The price of the first-generation P2E token project Axie Infinity has lost more than 90% of its peak. The asset was one of investors' biggest disappointments last season. The situation was exacerbated by the fact that the instant sale of the asset on a breakout of important price levels was not available to many due to participation in a 90 or 180 day fixed stack from Binance with "attractive" terms of over 100% p.a.
Less capitalized p2e-projects suffered more than AXS: Aurory (AURY) on Solana lost more than 95% from the peak price, SolChicks (CHICKS) also on Solana lost more than 98% from the peak, and the liquidity of the asset almost completely disappeared from all centralized and decentralized sites. Gods Unchained (GODS) on Ethereum was down 97% from its peak, Age of Gods (AOG) on Binance was down 96% from its highs.
Is gaming addiction dangerous for P2E users?
"I was happy at first, but soon I started to feel weak, insomnia started to appear" described his experience with Axie Infinity by Orias, a Filipino who is the protagonist of a Time magazine article.
The piece features stories of several Filipino families trying to make ends meet by earning extra cash through P2E games, highlighting the negative factors in the human psyche and the randomness factor in gaming that often leads to addiction. However, the dramatic stories of many Filipinos hide the multifaceted nature of the issue and the lack of a comprehensive approach in the study of the phenomenon.
One could only talk about a specific P2E gaming addiction by getting to know a large part of the gaming community - were they prone to other gaming addictions before their experience with the game or was P2E gaming the original factor that formed the addiction? Even without mentioning P2E, new users when encountering the web3 sector may be tempted to solve their financial problems with the promise of quick prosperity on platforms. Cryptocasinos, sweepstakes, and pyramid schemes are very popular in web3.
That said, even if the blockchain space is completely "cleared" of the above dangerous sources, users prone to gambling addiction will be able to use neutral market instruments for unrealistic enrichment. So, for example, futures with high leverage (10X or more) can be reasonably used by traders to hedge the risks of long positions. The same tool can be used for absolutely game-like bets on the smallest rate movements.
Apart from Time magazine, other publications such as CoinGeek, Bangladesh Times and others were critical of P2E games.
From P2E to X2E - a paradigm shift?
Despite the multiple declines in the quotations of P2E projects, the exodus of gamers from existing projects and the wave of media criticism, the gaming industry may still be at the very beginning of its upcoming boom. The summer and fall of 2022 saw a tremendous amount of investment in blockchain-related projects: $500 million for a Web3 game venture capital fund from Immutable, $200 million for blockchain game firm Limit Break, $100 million for Web3 game publisher Animoca Brands and many other deals.
Many developers and investors of the sector agree that the next billion users in Web3 will come exactly through gaming. This topic was also actively discussed at the recent World Blockchain Summit in Dubai. This statement is also supported by the fact that many gamers are already used to lifestyle and behavior close to Web3 - exchange and trade game items, improve the characteristics of their characters by buying exclusive clothes and accessories and collecting them, attend major online events in gaming reality together.
Together with the influx of new funds and developers in the sphere of Web3-games, the ideological component of the issue was not left out. The concept of P2E has been replaced by the acronym X2E, meaning that users must not just play, but do something (often socially useful) to get the desired tokens.
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Author: soft4bro.com (05/11/2022)