Most Play-To-Earn Crypto Projects Are Pyramids

Before I ventured into play to earns in 2022 lots of people told me this about any X-to-Earn like play to earn or move to earn, but for a moment I didn’t want to believe that. If you notice all these play to earns its usually the first people who started the project that end up making profits. I have gotten involved with two move to earns and one play to earn and I can testify that for sure its a pyramid. Most of these projects are businesses to their developers and every businessman wants to make profit from their investment. So the sooner you realise that its a business to developers, not a get rich quick scheme, the better for you. Most of these play to earn tokens have no utility, they just created for the profit hype and gain then within a short time they start losing their value.

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What increases the value of tokens or projects? Its usually demand, when there is no utility for a token, the demand will also not come, the price is expected to decline also. When people are playing and earning the native token of the play to earn the supply of the token increases to a point of inflation. Investors help the value of tokens grow and increase, but when these investors stop investing, what happens to the project? It will definitely fail, unless they have a very strong community that help add value and create more value to the project, but asides that, expect a huge decline in interest and money making opportunity in the project. I saw it happen with stepN and I heard it also happened with axie infinity, and now I am seeing it happen to another project.

As usual I am learning and I have learnt my lesson, I was not among the first investors in stepN but I lost my money when I invested in STEPN, I was somewhat like an investor who invested in the middle era, the time when the project had gained it’s required hype. StepN had a lot of hype and recognition which made a lot of people want to invest in them. People were investing because they wanted to make quick profit but with time, the token started losing its value and the devs had to change some things to reduce the rate at which people earn. They implemented policies that involved continuous investment into it that was supposed to give the token some value and create sustainability. Lots of us left, but the people that benefited more were the early investors who were making about $100 per day. The bottom investors like me and other lost, we took our losses and left. I did another and it was the same result, luckily for me, I was among the first investors, I have made double my investment, but unfortunately I reinvested and the value of their token crashed by 65%, the rate of earning reduced as well.

Posted Using LeoFinance Alpha