O pioneers! For those looking to find uncharted territory, there are lands yet to be discovered. That is, real estate is sold through the metaverse. If you are confused, you are not alone. Exploring the land in the metaverse first requires a firm understanding of what the metaverse is. One problem: the definition is constantly evolving.
One explanation is that the metaverse is a digital world parallel to the real world, somewhat akin to cyberspace, encapsulating virtual reality, artificial intelligence, gaming, and mobile technology. in a VICE article, venture capitalist Matthew Ball suggested looking at the metaverse as a 3D version of the Internet and computing. Andrew Kiguel, CEO of Tokens.com, calls it the next iteration of social networking where users can meet and interact in an immersive 360 degree world.
So what is the value proposition of such a new concept? Metaverse real estate sales reportedly hit $500 million in 2021 and industry insiders expect it to double this year, according to CNBC. Some brands already on the market include Atari, McDonald’s, Death Row Records, Adidas, and Samsung. Metaverse real estate development companies are selling everything from virtual private islands (originally $15,000 each) to land next to virtual celebrity mansions ($450,000 being a neighbor of rapper Snoop Dogg).
Finance that pull compiled information on how to start investing in real estate in the metaverse and why you might want to do it. The information was gathered from news articles, tutorials, and explanations from experts in the crypto and investment space.
What is the earth of the metaverse?
In this shared virtual space known as metaverse land, real estate is purchased through virtual real estate platforms. It is possible to buy everything from land to structures. There is limited availability, often resulting in competitive offers among buyers. shopping involves non-fungible tokensor NFT, which act as real events, and the block chain it serves as a record, providing a record of the transaction. Once a metaverse land sale is finalized, owners can sell, rent, or build on their virtual property.
What are the platforms to buy land in the metaverse?
A growing number of platforms sell real estate in the metaverse. The “Big Four” are Decentraland, The Sandbox, CryptoVoxels, and Somnium Space. CNBC recently cited research from MetaMetric Solutions indicating Big Four sales in 2021 exceed $501 million. The same report forecast that potential sales could reach nearly a billion dollars.
As for the Big Four’s available inventory, CNBC said in February 2022 that 268,645 packages of varying sizes were for sale. Decentraland and The Sandbox dominate the space with the highest sales volume, according to non-expendable. These two platforms run on Ethereum, a blockchain that powers financial services.
Why invest in metaverse real estate?
Buying land in the metaverse remains speculative and very risky. Janine Yorio, CEO of metaverse real estate investor and advisory firm Republic Realm, said CNBC, “There are big risks, but potentially big rewards.” That is why for potential buyers, it is imperative to delve into metaverse real estate to gain a clear understanding of its ins and outs.
In an article for the motley foolReal estate agent and general contractor Kristi Waterworth recommended spreading your investment across multiple platforms as the safest bet. Larger companies and corporations like JP Morgan, McDonald’s, Atari, Samsung, and Walmart are jumping into the real estate sector of the metaverse. Companies like these have their eye on advertising spaces like billboards in online meeting spaces, selling products in virtual retail stores, hosting real-time events like online concerts, and connecting with future customers through immersive digital experiences.
To buy land, get a wallet and add funds
Ready to seriously explore metaverse real estate? First, get a digital cryptocurrency wallet. This is necessary to access the blockchain and store cryptocurrencies. Some browser-based options to explore are Metamask or Binance Chain Wallet. These enable basic functions like buying, storing, sending, and exchanging tokens. Whichever digital cryptocurrency wallet you choose, you will also need to connect to the platform through which you wish to make a purchase, and have the appropriate type of funding/cryptocurrency (tokens such as SAND or MANA) used within that platform.
Then explore the markets
There is nothing wrong with window shopping. Take a look at what’s on offer on real estate platforms in the metaverse to see if anything catches your eye. For example, on Decentraland, you can go to the land offers section. There, you can scroll through recent listings and find all kinds of real estate, including art galleries. To truly browse the platforms and get the full picture of the offerings, you will need a cryptocurrency digital wallet to set up an account and gain full access.
Offer or buy the land
What is the next step? It is possible to buy the land directly for the indicated amount. If you go this route, buyers will be directed to OpenSea, the NFT marketplace where land-based metaverse transactions take place. If you prefer to bid, there is a bid button to enter your bid.
If the seller does not bite, the crypto submitted for the offer will be returned to your wallet. If you receive a nod, then you go to OpenSea to complete the transaction. Once you’ve found the art gallery you’ve been craving, browse the platforms to start building collections to showcase.
This story originally appeared on Finance that pull and was produced and distributed in association with Stacker Studio.