FTX and their links to blockchain games
The FTX trial has been felt across the ENTIRE cryptocurrency sphere. Billions have been lost of investors. Even institutional investors like BlackRock have lost their donations to the FTX company, showing that no one has come out on top.
However, what is interesting is the gaming side of crypto that has been directly affected by FTX’s downfall. Games found on the Solana Blockchain were the most affected. Tokens for these games have fallen in value. There are 2 sides to this. Yes, people potentially lost if they bought tokens, but the games can now be considered more accessible to more casual crypto players.
Image credit | DailyO
The Solana token itself has also hit new lows due to current market conditions and the headlines we have seen. Trade currently $13.80 from an all time high of $258.
By 2021, FTX, Lightspeed and Solana Ventures had put forward $130 million in funding to be inserted into Solana’s gaming ecosystem. This was great PR for FTX and the Solana blockchain.
Lightspeed CEO Amy Wu had this to say on Twitter at the time:
“Excited to announce our $100M joint web3 gaming initiative with @FTX_Official and @Solana Ventures! We will invest in game studios, platforms and infrastructure companies at the intersection of blockchain and games in the @Solana ecosystem and beyond”.
Games affected by FTX crash
Some of Solana’s best games have felt the impact recently of FTX. The token price has subsidized, which may have further implications in the future related to the life of the projects. However, loyal fans will remain loyal to their favorite games. Let’s look a little deeper into the games that are affected.
Star atlas
One of the new up and coming triple A crypto games has been knocked back significantly due to FTX. Star Atlas was recently featured on the Epic Games Store, a huge feat considering it was only a beta-style demo of the game.
However, the token for Star Atlas has seen significant decline. $ATLAS is down 34%currently trading at $0.002621.
Aurora
The next Solana blockchain game on the list is Aurory. This is a tactical turn-based JRPG governed by Play-to-Earn fundamentals and NFTs. It’s a colourful, quirky game that has received great reception and user engagement from fans so far.
Aurory’s token, $AURY, has met a gigantic 64% price reduction. Currently trading at 0.5300.
TapFantasy
Solana’s top-rated game, TapFantasy, couldn’t even escape the turmoil. This is a free to play, game to earn MMORPG available on both desktop and mobile. The TAP token for TapFantasy led one 11% price drop.
But amid the token’s losses, the total amount of active unique wallets rose in the same time frame. In the last 7 days alone, 2,563 wallets have been registered. An increase of 23%.
Image credit | Animoca brands
Animoca Brands has had its say
Many will get to know the famous Animoca brandsthe idea of The Sandbox, one of the biggest games on the blockchain at the moment.
Their chairman, Yat Siu, has had his input on the FTX headlines, input we may want to take note of as we look long-term at web3 and digital currency trading/investing.
“I see Hong Kong stepping up in the wake of this latest crisis in the crypto industry,”
“This is an opportunity for the city to implement a regulatory approach to develop the industry,”
“This can help to correct what has so far gone wrong in the market.”
Currently, Hong Kong rivals Singapore as one of Asia’s top contributors and hotspots for all things crypto and web3. Hopefully, much can be learned from these nations from the recent FTX trial, as Hong Kong looks to strengthen the infrastructure of its legislation regarding these industries.
It turns out Animoca Brands had ties with FTX however, they were “limited to a non-material trade balance” and the gaming company will “continue to invest and support the ecosystem”.
The fallout of FTX will be interesting for web3 as we see the 2022 months leading into the new year 2023.
We’ll be sure to keep you updated as there may be much more to uncover regarding the demise of FTX.
