(Getty Images) First coined in Neal Stephenson’s 1992 science fiction novel “Snow Crash,” the metaverse is more or less defined as a virtual world (or worlds), reminiscent of games and films like “Ready Player One,” Roblox and Fortnite. Inside this space, people can live vicariously through their avatars by trading and maintaining digital assets that center around a fully functioning real-world economy.
But while some details of the metaverse market are still fairly abstract, other components like non-fungible tokens (NFTs) have emerged as something of a foundation for its internal infrastructure and economy. People are using NFTs within the metaverse to purchase virtual land plots, event passes, avatars and other digital items.
As mentioned, one way people are using NFTs in the metaverse is to buy virtual land, such as LAND – a digital piece of real estate in The Sandbox . These virtual spaces use NFTs, as opposed to a physical deed, to reflect ownership of specific locations within a virtual world. If users hold enough plots of land, they can combine them to create a single estate. One example of that is “The Secrets of Satoshi’s Tea Garden” – an estate on Decentraland made up of 64 separate plots of land. It sold for 1.3 million MANA in 2019 (about $80,000) because of its size and location. The “land” is completely surrounded by digital roads, making it convenient to access.
In 2021, the Metaverse Group bought an estate in Decentraland for 618,000 MANA, which was equivalent to about $3.2 million at the time. Just as in the real world, location is everything in digital real estate, and plots that are close to entry points or to places such as virtual arenas that promise virtual foot traffic tend to increase in value.
Depending on market demand, people can rent their NFTs to […]
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