Is "Axie Infinity" shutting down? Researchers from Naavik warned about possible retention issues in the game. They said that SLP might soon lose value, which could discourage the player base in the long run.

Many fans are probably familiar with "Axie Infinity," an NFT-based game that features a strong play-to-earn system. This game introduces animated characters called Axies that players treat as pets. In-game, players can use their Axies for PVP battles, market trades and breeding.

The whole economy works around Smooth Love Potions (SLP), an in-game currency used to breed Axies. Note, however, that SLP is also a registered cryptocurrency. After farming this resource, players can trade SLP for real money.

'Axie Infinity' Game Retention Issues and SLP Problems

SLP is used as an in-game currency. However, according to Gamepur, a majority of the "Axie Infinity" player base is steadily using it as a form of income instead. This is creating a problem within the game system.

Typically, cryptocurrencies are regularly removed from circulation to maintain their scarcity and value. In "Axie Infinity," this is done through the form of breeding new Axies. Unfortunately, more players opt to cash out the SLP instead of using it. This means that SLP remains in the market, and its value might soon start to dwindle.

With this impending decrease in value, researchers predict that the player base might be discouraged to continue "Axie Infinity." This reason might also turn off the potential new players trying the game.

Lars Doucet, a game developer and member of the research team, highlighted a few indicators on Twitter. The researcher emphasized that "high retention in games typically signals loyalty. But workers only retain while you pay them. We must closely watch retention as earnings fall."

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Can Sky Mavis Fix the 'Axie Infinity' Issue?

According to Naavik, Sky Mavis might address the problem by changing its system platform. Instead of promoting a play-to-earn system, they should add a few long-term plans that make the game a lot more sustainable. To emphasize, Sky Mavis should find ways to make the money flow in-game instead of outside systems (like cashing out).

To do this, Naavik suggested:

• Adding value to land, items and mini-games
• Encouraging the game community through events, esports tournaments, and other general engagement
• Adding an upgrade system for Axies (vertical progression)
• Adding non-transferrable Axies that are used for competitive arena and not earning potential.

Keep in mind that these are merely suggestions for the game. These speculations do not assure the success or downfall of the "Axie Infinity" game. The situation is still progressing, so players should carefully observe these next few months whether Sky Mavis could improve its systems or if the SLP will eventually lose value in the market.

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