You can use the Axie IP as long as you don’t earn $10K monthly from it

Sky Mavis has recently shared more details, guidelines about its Builder’s program. The program is an initiative that encourages and rewards members of the community for creating fun and interesting spinoff projects using the Axie Infinity IP.
In the official Axie Infinity substack, developers Sky Mavis provided some much-awaited details, guidelines and poIicies to the hotly-anticipated Builders Program. In it, the Axie Team stated that, the quantity of submissions for the Axie Builders Program was beyond expectations according to the development team. With so much more at stake, given a larger scale the Sky Mavis team has deemed it appropriate to update and expand on some of the terms of the program before accepting participants. 

These updates were geared around the following internal objectives and considerations to keep things fair between the devs and community builders.

  • Ensuring Builders will be rewarded for their efforts in creating value within the Axie ecosystem
  • Structuring the system so value from these projects will accrue back to the Axie Infinity community and AXS holders
  • Eliminating friction for Builders to be able to build, put experiences out there, and figure out what works
  • Requiring more structure and due diligence around projects that players may invest significant effort, time, or money into, to reduce risk to community members 
  • Protecting the Axie Infinity intellectual property from being used in ways that may negatively impact the ecosystem

A framework has also been placed to mitigate the countless possible issues builders can potentially encounter. For context, in a standard game intellectual property (IP) licensing, developers pay millions of dollars a year to the IP holder for its use at any given time. This is apart from the significant revenue splits that go directly to the IP holder.

To counter this huge barrier to entry the Axie team  has completely removed the multi-million dollar barrier to entry to use the Axie Infinity IP, as well as placing the revenue split to account at the Treasury (which of course is owned by the Community) instead of Sky Mavis. This is a new framework developed for the use and hope of a gaming brand proliferating and spreading.

Sky Mavis also states that there is “infinite potential” for the builders in the Axie Infinity community to create memorable experiences for everyone. It’s clear that the team wants to make sure they encourage, allow for, and reward such passion for building greater experiences.  In light of this, they have doubled the minimum AXS grant for teams who make it into the program to 10K USD.

The Axie Infinity team has also detailed the reasoning behind some of the policies and guidelines of in Axie Builder’s Program.

First off,  there will be $10,000 Monthly Revenue limit for projects that are not in the Builders Program. If any independent project using the Axie Infinity IP earns a monthly revenue above 10,000 USD they will be obliged to contact Sky Mavis for entry into the Builders Program or be asked to shut down. This is a relatively lenient move considering that other massive international IPs will not give you the same courtesy if you make content using their characters and licenses. |

Sky Mavis does however, reserves the right to ask projects to cease and desist in using the Axie Infinity IP if they find it “harmful to Axie Infinity ecosystem or community in any way”. These will definitely include any project that uses the Axie IP with gambling-like mechanics as Sky Mavis also does not wish to condone gambling in any way 

Additionally, Sky Mavis also broke down the revenue split between the Builder and the Community Treasury. They’ve illustrated the spilit using the following examples:

  • If a Builder’s game makes $40k in a month, and the percentage allocated for player prizes is 0%: the Builder can keep all $40k of the revenue.
  • If a Builder’s game makes $70k in a month, and the percentage allocated for player prizes is 20%: The Builder first takes 80% of $50k as revenue – then for the remaining $20k, 50% must go to the Treasury, and the Builder keeps 30%
  • If a Builder’s game makes $70k in a month, and the percentage allocated for player prizes is 50%: The Builder first takes 50% of $50k as revenue – then for the remaining $20k, 20% must go to the Treasury, and the Builder keeps 30%.
  • If a Builder’s game makes $1.5M in a month, and the percentage allocated for player prizes is 50%: The Builder first takes 50% of $50k as revenue – then for the next $950k, 20% must go to the Treasury, and the Builder keeps 30% – finally, for the remaining $500k, 25% must go to the Treasury, and the Builder keeps 25%.

Finally, Sky Mavis will not allow the Axie Infinity IP to be used for fundraising of any kind. This comes with a caveat though, that Builders that “have shown they can ship a quality product that will benefit the ecosystem” may be provide allowances by Sky Mavis.

That’s quite a lot to take in! I agree, but the bottom-line is, no matter how exciting this newly announced builder program where we finally get to be a part of building amazing experiences in Axie Infinity. Protecting the Axie Infinity is still key, as with any blockchain technology especially with the recent attacks that happened

Sky Mavis’ team has also reiterated and is encouraging the community to spread the word and notify Sky Mavis of any potentially malicious projects or ones that may be exceeding the $10k monthly revenue limit.

They are actively going to inform the community of any projects that are dubious in nature, so we can all help protect the community we are building. Always be very wary of projects that are too good to be true.

Maksym Lavruk
Maksym Lavruk
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