Comment by ashtonkem

It's not just a closed system, it's zero sum. It's only possible to cash out for a profit if there are more people willing to buy in.

Some of the anti-bitcoin crowd tried to make the term "Nakomoto Scheme" a thing, and clearly failed. The basic idea is that things like Axie Infinity have some of the aspects of a ponzi scheme, without the central organization and coordination that makes an actual ponzi scheme illegal. While there isn't a central operator paying out old investors with new investors money, anyone currently invested can only cash out if new people join. This begins to look a bit like a decentralized ponzi, with everyone currently invested in it motivated to evangelize it and convert new people in order to ensure the fresh supply of new buyers to keep the price up and/or let them cash out.