The emerging cryptocurrency-based game Pixels introduced its PIXEL token this Monday, following promotional airdrops and an unexpected bonus for those staking Ronin tokens.
The blockchain-powered agricultural and community game Pixels marked the launch of its PIXEL token on Monday morning, as scheduled. This follows several play-for-airdrop initiatives and incentive schemes, with the token’s value already on an upward trajectory. We take a closer look at this captivating entrant to get all the facts straight. Also, will this latest airdrop lower the price of the PIXEL token? Let’s find out.
PIXEL price action
As of the latest data from Gate.io, PIXEL’s price has surpassed $0.58, witnessing a 15.8% increase since its launch earlier in the day. With its current value, PIXEL’s market capitalization stands at $441 million, ranking it among the top 200 most valuable digital currencies.
Currently, about 771 million PIXEL tokens are in circulation from a total supply of 5 billion tokens. The total valuation, if all tokens were in circulation, would exceed $2.8 billion.
Additionally, the Pixels development team unexpectedly announced a 20 million PIXEL token airdrop over the weekend for individuals staking the Ronin network’s RON token, rewarding the network’s contributors. Although RON’s value saw a slight decrease early Monday, it has gained 17% over the last week, reaching a peak price of $3.49 per RON token earlier in the month, the highest in two years.
Pixels presents itself as a nostalgic farming simulation reminiscent of Harvest Moon and Stardew Valley, integrating a cryptocurrency token system along with NFT-based land ownership and animal companions. Initially developed on the Polygon platform, the game transitioned to the Ronin sidechain last fall, a move aimed at leveraging Ronin’s focus on gaming.
The transition to Ronin has significantly increased its user base, with daily active users jumping from around 20,000 last fall to nearly 700,000 recently. Sky Mavis, the developer behind Axie Infinity and the Ronin chain, has been pivotal in attracting more studios and games to Ronin, establishing it as a key player in the blockchain gaming arena.
Tokens were distributed to players engaged in the Pixels play-for-airdrop events last week, with the newly minted PIXEL tokens becoming available for redemption after Monday’s launch.
What is the Ronin network?
The Ronin blockchain is a specialized Ethereum sidechain designed to cater to the needs of the gaming community, emphasizing scalability, low transaction costs, and fast confirmation times. Developed by Sky Mavis, the creators of the popular game Axie Infinity, Ronin was created to address the limitations of the Ethereum network, such as high gas fees and slow transaction speeds, which can hinder the gaming experience. By providing a more efficient and cost-effective platform, Ronin enables game developers to build and operate decentralized applications (dApps) and games that can support a large number of transactions and users. Its infrastructure is tailored to facilitate seamless in-game transactions and interactions, making it an attractive choice for developers looking to integrate blockchain technology into their games. With its focus on the gaming industry, Ronin has quickly become a pivotal platform for the development of blockchain-based games, contributing to the broader adoption of cryptocurrency and NFTs within the gaming community.
Other games on Ronin
Outside of the above mentioned blockbuster names, other games on the Ronin platform include “Guild of Guardians,” a mobile RPG that emphasizes player cooperation and NFT ownership, and “Era7: Game of Truth,” a competitive card game that combines strategy with NFT trading. These games, along with upcoming titles, contribute to Ronin’s ecosystem, offering diverse gaming experiences while promoting blockchain technology’s adoption in the gaming industry.
Not all airdrops are a bad thing
Airdrops serve as a strategic tool for Pixels, enhancing its ecosystem by distributing PIXEL tokens to a broader audience, thus incentivizing participation and engagement within the game. This method not only rewards existing players and stakeholders for their loyalty and involvement but also attracts new users by offering them a stake in the game’s economy from the outset. Airdrops can significantly increase the token’s utility and circulation, encouraging transactions, staking, and investment within the Pixels ecosystem. While some might speculate that airdrops could lead to a decrease in token price due to increased supply, this isn’t necessarily the case with Pixels. The anticipation and positive reception of the airdrop can lead to increased demand, potentially offsetting or even surpassing the impact of the increased token supply. Moreover, strategic airdrops can enhance the token’s value proposition by fostering a more vibrant and participatory community, which is fundamental for the long-term success and sustainability of the game’s economy.
