Direct from the desk of Dane Williams.
While every mainstream media outlet runs surface deep puff pieces on the disaster that has been setting up a professional P2E gaming business offering Axie Infinity Scholarships, I took a different route.
I tracked down and had a hard hitting chat with Angelo, an ex P2E gaming business owner, about what he wished he did differently.
I get his take on what he thought at the time, what actually happened and what he wished he did differently in order to ensure the long term sustainability of his P2E gaming business - With or without Axie Infinity.
Interview with Angelo
Dane: Lets start by getting your perspective of what was actually going on during the heyday of Axie Infinity.
Can you share your journey of setting up and managing a P2E gaming business offering Axie Infinity Scholarships?
Angelo: Sure.
When I established my P2E gaming business, the concept of Axie Infinity Scholarships seemed like an ideal way to not only contribute to my community but also create a sustainable income stream.
I acted as a manager, providing players with an ability to earn from the game, for a cut of their earnings.
It was an exciting business that bridged gaming with the potential for financial gains.
Dane: Your approach resonates with the concept of sharing success within the ecosystem.
As you experienced initial successes, what were some of the key achievements or milestones you reached in terms of scholarship earnings?
Angelo: During the peak of Axie Infinity's popularity, my scholarship program was flourishing.
Scholars were earning substantial SLP token rewards and the potential seemed limitless.
It was an inspiring phase, as we were not only enabling players to earn a wage, but I thought I was building something for myself too.
Dane: It's fascinating to hear about your positive experiences.
Could you discuss the turning point when you began to recognise the vulnerabilities in your business model's sustainability?
Angelo: The turning point came when the value of SLP tokens plummeted dramatically.
Suddenly, the once-stable earnings became unpredictable and the foundation of my business was challenged.
It became clear that my approach, which relied heavily on a single token's price, completely dictated by a 3rd party, was fundamentally flawed.
The volatility exposed the risks of over-reliance on someone else.
Dane: Your insights are crucial for understanding the risks tied to such dependencies.
Looking back, what proactive measures do you wish you had taken to diversify your business strategy and safeguard its long-term viability?
Angelo: Diversification would have been a prudent strategy.
Instead of tethering my fate to a single token, I realise now that exploring other P2E assets with intrinsic value and stability could have helped somewhat mitigate my risk.
This approach would have provided a safety net, shielding me from the impact of drastic market fluctuations.
Moreover, investing in stablecoin DeFi pools or Hive Backed Dollars with its predictable 20% APR, would have added a layer of reliability to my earnings.
Hive could have saved my P2E gaming business.
Dane: Your insights underscore the importance of foresight and a multifaceted approach.
Given your journey, what advice would you offer to fellow P2E gaming entrepreneurs who are considering setting up scholarship programs or similar ventures around other P2E ecosystems?
Angelo: It's imperative to recognise that sustainability should be at the heart of any P2E gaming business.
While profit is the driving force, it must be complemented by a strategic outlook.
Entrepreneurs should focus on education, thoroughly understanding what gives P2E tokens value and going from there.
If they can’t offer a reason why somebody would be dumping the tokens that the game is printing to pay players, then it’s doomed from the beginning.
Dane: Thank you for sharing your invaluable insights.
Your journey as a business owner offering Axie Infinity Scholarships provides a critical perspective on the complexities of P2E gaming sustainability.
Your experiences and the lessons you've learned offer a comprehensive guide for aspiring entrepreneurs to navigate this dynamic landscape with prudence and a long-term vision.
Angelo: I appreciate the opportunity to shed light on my experiences.
If my journey can assist others in creating more resilient and prosperous P2E gaming businesses, then my mistakes will have been worth it in some small way.
Best of probabilities to you.