The Philippine National Police Anti-Cybercrime Group (PNP ACG) has raised alarms over the Axie Infinity’s play-to-earn crypto game, a Pokemon-inspired metaverse game built on the Ethereum blockchain. This unique gaming approach has come under scrutiny due to potential risks associated with digital assets and nonfungible tokens (NFTs).
Concerns About Risks Outweighing Traditional Investments
Playing crypto games might carry a higher level of risk compared to traditional cryptocurrency investments, as pointed out by the PNP ACG. This assertion stems from the ease with which gamers can lose their valuable digital tokens and NFTs.
Unlike conventional investments, where losses can be traced to market volatility or strategic errors, crypto games introduce a new layer of vulnerability through the virtual assets themselves.
Axie Infinity’s play-to-earn concept requires players to acquire a minimum of three Axie characters to initiate gameplay. However, the PNP ACG expresses concerns that this model compels users to invest a substantial amount, totaling around $300, before they can start earning.
In contrast, the more traditional gaming industry averages only about $100 per user.
Broader Threats to Crypto Gaming Community
Beyond the specific concerns surrounding Axie Infinity, the broader crypto gaming community faces a range of threats to their investments. These risks include mistakenly sending tokens to unsupported wallet addresses, navigating the inherent volatility of crypto markets, and encountering online scammers seeking to exploit unsuspecting players.
The PNP ACG further emphasizes that even if a game’s underlying blockchain is secure, its engine and marketplace may still harbor vulnerabilities.
The PNP ACG’s advisory echoes established best practices for engaging with cryptocurrencies. Users are strongly encouraged to conduct comprehensive research on ecosystems and project founders before committing their investments. Additionally, exercising caution when interacting with unfamiliar individuals and avoiding suspicious phishing links is paramount in maintaining a secure gaming experience.
Driving Web3 Adoption in the Philippines
In response to the evolving landscape of blockchain technology, the Philippine Department of Information and Communications Technology (DICT) has joined forces with the Blockchain Council of the Philippines (BCP) to accelerate the adoption of Web3 in the region.
This partnership aims to foster the growth of innovative blockchain startups, promote blockchain-based business solutions, and advance blockchain initiatives for the greater public good. DICT Director Emmy Lou Versoza-Delfin expressed enthusiasm for the collaboration during the announcement, citing the successes and transformative potential of blockchain technology.
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