury u2014 funded by marketplace fees u2014 is allocated.\"},{\"q\":\"What risks should prospective AXS holders be aware of?\",\"a\":\"Axie Infinity's economic model proved unsustainable at scale: the play-to-earn cycle inflated in-game token supply faster than demand could absorb it, causing a sharp collapse in earnings and player numbers from 2022 onward. AXS is exposed to game-specific risks including competition from other blockchain games, declining user engagement, and the general volatility of gaming-sector crypto tokens. The Ronin bridge exploit also demonstrated smart contract and key-management risk.\"}]"},"class_list":["post-1000218","coin","type-coin","status-publish","hentry"],"_links":{"self":[{"href":"https:\/\/themarketperiodical.com\/de\/wp-json\/wp\/v2\/coin\/1000218","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/themarketperiodical.com\/de\/wp-json\/wp\/v2\/coin"}],"about":[{"href":"https:\/\/themarketperiodical.com\/de\/wp-json\/wp\/v2\/types\/coin"}],"wp:attachment":[{"href":"https:\/\/themarketperiodical.com\/de\/wp-json\/wp\/v2\/media?parent=1000218"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}