Crypto Legions Play-To-Earn Game Made It To 67 Days
Hello Hunters,
We’re writing this report to provide a full analysis of what happened to the Crypto Legions BLST token on 12 August. Major sell-offs by very large players and investors over the last days have created mass panic among our players, because of this mass panic our players and token holders have begun dumping their holdings and in-game rewards relentlessly, which has caused even more panic. This constant sell pressure has made the chart reach a point where it is no longer recoverable. P2E investors have all seen this situation many times before where players continuously dump their rewards creating a death spiral for the token, while the team nor Nadodo (our Omni-Balanced Oracle) can do nothing to reverse the trend.
We’re surprised and very disappointed by the downward price action that was started by large early players and investors continuously dumping their rewards and tokens in a very short amount of time.
The Situation
We requested people several times in the past to sell responsibly (small amounts over time), to preserve the longevity of the game, but as you can see many people have ignored this important request.
Nadodo has been reminding all traders/players every day to sell responsibly, and to follow the 5 Commandments.
If everyone worked together and followed these 5 Commandments, then the game would survive an extremely long time. However, as you noticed many traders/players have not been following these guidelines.
Nadodo tried to incentivize players to reinvest their rewards through a discounted summoning fee, high sales tax, and big reinvestment incentives, but that didn’t help.
The sell-off has sparked a chain reaction causing panic among many other investors and players, who have also begun claiming their rewards and selling their tokens causing even more downward price action.
It’s extremely frustrating for us to see this happen to our game that we have been working so hard on to make it last for a very long time.
We understand why investors are fearful given the current crypto winter that has been going on for many weeks now.
We were able to survive a brutal presale dump in June 2022, and still managed to increase the price of our token from a bottom price of $0.18 to an ATH of $16.1 (90x increase). Although we managed to recover from it, the presale dump has continued to have a huge negative impact on the project as it allowed many whales to enter at an extremely cheap price, and end up on huge amounts of profit extremely quickly, and many of them have decided to take profits in an irresponsible way, regardless of our repeated requests.
The Result of the Situation
As player rewards are pegged to a USD value, the price decrease has meant that players can claim an increasing amount of tokens from the Reward Pool as the token price goes lower.
This has caused the Reward Pool to start draining quickly, which has caused even more panic among more players, causing them to claim their rewards and sell them.
At 05:00am UTC on 12th August our team made an announcement explaining the unrecoverable situation of the token and advised all holders and players to sell their tokens and game rewards. The price was around $0.22 when this announcement was made, down from around $1.70 at the time of our AMA on Wednesday 10th August at 5pm UTC (around a 773% drop in less than two days). We also announced that team members would be selling their personal holdings to compensate partially for their time and efforts working on the project over the last 12 months. We would like to clarify that the liquidity is still completely untouched and no marketing and development tokens were sold. The only tokens that were sold were from the team wallets that were allocated to different members of the team for their work on the project over the last 12 months.
We Are Here For You
We survived the crypto crash of mid-June very well, where BTC lost nearly half its value and dropped to $17,000, and our coin has been pumping for many weeks even when BTC and the whole of the crypto market was going down. All players have felt the power of our revolutionary economic system.
At the same time, the ongoing harsh crypto winter has not allowed our big marketing efforts to have the effect they usually would have had, and Nadodo does not have the power to counteract mass panic selling.
We are aware that some players are in loss, and have unclaimed rewards that they are unable to claim, and we will be doing our best to help them recover their funds using our marketing and development vested tokens, from which we have never sold any.
We are here for you, and we want to be the best possible example in the P2E space of how to handle a crisis situation.
As you know, we took care of compensating players in our previous version of the game, and we will do what is right and possible for players this time also.
Next Steps
We will be holding an AMA with our community at 17:00 UTC on Friday 12 August 2022 to discuss what we can do next to help our players, a replay of the AMA will be available shortly after on our website for those who cannot join live.
We love Crypto Legions, and we are committed to being there for you, our players, also in difficult times like now. It should be remembered that Crypto Legions lasted 67 days, which is longer than over 99% of all BSC P2E games with a similar game style and ROI for players, and this was done during one of the harshest crypto winters seen for many years.
Also during the last 10 weeks, players have earned a total of over 3,787,129 BUSD in-game rewards and countless traders have also made extremely large returns. And as you can see inside the game, just the top 20 players on the Leaderboard have earned in total over 860,000 BUSD between them.
It is game over for the investors who caused this big dump, because their wallets will not be whitelisted ever again for any future games built by the Crypto Games Agency for other projects or influential personalities. We are looking forward to keeping building with players/traders who contribute collaboratively to a healthy economy.
