AI won’t make you rich but crypto games might, Axie founder steps down: Web3 Gamer

Pixels founder says stick with crypto, AI won’t make you rich

Luke Barwikowski, founder of the popular Web3 farming game Pixels, reckons artificial intelligence probably isn’t your golden ticket to millionaire status.

More and more Web3 gaming companies have been banging the AI drum louder than usual.

Screenshot taken from Pixels game show avatars crowding around the store to trade items. — *Magazine observes several gamers trading items at a store in Pixels.*

“Everyone is focused on AI — but there’s very little chance for the public to have significant wealth creation there,” Barwikowski said in an X post.

“You weren’t allowed into the private rounds of OpenAI or Anthropic, VCs were,” he said, emphasizing to his followers not to throw in the towel on crypto, as it is still an area where the everyday battler can get a swing at upside opportunities.

Web3 gaming giant Animoca Brands recently furthered its interest in AI with its Feb. 3 launch of Animoca Minds, a service that allows users to deploy and operate persistent AI agents. ‍

“Animoca Minds provides anyone curious about AI with a streamlined, white‑label experience that simplifies the process of deploying and maintaining AI agents,” Animoca said in a recent statement.

Content creators are also looking to move to the shiny new narrative.

Blockchain gaming YouTuber Web3 Wasley said in a recent video he was pivoting to AI content over Web3 gaming because, in his words, “since the Axie crash, there has been no single game that has captured enough players to make me feel like I want to dive in deep with content.”

“None of them warrant enough of a community in my opinion,” he said. Not everyone is as bearish, however. Gaming content creator “Iceyy” said that crypto gaming is far from dead and that a “handful” of games are seeing success with the risk-to-earn model.

Axie co-founder steps away from Web3 Gaming industry for ‘defense’

NFT blockchain game Axie Infinity founder Aleksander Larsen is stepping back from the Web3 gaming day-to-day grind and has dropped a slightly cryptic hint about what’s next on his agenda.

“Where I’m putting my energy: Defence,” Larsen said in an X post, after explaining that he will be stepping down from his operational role at Sky Mavis, Axie Infinity and Ronin Network.

“I’m staying on as a shareholder, board member, and long-term advocate,” he added.

It comes not long after fellow co-founder Jeffrey Zirlin (JiHo) declared that Axie Infinity, the poster child for play-to-earn games, is set to take “much larger risks” in 2026.

Larsen linked his decision back to the 2022 Ronin Network hack, a $620 million exploit that shook the Axie Infinity ecosystem and became one of the largest crypto breaches ever.

Are you brave enough to enter Hardcore Mode in the dungeon?

Risking EVERYTHING for ultimate glory?

Reply with 💀 below, the brave may get invited to the next playtest… pic.twitter.com/v2X9YmTaU5
— Axie Infinity (@AxieInfinity) February 25, 2026

The attack, which was later blamed on North Korean hackers, sent the Axie Infinity (AXS) token sliding and pushed the company into crisis mode.

“Leading the crisis management of that situation changed me,” he said, adding that he no longer “takes security for granted.”

“It was a stark reminder that some adversaries are more sophisticated, persistent, and well-funded than others. Not all competition is friendly,” he added.

Larsen founded Sky Mavis alongside Jeffrey Zirlin (JiHo), Trung Nguyen, Tu Doan and Andy Ho. Zirlin recently admitted that few expected Axie to “strike back” to its peak during the COVID-19 pandemic, when it reached around 2.8 million daily active users.

Illivium will release Overworld ahead of schedule: Kieran Warwick

The countdown to Illuvium’s open-world adventure Overworld may be shorter than expected, with founder Kieran Warwick saying it’s coming “much sooner than planned.”

“We are targeting December 2026,” Warwick said in an X post. “We can do this by cutting out the things that are massively resource-intensive while keeping the things people love and will love,” he said.

“No more ambiguity on the release dates of 3 years from now.”

“What comes next after launch will be driven by player demand,” Warwick said.

In Overworld, you’re basically a ranger let loose on a planet after a spaceship crash, scrapping for resources, upgrading your gear, and hunting down over 100 Illuvials — each with their own abilities — to use across the rest of the game.

Overworld has gone through a few beta rounds over the years, and Warwick said the feedback from those who have tested the game has been “fantastic and helped us shape the final vision.”

Doka don’t care.
D.ORM-N? Blasted.
Final strikes? Delivered.
Rangers are sending in the Doka to close it out in the caverns of Brightland.
📍MMO testing in full swing. pic.twitter.com/PlwQK5ZtIg

— Illuvium (@illuviumio) January 17, 2026

Warwick addressed the current volatile climate of the crypto gaming market, opening his thread with “this is not another gaming shutdown notice, so you can breathe a sigh of relief.”

It was only on Jan. 26 that the developers of Ronin-based pixel art MMORPG, Forgotten Runiverse, announced the game would be closing down until further notice.

Warwick admits it hasn’t been an easy environment to thrive in. “The last six months have been tough, to say the least. Sentiment in crypto is now at an all-time low. And crypto gaming is even lower,” he said.

“Illuvium pushes on. I promised six years ago that we would give it our all, and we are still in a position to come out of this bear market strong, with games that people in both mainstream and crypto want to play,” he added.

Other News

— Registrations are now open for the Sui x EVE Frontier hackathon, kicking off on March 11, with $80,000 in prize money on the table.

— Yield Guild Games has launched a new Web3 puzzle game, WaifuSweeper, on the Abstract blockchain, blending “Minesweeper-style logic with gacha-driven collection.”

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Ciaran Lyons

Ciaran Lyons is a Cointelegraph staff writer covering cryptocurrency markets and conducting interviews within the digital asset industry. He has a background in mainstream media and has previously worked in Australian broadcast journalism, including roles in national radio and television. Prior to joining Cointelegraph, Lyons was involved in media projects across news, documentary, and entertainment formats. He holds Solana, Ski Mask Dog, and AI Rig Complex above Cointelegraph’s disclosure threshold of $1,000.