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What Is Axie Infinity?
Crypto, trading, and gaming: Axie Infinity
Have you ever heard of Axie Infinity? If you have, you’ll know that it’s one of the most popular ‘crypto games’ in the field with an astonishing market cap of $2.4B. If you haven’t, then say no more, we’ve got you covered.
In this article, we will dive into the majestic realm of Axie Infinity, in which crypto, NFTs, and games are interwoven to shape what might become the future of gaming.
What is Axie Infinity?
Axie Infinity is an online virtual “universe” involving mythical pet creatures that resemble Pokemons, known as Axies. Each Axie has its individual power, features, and characteristics. In this game, players can collect, breed, build kingdoms and fight with their individual Axies to eventually get rewarded for reaching certain levels.
In order to play the game, players must acquire a team of at least 3 Axies, the cheapest of which currently costs around $30. Building the Axies’ team can cost up to $110 and buying the Axie pets can cost an average of 0.1 ETH and 0.2 Eth which is over $40.
Cryptocurrencies and NFTs
What makes Axie Infinity special is that, unlike traditional online games, this is a block-chain based one that uses a play-to-earn business model based on cryptocurrencies. It is a card game built on the Ethereum network and it uses crypto tokens to function.
It features two types of cryptocurrencies: Axie Infinity Shards (AXS) and Small Love Potion (SLP) which can be traded (bought and sold) through platforms like Uniswap.
The AXS token is the native and main token for Axie Infinity, and it is an Ethereum token that allows this game’s players to play, vote, and stake in the game through a play-to-earn (P2E) business model.
Furthermore, the Axie creatures possess individual characteristics and are non-fungible tokens (NFTs) that can be sold and invested in.
What is a play-to-earn model?
Games that use a play-to-earn model (P2E) allow their players to earn payments and rewards through cryptocurrency blockchain technology. Players, therefore, get paid in either cryptocurrencies or NFTs which can be converted to fiat money. This model not only benefits the players but also profits the creators of the games since they also get paid for each transaction made with their cryptos or NFTs.
In Axie Infinity, for example, players earn a native cryptocurrency called AXS token which can be converted to real money, and each of the Axie creatures is unique for each player and can be bought and sold as NFTs.
Axie Infinity’s history
Axie Infinity has certainly managed to make a buzz in the crypto world since it was launched in the middle of 2018 by Sky Mavis, a Vietnamese developer.
Since the game’s inception, the number of players has grown to over 2.6 million daily users as of November 2021.
How to trade Axie Infinity?
Traders that seek to trade the burgeoning and developing world of Axie Infinity, can do so through Contracts for Difference (CFDs) on Plus500’s platform. Through CFDs, traders can either go long or short on rising or declining AXS prices without having to actually own it or find a safe crypto wallet to store it away from hacking attempts.
CFDs or Contracts for Difference are derivatives that allow traders to gain access to multiple markets through leveraged trading. This means that you can potentially maximize your gains if the prices of AXS go according to your trading position. Moreover, trading with Plus500 also means that you get easier and quicker access to the money you’ve earned while trading Axie Infinity CFDs. Nonetheless, you should bear in mind that leverage can also potentially maximize your losses if AXS prices go against your position.
Trading Axie Infinity CFDs with Plus500
To trade Axie Infinity CFDs with Plus500, you can follow these steps:
1. Go to your trading account and in the search bar above, type Axie Infinity, or you can click on the Crypto Currencies category on the left side of the screen and search for Axie Infinity instead.
2. After clicking on Axie Infinity, you can choose whether you want to open a ‘Buy’ or a ‘Sell’ position.
Alternatively, you can test the waters without having to commit to using your real money through our free and unlimited Demo account, which allows you to trade CFDs on cryptocurrencies and other financial instruments in real market conditions. You can use it to practice until you feel confident enough to trade using your real money.
All in all, it is undeniable that the crypto realm continues to develop and grow. This in turn means that our present, and possibly future, might continue to be shaped and affected by this fascinating world, for not only does it impact the way we transact money, but it is also breaking into new spheres like gaming. One way to gain exposure to this emerging realm is through CFDs with regulated providers like Plus500.