AXS Gained 40% Value After Measures Taken Against 'Permanent Economic Collapse'

The price of the Axie Infinity token (AXS) has increased by nearly 40% in three days. Axie Infinity has revealed a revamped reward structure in its PVP competition, with AXS hitting over $65 in less than two weeks. Axie also increased the number of leaderboard slots for the following season to 300,000 and increased the amount of rewards to 117,676 from the previous 3,000. In a statement, the Axie Infinity team said, “This will strengthen the competitive Axie scene and create more demand for quality Axie teams in the ecosystem,” and stated that this initiative will also create a $6 million prize pool for Season 20. Axie Infinity uses a dual token structure. The other token, Smooth Love Potions (SLP), is given to players for completing daily quests and clearing levels in adventure mode. Additionally, players earn SLP rewards through area combat in Axie Infinity. Axie Infinity has also eliminated the daily quest and adventure mode, meaning players can now only earn SLP through area combat. The decision aims to reduce the daily SLP token supply by 56%. SLP supply is crucial as players need SLP to craft new Axies. Recently, the Axie Infinity team has created more SLPs than are burned through breeding to reward players. Unfortunately, this led to higher SLP inflation, causing the rate per coin to drop from a summer 2021 high of $0.40 to $0.008 on February 3rd. As a result, Axie Infinity eliminated excess SLP production. The team noted that the daily task in principle encourages people to play every day, but at the same time adds a supply load of SLP 45 million to the Axie Infinity economy.