For all the talk about Bitcoin, Ethereum, and decentralized technology (DeFi) projects, a handful of small players in the cryptocurrency markets have been posting amazing gains during the ongoing bearish period of market correction. One of those players is known as the Small Love Potion (SLP) token, which offers an interesting method of mining.
The most attractive and fun method of mining SLP is through playing games that are connected to a blockchain network, which in turn serves as the support base for Axie Infinity, an online virtual world where players can battle for tokens, earn tokens, or even engage in SLP trading through business activities such as buying and selling plots of virtual land. According to Coinbase data, SLP tokens have surged by nearly 102% over the last week, and this has a lot to do with an Axie Infinity feature that lets players breed digital creatures represented by non-fungible tokens (NFTs).
Axie Infinity is a dynamic project that combines crytocurrency token mining with gameplay, DeFi sidechains, collecting of NFTs, and a barter economy. Let's dig into Axie Infinity: what is it, how do the NFTs work, and what about the Small Love Potion token? Axie Infinity is a virtual pet or doll project based on the blockchain where players can create a character, engage in battle, buy virtual property, and collect their very own NFT digital pets.
There are six types of tokens: gold, silver, diamond, red, copper, and purple. Gold is used to purchase land and battle opponents. Silver tokens are used to buy items and items that are used in battle, Diamonds are used for cosmetic upgrades and can be traded, Red tokens are used to purchase food, Copper tokens are used to increase one's stats, and purple tokens are used to increase one's maximum stats.
There are currently 13 unique types of NFTs available and more can be unlocked. Each of these NFTs are uniquely named and represent a creature and has an accompanying avatar. Once a character is created, their NFTs can be placed into collections called "hives". All NFTs are owned by a user on the Ethereum blockchain, and the value of the NFTs fluctuates based on supply and demand.