Where To Buy Metaverse Land
We are rapidly approaching the age of the metaverse, a network of persistent virtual worlds where we shall coexist with our physical existence. Everything we can do in the actual world will have a “digital twin” in the metaverse that we can interact with without leaving our homes.
As a result, we will use these venues more frequently to work, play, socialise, and study. Similar to the actual world, one of the most well-liked ways to do this will be through investing in real estate. This covers both investing and making money.
Real estate in the metaverse is already a highly lucrative industry. Snoop Dog and other celebrities, as well as large corporations like PwC, JP Morgan, HSBC, and Samsung, have already purchased virtual land plots that they plan to use for a variety of projects.
Those who invested early have already reaped significant profits—at least on paper. On Decentraland or the Sandbox, two of the major metaverse platforms, the average price for the smallest parcel of land up for sale was less than $500 less than a year ago. It is currently valued at about $7,500.
Is there a chance to buy the most innovative digital assets right away, before they gain popularity? comparable to buying Bitcoin ten years ago or NFTs two years ago? If you want to be a part of the action, how can you get involved? Or would it be better to stay away from something that can end up being an overblown bubble that is about to burst? Read on to find out!
Why purchase metaverse real estate?
- There are two key factors to consider when buying land in the metaverse, much like in the real world. The first is most likely the safest; you want to use it for something, like constructing a home to live in or a place to conduct business. When we refer to “dwelling” in the metaverse, what we truly mean is having a residence where you can display your belongings and perhaps even invite people over to hang out. It is comparable to maintaining a personal website in the early days of the internet, before everyone switched to social media. People will use their metaverse “homes” to display their online personas or to store their collections of one-of-a-kind digital collectibles. The likelihood that you’ll acquire what you want from your purchase makes this the less hazardous justification for wanting to possess metaverse land.
- The second major reason is to use it as an investment, and this is where things may become a bit dicey because there is obviously no guarantee that its value would rise like with any investment. We definitely look to be in the middle of a gold rush, as the average price of metaverse real estate has surged by a factor of 10 over the past year. Many people are now buying digital land on the basic presumption that it will rise in value as more people show interest. Now that a robust rental market is emerging, even more people are buying for rental purposes.
How do I purchase metaverse land?
In the metaverse, cryptocurrencies can be used to purchase land, with Ethereum being the most popular choice. Other options include SAND (the money linked to the gamified metaverse platform The Sandbox), MANA, and SAND (connected to the community-based Decentraland platform). Thus, acquiring these is frequently the first step.
These two platforms are currently the most popular when it comes to owning online real estate since they have a well-established infrastructure and a large pool of recognisable tenants and landlords, including companies and celebrities.
These platforms itself allow for the direct purchase of land on either of them. The transfer of NFTs is used to record sales and ownership of metaverse land, thus the second item you’ll need is a wallet with enough space to hold these. Among the most popular are Metamask and Binance.
What is the future for real estate investment in the metaverse?
This will ultimately depends on how the metaverse progresses in the long run. Undoubtedly, a number of extremely significant and powerful companies, like Microsoft, Nvidia, and Facebook (now, of course, known as Meta), are placing significant bets that this is effectively the “next generation” of the internet. Digital real estate is likely to become an increasingly interesting and practical asset if that turns out to be the case and the metaverse ends up being as significant to business and society over the next 20 years as the internet has been over the last 20.
Is purchasing metaverse land secure?
Perhaps the biggest question is this, especially if you’re considering making a significant financial commitment. Similar to investing in cryptocurrencies and NFTs, purchasing virtual land is undoubtedly a high-risk investment. The market is mostly unregulated, so if something goes wrong—say, a seller turns out to be a fraud and disappears with your money—there are few established mechanisms for pursuing compensation, and you can find yourself on your own.
Technical considerations can increase risk even if you don’t get scammed because transactions are made using NFTs and cryptocurrencies, so you need to be sure you can store them safely and won’t lose track of your password or other forms of ownership authentication.
The issue of scarcity is a final point to be made. Real-world land has gradually increased in value, partly because it is a limited resource and there are an increasing number of individuals who want to acquire it. The land supply in the virtual world is almost limitless. There is nothing stopping a developer from building as many more virtual plots of land as they need if all of the available ones on a platform are sold out but there is still a demand from customers. There’s no guarantee that “artificial scarcity” will always be enforced by the large platforms, which now have land usage restrictions.
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Anchal