I have not played Axie Infinity, but to the best of my knowledge that is the only use of Smooth Love Potions.

What ends up happening is the smooth love potion becomes used as transactional currency in Philippines besides being a game currency to purchase Axies. This is not going to be what the government wants and who knows what can happen next, but as you see this automatically gives people a way to transact digitally by using the underlying infrastructure without a fintech company

however price of smooth love potion has been on a downtrend according to the chart https://www.coingecko.com/en/coins/smooth-love-potion

the hype is over, and players are mainly selling every tokens they earned whether from the game or through transaction