The Web3 gaming industry is witnessing a resurgence as Axie Infinity, one of the most popular blockchain-based games, introduces a new title. At the same time, luxury conglomerate LVMH faces legal trouble over NFT patents.
These recent developments mark a note of resurgence in an NFT space that has seen a critical decline in trade volume and media coverage, in the last few months.
Axie Infinity Expands With New Web3 Game
Axie Infinity, a pioneer in blockchain gaming, has introduced a new title, Atia’s Legacy, expanding its Web3 ecosystem. The massively multiplayer online (MMO) game is set within the Axie universe, continuing the project’s mission of delivering true digital asset ownership to players.
In a recently released teaser, Axie Infinity developer Sky Mavis showcased a glimpse of the game’s next chapter, generating significant excitement within the NFT and Web3 gaming communities. The preview suggests that Atia’s Legacy will integrate blockchain technology to enhance in-game economies and player rewards, reinforcing Axie’s commitment to decentralized gaming models.
The announcement comes as the regulatory landscape around NFTs and Web3 gaming continues to evolve. Following the U.S. Securities and Exchange Commission’s (SEC) decision to drop investigations into major NFT projects, the move signals a more favorable environment for blockchain-based games.
This latest expansion aims to enhance the user experience, improve in-game economies, and attract new and returning players. While details remain scarce, industry analysts believe this marks a strategic push to reclaim Axie’s lost dominance in the space.
Following the collapse of the play-to-earn model in 2022, the game has been striving to adapt to changing market conditions and introduce more sustainable mechanics that prioritize long-term engagement.
LVMH Faces NFT Patent Lawsuit Over Smartwatch Technology
Luxury goods conglomerate LVMH has been hit with a patent infringement lawsuit over its NFT display technology used in TAG Heuer smartwatches. The lawsuit, filed by Watch Skins Corporation, alleges that LVMH unlawfully utilized its proprietary NFT display system without proper authorization.
According to the complaint, Watch Skins developed and patented a system that enables smartwatches to display verified NFT artworks, allowing users to showcase authenticated digital collectibles on their wrist devices.
The company claims that TAG Heuer, an LVMH-owned brand, integrated this technology into its smartwatches without a license, effectively encouraging users to infringe on Watch Skins’ patents.
Filed in a Texas federal court on March 10, the lawsuit demands financial compensation for lost royalties and profits and a court order to prevent LVMH from continuing to use the disputed NFT display technology.
This legal battle marks a significant moment for intellectual property rights in the Web3 space, as luxury brands increasingly experiment with NFT authentication and blockchain-based digital assets.
LVMH, the parent company of renowned brands like Louis Vuitton, Givenchy, Tiffany & Co., Christian Dior, Hennessy, and Moët & Chandon, has been actively integrating blockchain technology into its business model.
The State of Web3 Gaming and NFT Innovation
The NFT market is experiencing a significant slowdown in 2025, with trading volumes plunging by 63% since December 2024, according to DappRadar analyst Sara Gherghelas. While regulatory advancements and institutional interest in the U.S. have generated optimism, NFT sales have struggled to regain momentum in the first quarter of the year.
In December 2024, NFT trading volumes peaked at $1.36 billion, but the market took a downturn in January, dropping by 26%. The decline continued in February, with a staggering 50% month-on-month drop, reflecting weakened investor sentiment and broader market volatility.
Analysts link the decline in NFT trading activity to its correlation with cryptocurrency prices, as NFT valuations often move in tandem with Bitcoin and Ethereum price trends.
Quick Facts:
- Axie Infinity has announced a new Web3 game, signaling a renewed push to reclaim its dominance in blockchain gaming.
- LVMH faces an NFT patent lawsuit, raising questions about intellectual property protection in the blockchain space.
- Luxury brands increasingly use NFTs for digital authentication, but legal challenges remain a key concern.
