Walmart is the latest retail giant to enter the growing market of virtual worlds, also known as the metaverse. This may include offering digital versions of items as NFTs in virtual, metaverse scenarios that are paid for with a Walmart token.
Walmart is reportedly seeking to collaborate with a cryptocurrency firm in order to enter the metaverse. The company has reached out to Metaverse about the possibility of offering NFTs for use in its virtual world. These could be physical items that are then digitized into NFTs which are used in specific virtual scenarios at Walmart stores. NFTs are a type of cryptocurrency that may be used to represent physical items and services. NFT launching allows businesses to tokenize their products and services in order to reduce online transaction costs.
Walmart has been looking into blockchain technology and NFTs for an undisclosed amount of time
NFTs are unique digital assets created on top of blockchain technology, typically through smart contracts. Each one is ‘non-fungible’ and may represent something like ownership of a house or perhaps tickets to an event. As such, they don’t necessarily have monetary value but can instead act as digital collectables for users who decide what price point they want to sell their NFTs for. NFTs have a completely different value than other cryptocurrencies. Thus, they are not interchangeable with other cryptocurrencies like bitcoin or Ether which means many merchants may choose to only accept one token type over another. In addition, the firm declared that it will provide users with virtual currency and NFTs in a separate document.
A desperate attempt to compete with Amazon?
Recently, there has been a lot of talk and speculation in the media about e-commerce giant Amazon entering the cryptocurrency market by accepting certain digital currencies as payment options. While it’s a virtual certainty Amazon will eventually start offering this, Amazon’s crypto ambitions appear to be much larger, potentially affecting small company owners in the near future.
Walmart would aim to offer NFTs as a way for people to digitize their physical purchases and use them in virtual platforms. This is said to include games and social media platforms, such as Second Life which is currently owned by the Australian firm Decentraland.
The coin would most likely have some sort of connection with Walmart’s physical stores
Walmart filed a patent earlier this month that proposes using blockchain technology as a way of increasing efficiency when tracking items on a supply chain. But it’s also understood that they could also issue a cryptocurrency token behind closed doors. It might not even be implemented on an actual blockchain but rather used through Walmart’s own systems. This is done to allow for quicker transactions while also preventing currency swings. The token would be a type of cryptocurrency, but it wouldn’t necessarily use blockchain technology.
NFTs would most likely have some sort of connection to Walmart’s physical stores.
As of yet, it’s unclear how NFTs will be used in the metaverse but Walmart could be intending to use them on social media platforms and games offered through its retail stores. They would also likely help increase sales of physical goods by creating a better user experience for customers using digital versions of their products which they can access from anywhere in the world at any time. Nowadays, it is very common for big companies like Facebook and Google, which have been leaders in digital advertising for many years now, to try to invest money in blockchain technology and make huge profits from this area.
What are your thoughts on Walmart’s entrance into the metaverse? Would you use NFTs in a virtual world? Leave a remark with your thoughts below!