Valve has launched a significant update for Counter-Strike 2 (CS2) that transforms the game’s skin economy. The update introduces a revolutionary knife crafting system, officially termed the trade-up contract for knives and gloves, which has left a lasting impact on the multi-million dollar digital item market.
Overview of the CS2 Knife Crafting Update
This update allows players to craft desirable knives and gloves by trading in five Covert (red) quality weapon skins from the same collection. Notably, utilizing five StatTrak Covert skins will yield a StatTrak knife, while five regular Covert skins will produce either a non-StatTrak knife or a pair of gloves. This change significantly alters how players can acquire high-demand items, previously accessible mainly through random case openings.
Immediate Impact on Covert Skin Prices
The introduction of the trade-up contracts has led to a dramatic increase in the prices of Covert-quality weapon skins. Popular items like the AK-47 | Nightwish and AWP | Chromatic Aberration surged in value as they became integral “crafting fuel” for the new contracts. This surge in demand created temporary shortages and inflated prices across the Steam Community Market and third-party platforms.
- In the first 24 hours, average prices for popular Covert skins rose around 30%.
- The price of a Minimal Wear AK-47 | Nightwish increased by nearly 29.7% to $135 USD.
- A Factory New Glock-18 | Gold Toof rose 28.2% to $120 USD.
Price Reactions of Knives and Gloves
Conversely, existing knives and gloves faced significant price declines due to the new crafting feature. This decline resulted from a decrease in their market exclusivity and perceived rarity, with prices plummeting between 20% and over 50% within just one day.
- A Factory New Karambit | Doppler dropped 32% to around $740 USD.
- A Factory New Butterfly Knife | Fade fell 28% to $690 USD.
- A Well-Worn Navaja Knife | Crimson Web decreased by 53% to $95 USD.
Restrictions on Crafted Items
Crucially, knives and gloves obtained via trade-up contracts are currently untradable and cannot be sold on the Steam market. It remains uncertain whether this restriction is a temporary or permanent measure from Valve. This limitation prevents newly crafted items from flooding the market immediately, introducing further complexity into the skin economy.
Market Volatility and Long-term Outlook
The CS2 trade update has generated notable volatility within the Steam Community Market and external trading platforms. The rapid changes in demand demonstrate a fluctuating environment: Covert skins are in high demand while the value of knives is declining. Steam’s existing trading limitations, such as a seven-day trade lock, complicate market operations and hinder quick trade strategies.
Additional Changes in the October 2025 Update
- Reintroduction of the official Retakes game mode.
- Improvements in matchmaking logic and performance.
- User interface refinements and map adjustments, notably on Inferno.
A New Era for the CS2 Skin Economy
This update signals a potential transformation in the CS2 skin trading landscape. Covert skins have emerged as a new currency tier, valued not only for aesthetics but also as essential components for crafting knives. While these changes may enhance access for casual players, they pose challenges for long-time collectors and prolific traders. Valve’s control over the market, especially through trade restrictions on crafted items, suggests an effort to manage possible market disruptions, leaving the future of the skin economy in question.
