Axie Infinity's Blockchain Launches Governance Token
Sky Mavis, the founder of Axie Infinity, has launched the RON token, which will govern the Ronin blockchain.
Key Takeaways
- The RON token launched today.
- RON is the governance token for the Ronin blockchain, upon which Axie Infinity, the most popular Web3 game, is built.
- The Ronin blockchain has seen substantial growth over the last year.
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The governance token for Sky Mavis’ Ronin blockchain, RON, has been launched. The founder of the blockchain game Axie Infinity created the Ronin blockchain to scale the game’s success.
Decentralizing Axie Infinity
Axie Infinity‘s Ronin chain now has a governance token, a key step in decentralizing the network.
Today, the Sky Mavis team behind Axie Infinity launched the RON token, the governance token for the Ronin blockchain. This is an important announcement for the Axie Infinity ecosystem because the Ronin blockchain, an Ethereum sidechain, has proven crucial for Axie Infinity’s success over the past year.
The high fees and slow transaction times on Ethereum’s Layer 1 caused issues for Axie Infinity users, creating scaling struggles for years. To address this, Sky Mavis built its own chain—Ronin.
The RON token will have several uses. Ronin block validators will hold and stake RON and be rewarded with it. Moreover, gas fees will be paid in RON, and accounts will now be granted more than 100 transactions per day. Owners of NFTs in the Axie ecosystem will also receive a certain number of free transactions. On Katana, Ronin’s decentralized exchange, a RON/ETH liquidity pool will open tomorrow.
Quite a lot of activity has occurred on the Ronin blockchain. More than 300,000 daily active addresses interact with the network via the Ronin wallet, hitting a peak of over one million last November. Also in November, Ronin processed 6.6 times more transactions than Ethereum. 15% of all NFT volume last year occurred on the Ronin network, per Nansen.
An ecosystem fund of RON tokens has also been created, which will go towards bringing new developers and gaming teams to the network.
While Ronin, for now, is centered around Axie Infinity, the Sky Mavis team appears be interested in one day becoming the chain of choice for other game developers, writing in the announcement that “Ronin has a unique opportunity to support this nascent industry.”
Disclosure: At the time of writing, the author of this piece owned BTC, ETH, and several other cryptocurrencies.
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