A novel virtual world is coming into existence as a result of technological advancements and the world is beginning to pay attention.
This ‘world’ is the Metaverse.
The idea was first presented in Neal Stephenson’s dystopian novel “Snow Crash,” which was published in 1992. The novel depicted characters who wore 3D headsets in order to access a different reality. It would appear that this is nothing new; after all, many of us have played games like The Sims and Second Life, games with in-built virtual experience. The metaverse, on the other hand, won’t just be a single video game like other virtual worlds; rather, it will be an entirely new way for people like us to engage with the internet.
The blockchain and various cryptocurrencies are intimately connected to the metaverse when we discuss it in the present day. This is primarily attributable to the potential applications of smart contracts and non-fungible tokens (NFTs), both of which make it possible for users to make safe purchases of goods and trade them with users in other parts of the metaverse.
One thing that all of these different virtual worlds share in similarity is that the developers of each of them are counting on players to spend real money in order to buy, sell, and trade virtual goods and services.
Metaverse Platforms with Crypto Integration
MANA is the crypto-asset that Decentraland uses, and it can already be used to purchase in-game avatars and wearables, in addition to a variety of other goods and services.
Facebook has its own vision for its own Metaverse, which includes both a wallet and an in-world cryptocurrency asset. However, metaverses such as Decentraland took things a step further by putting users in charge of the future of the virtual world through the use of decentralized autonomous organizations (DAOs) and governance tokens. It gives users the ability to steer changes and updates through community voting, which has the potential to democratize the development of online virtual worlds.
In addition, MANA can be used in Decentraland to purchase LAND, the virtual equivalent of real estate. It is principally a digital asset that cannot be exchanged for other assets and is stored in a smart contract on Ethereum. If your digital land attracts a significant amount of digital foot traffic, it may even develop into a digital version of Times Square, complete with the capacity to sell advertising space on digital billboards.
However, a big question lingers like a petulant child and definitely causes a few puzzling look in many people: how do you invest in the Metaverse?
5 Ways To Invest In The Metaverse
There are a couple of ways to grab a chunk of the metaverse popularity, just like the early pioneers of cryptocurrency did. These ways can be easily worked around by a rookie and most times, do not require any technical knowledge. They include:
1. BUY METAVERSE NATIVE TOKENS
One of the simplest ways to hop into the metaverse is through the purchase of a cryptocurrency. You only need a digital wallet to store crypto tokens and the knowledge to engage in trading in a coin exchange to get started with cryptocurrency.
It’s possible that different regions will have their own set of rules for exchanges. On the other hand, these are typically quite easy, and there are not many obstacles in the way of accessing them.
Investors will be able to purchase some of the most popular cryptocurrencies from the metaverse on nearly every exchange. These cryptocurrencies include MANA from Decentraland, SAND from The Sandbox, BLOK from Bloktopia, and AXS from Axie Infinity. It is typical for the respective token values of metaverse platforms to increase as the platforms mature.
2. BUY METAVERSE STOCKS
One of the least complicated ways to invest in this technology is to purchase shares in a metaverse company. This method does not require a person to deal with cryptocurrency or even open a digital wallet. However, considering that metaverse stock options are clearly intended for serious investors, this investment choice presents some challenges.
The value of cryptocurrencies is subject to substantial swings, and it is possible to make a respectable profit in the short term. However, Metaverse shares function in exactly the same way as those of any other company and can be traded on the traditional stock market.
Take-Two Interactive (NASDAQ: TTWO), NVIDIA (NASDAQ: NVDA), AutoDesk (NASDAQ: ADSK), Microsoft (NASDAQ: MSFT), and other companies are among the market leaders in this sector.
3. PURCHASE VIRTUAL LAND ON THE METAVERSE
Due to the fact that purchasing land in the Metaverse requires the same prerequisites as purchasing cryptocurrencies, it is currently the second best way to invest in the Metaverse. As soon as the user has a functioning digital wallet, they are able to choose an emerging metaverse platform, investigate the platform’s layout and available parcels, hone in on the parcel that they desire, and then complete the purchase.
The procedure is not overly complicated, but it does involve a higher level of risk than investing in pure-play cryptocurrency tokens. This is due to the fact that the value of virtual land is contingent upon a number of unpredictably variable factors, such as the rate at which adjacent parcels are being developed. On the other hand, it is one of the most widely used investment strategies in the Metaverse.
4. CREATE AND FLIP NFT PROJECTS
Investing in the metaverse with non-fungible tokens is by far the most common practice, and it’s also likely that it is the method that offers the greatest degree of flexibility (NFTs). It is possible to create 3D objects and then list them for sale on metaverse marketplaces, which is a process that requires a high level of technical skill. Alternatively, a more straightforward strategy would be to purchase NFTs and then resell them for profit.
Investing in the production of NFTs has the potential to be lucrative. Consequently, those who develop NFTs have the potential to amass significant wealth. Given all of the fees that are associated with minting and selling NFTs, however, not all non-fungible tokens will do well, let alone make their creators any money at all.
5. PURCHASE READY-MADE BUILDINGS FOR COMMERCIAL USE
As an alternative to purchasing land, one may choose to purchase prefabricated buildings instead, which can then be immediately put to use. For instance, an individual or company could purchase a virtual storefront and then use that space to exhibit three-dimensional digital replicas of the products or services they offer in the real world within the metaverse.
This investment strategy is applicable to a wide variety of industries, from retail items to art and entertainment services, amongst others. In spite of this, there are various obstacles because the threshold for minimum investment is quite high. In order to actually make profit in the metaverse utilizing this method, one is required to purchase a space that is moderately large in size.
There is no one who can say for certain what form the metaverse will take eventually or which companies will lead its calvary, but it would be difficult to assert that it will cease to exist. The patterns can easily be seen. In spite of this, your best bet, given the degree of unpredictability, is to monitor developments from all angles and to ensure that you look beyond the most obvious options when selecting options to pick from in the Metaverse.
But there is always crypto trading that gives great chances of earning on cryptocurrencies. The Australian Crypto Trading service TimeX provides such an opportunity. Fast and easy trading even for beginners. Find out the current Ethereum AUD chart and let your investments in cryptocurrencies work for you. Yet you still need to know some tactics and ways to trade funds for successful investing
It’s possible that the inherent benefits of crypto when it comes to trading and owning virtual assets will be what pushes the Metaverse over the edge and make it successful where other attempts to establish virtual worlds have failed.
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