What is the Metaverse and What Does it Mean for Real Estate?

Dated: December 27 2021

Views: 290

A New Frontier

A tale as old as time… or more like 2 years. The metaverse has become a streaking hot buzzword of the latter half of the year, leaving many wondering, what the heck is it? This article will dive (as far as it can) into the metaverse world to help understand what it is, and just how you can stake your claim into its investments… if you dare.

The unfortunate truth about the metaverse is that it hasn’t been clearly defined. Some say it is the future of gaming. Others say it will be the world that we live within in 10 years. But does that actually give us a sense of ‘what’ it is? The word ‘metaverse’ encompasses multiple facets of what we know the internet as already. Virtual reality, networking, search engine, digital economy and content, just to name a few. But is simply listing the ideas of what the internet already is enough to suffice for a definition of the metaverse. 

Alright, let’s try to get to the bottom of this. The wiki-definition can best explain the metaverse as “ a  hypothesized iteration of the Internet, supporting persistent online 3-D virtual environments through conventional personal computing, as well as virtual and augmented reality headsets”. 

Woah. That sounds like a lot. To be more clear about the definition, let’s think of the metaverse as a digital universe. In fact, let’s use that word! Everytime you think of metaverse, replace that word with ‘digital universe’. The metaverse can be best explained as the evolving digital world that a person can interact with; whether it’s through virtual games, virtual phone calls, or virtual clothes and art for the avatar that represents you in that virtual world.

 

When Will the Metaverse Get Here?

Now that we have a clear understanding of what the metaverse is, is it safe to ask when it will arrive? The answer is that it’s already here. It’s in the fortnite skins that you or your kids buy while playing video games. It’s in the online artwork that you buy online through wallpapers, comic books, and digital art and audio. It’s in the transactions that you buy through apps and sites for travel and entertainment. It’s here and alive!

The question to ask now is, “what’s next?”.

 

Metaverse Real Estate

Since we now understand the metaverse as a “virtual world” of sorts, let’s assume that this virtual world has virtual land! On this land, one can build whatever they wish. Through building on land, the owner can charge a price for others to visit the land. 

This sounds confusing, so let’s create a hypothetical:

  • The Columbus Zoo has taken interest in the metaverse. They buy digital land through a backed site with good credibility and stake their land as the “Columbus Metaverse Zoo”. In this plot of land, the Columbus Zoo creates an exact replica of their physical property. Now, everyone around the world can buy tickets and explore the Columbus Zoo from anywhere!

The same concept above can be applied to any business, big or small. Buying land in the metaverse is rather simple currently. After purchase, it is up to you to decide what you’d want to create!

 

A Word of Warning 

The metaverse is such an incredibly young concept. Knowing this, it is well advised to do your research! The major metaverse sites to purchase land on currently are Sandbox and Decentraland. While these sites are the titans of the metaverse today, things can absolutely change in the matter of months! Keep in mind that this is a new market and with new markets come major risks.

Do not invest more than you are willing to lose!




 

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Ryan Giavasis

Ryan Giavasis began his real estate endeavor as a remedy towards solving his own financial freedom. Looking for financial autonomy and independence, Ryan searched and studied everything real estate an....

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