Axie Infinity is an NFT based game built off the blockchain; the game allows for users to earn monetary gain. It is currently the most popular dApp; not only that but Axie Infinity is home to the most expensive NFT collection. It has been widely publicized on numerous occasions including extensive coverage on the sale of digital land which went for US $1.5 million.
That (digital) piece of land is one of the top 10 most expensive NFTs ever purchased. If you would like to learn more about that sale and the nine other most expensive NFTs purchases, that can be found here.
In this article, NFTexplained.info will explain exactly what SLP is and what AXS is; this includes how they differ and much more. The purpose of this article is to help clear misconceptions surrounding the two cryptocurrencies.
Not ready for the SLP & AXS breakdown? Our Axie Infinity Breakdown can be found here.
Let’s dive in! What’s the difference?
Smooth Love Potion (SLP) is a cryptocurrency users receive for playing Axie Infinity and is primarily used for paying breeding fees however it can be sold on exchanges. Axie Infinity Shards (AXS) is ERC 20 governance cryptocurrency for the game which allows for staking and payment use.
Both cryptocurrencies are unique and different in a vast number of ways. All SLP tokens are always in complete circulation while AXS has only (roughly) 25% in circulation. The tokenomics behind both are completely different and so are the use cases. Continue reading to get a complete understanding of both!
NFTexplained.info is a team of long term crypto investors who are educated within the space; this does not mean we are financial advisors, we are simply well informed within the NFT space. As always please use due diligence before making any investment.
In this article we will explain what SLP is, where SLP can be purchased, what AXS is, where AXS can be purchased, and we will end our article by explaining the fees incurred when breeding an Axie.
What Is The Crypto Currency SLP (Smooth Love Potion)?
Smooth Love Potion (SLP) is an ETH-based CryptoCurrency that Axie Infinity players receive as a reward for playing the game. The majority of players use it to breed Axies however the cryptocurrency can also be sold on exchanges for monetary gain. Breeding burns SLP but playing results in higher SLP distribution.
SLP is currently in full circulation; this means 100% of the supply has entered the ecosystem at any given point in time. The cryptocurrency is equally distributed among Sky Mavis’ (creators of Axie Infinity) blockchain as well as the Ethereum blockchain.
Smooth Love Potion is the in game currency from Axie Infinity. The cryptocurrency is earned from adventure or arena battles. The amount of SLP earned from playing the game is scaled depending on how good the player is; better players earn more SLP. Players have the opportunity to receive as much as (roughly) 12 or as low as (roughly) 1 SLP per win in Arena Mode. In Adventure Mode players have the opportunity to earn as much as (roughly) 20 SLP or as little as (roughly) 1 SLP per win.
The main use for this cryptocurrency is the breeding of Axies however it can also be sold on exchanges for monetary gain. As the breed count on an Axie increases, so does the SLP needed for breeding. Virgin Axies (0/7) being bred with another virgin Axie will require the smallest amount of SLP.
Where Can You Buy The CryptoCurrency SLP?
SLP can be purchased and sold on a fairly large (18) variety of different cryptocurrency exchanges. The most notable include Binance, Uniswap, and crypto.com. Unfortunately, large crypto exchanges like Coinbase do not offer this cryptocurrency.
What Is The CryptoCurrency AXS?
Axie Infinity Shards are an ERC 20 governance token with a total supply of 270,000,000. The cryptocurrency has three main purposes: governance (in-game voting rights and receival of rewards), staking (locks up AXS but rewards new AXS), and payment (breeding fees and participation within the economy).
Governance includes the receival of AXS from the community treasury. The treasury is where users can actually receive revenue from Axie Infinity. This includes a portion of staking rewards and the revenue is made by taking four percent of each transaction on the Axie Infinity marketplace. Eventually voting rights within the game will be allowed for the holders of this cryptocurrency.
Staking or locking up AXS will result in the receival of newly created AXS. Stakers will also be required to vote and need to play the game in order to claim rewards.
Currently, the primary use case is for payments within the game (breeding fees). It can also be earned by playing the game. By being in the top 200 players of each season (a month long period) AXS can be earned. This could be as much as roughly 400 AXS.
The other use cases are not currently implemented however with time, AXS will be required for participation in the Axie Infinity economy.
Where Can You Buy The CryptoCurrency AXS?
AXS can be purchased from a large variety (35) different cryptocurrency exchanges including Binance (not Binance.US), Uniswap, Huobi Global, FTX, SushiSwap, crypto.com, and many more. Unfortunately, Coinbase does not currently list the cryptocurrency however this is likely to change in time.
What Is The Fee For Breeding An Axie?
Breeding Axies produces a new NFT which is one of the most profitable actions in the game. Axies are currently being sold for thousands of dollars on NFT marketplaces.
In order to breed an Axie, two Axies are needed; both Axies need a breed count below seven. SLP is needed and the amount depends on the number of times an Axie has been bred (0/7 = lowest SLP cost). Finally, one AXS is required. There are no other transaction fees.
If an Axie is bred, it can be sold on the Axie Infinity marketplace or a seperate NFT marketplace like OpenSea. If you would like to learn about OpenSea, the largest NFT marketplace, that can be found here.
The cost of breeding on an Axie depends on numerous factors. Players may choose to sell SLP on an exchange instead of using it for the breeding of Axies because of the fees; however, breeding is likely the most profitable action a player can take.