It has micro transactions but it's only for cosmetics. There is no concept of pay to win, pay to level up etc.
I have played for 26 hours now but I haven't seen any need to buy anything.
Only those are spending money who want to showcase their characters in different costumes in multiplayer or buy costly multiplayer events like boats etc.
I don't think I will ever spend a single rupee in this game.
They will be adding new regions continuously. Snow region, desert region already shown. Then it will dream like realms etc. Crazy stuff to be given for free.