For the past few weeks, everyone has been talking about the metaverse. The metaverse is being popularized as we enter the Web 3.0 era with the use of brand new applications such as blockchain technology, DeFi protocol and NFTs.
But what even is the metaverse?
Let’s take a look at how this digital world works, the cryptocurrencies that have surged because of it and the growing number of businesses that want to be a part of the metaverse.
What Is The Metaverse?
CEO of Greyscale Investments, Michael Sonnenshein believes the Metaverse is exactly where the digital world is headed. He describes the metaverse as an area where digital experiences take place.
When trying to understand the metaverse, try to suspend reality for just one second, OK.
Imagine that you can go to a concert without leaving your couch. Imagine you own land that you will never set foot on, but that has material value.
These are the types of digital experiences that metaverse applications unlock. And we’re now seeing a lot of the gaming, virtual reality and social media networks converging around these ideas.
Think of the metaverse as a virtual world – a place where people come together online and co-exist in a virtual space. We’ve seen movies like Ready Player one, a virtual reality game/movie, but we’re slowly starting to see the real world head in this direction as well. The idea of the meaverse is to combine elements of both the virtual and the real world.
This is where Web 3.0 comes into play. Web 3.0 is designed to the decentralized way of functioning through the distributed ledger technology which we see with blockchains and cryptocurrencies. Data has been a means of concern for the last decade, especially since many fear their private info being stolen by big corporations. But, the Web 3.0 looks to collect this same data in a decentralized way, meaning there is no central entity that can gather or collect your information.
If this is the technology that the Web 3.0 is to be built on, it will drive many more people to participate.
A huge number of companies have announced plans on wanting to be a part of the metaverse, but before that, let’s take a look at some of the biggest updates that are going to change the way we perceive the metaverse.
The Metaverse Band Based On One Of The Most Expensive NFTs In The World
A digital music band in the metaverse?! What does that even mean? Let’s break it down.
The universal Music group, the world-famous label that represents artists including Lady Gaga, Ariana Grande, and Jay-Z, among many more, are now forming a virtual band known as Kingship. But the bizarre and exciting piece of this news is that the band members will be in the digital world and take on the personas of different Bored Ape Yacht club (BAYC) members.
The Bored Ape Yacht Club avatars are a bunch of NFTs of different apes owned by the famous NFT collector Jimmy McNelis. To give you context of just how popular this collection of NFTs is, the whole line is the 5th most valuable collection in NFT history, with a sales volume of $467 billion. As of October 20th, the average price of one BAYC is just under $200,000. In October alone, 3 BAYC NFTs were sold for over $1 million; the highest was $2.7 million. But this was just the beginning.
In an NFT auction, Jimmy managed to sell another Bored Ape NFT for a whopping $3.4 million.
Universal is one of the many companies that have taken advantage of the metaverse update and have introduced a band known as the ‘Kingship’. The band members take forms of the different BAYC NFTs, in collaboration with Jimmy McNelis.
The metaverse band is going to be taken very seriously by Universal. The label is planning to develop music for the band, performed in the animated and virtual world. Universal wants to cash in further with the NFTs, after announcing that they would be releasing exclusive NFTs related to the band. All owners of the current Bored Ape Yacht Club NFTs will get exclusive access.
Zuckerberg Bursts The Bubble
Despite NFTs, cryptocurrencies and Web3.0 being rumored and talked about for months, we did not know how everything was going to take place. Then came Mark Zuckerberg, the Facebook creator who shook the world. People invested in a name change after the company was rumored to be in talks for a significant re-brand as part of looking to the future. But what happened was a domino effect that officially triggered the metaverse.
On October 28, Zuckerberg rebranded Facebook as the Meta platform, announcing his initiative to build the metaverse. Since then, FB has gained nearly 9% in their stock, and the whole digital world has changed. Other companies have started announcing their plans to be part of the metaverse as well. One of these being Microsoft, as their CEO, Satya Nadella announced his company’s plans of entering this space on his Twitter.
Disney is amongst the other big companies that have shown interest in entering the metaverse.
“The metaverse trend offers immense potential to revolutionize our lifestyles and communication, and we’ve seen its development accelerate post-pandemic. But the metaverse is still conceptual, and the race has just started,” says Shixing Mao, aka “Discus Fish,” the CEO and Co-founder of Cobo.
MANA Up 100% After FB Rebrands To Meta
A token that goes by the name of Mana has surged enormously due to its affiliations with the metaverse. This has to do with Mana’s cryptocurrency, Decentraland, which is a way for you to enter the metaverse.
Decentraland is software that operates on the Ethereum network. Its main goal is to build a worldwide market of users who are looking to operate in the virtual world. The users of this virtual world can look to buy and sell digital real estate and interact and explore the digital world that is Decentraland. The platform even gives users access to interactive apps, in-world payment systems and peer-to-peer communication.
About a couple of days after Facebook’s rebrand, the prices of this token sky-rocketed. MANA went up to $3.40, which was a 100% jump in just 72 hours. Another token that benefited from the metaverse announcement was SAND, the token for Sandbox which is a virtual metaverse where users can create their own NFTs; SAND rose by 35%.
But should you take advantage of the metaverse and get started?
The co-founder of Cobo, Mao, has a few thoughts on this. “The best way to invest in the metaverse is by buying NFTs”. This not only stems from the fact that companies like Universal have used NFTs to their advantage, but the NFT world is being used by many different cryptocurrencies, blockchains, and spaces that develop and further enhance the metaverse. NFTs are like are in-game avatars and with no substitute in the metaverse market for such a thing, we can say that NFTs are here to stay.
Another option is to invest in tokens such as MANA and SAND.
Again, this is not financial advice, so please do your own research before investing in any volatile asset. But, we do think the metaverse is going to transform into something much bigger and it should be safe to say that the cryptos that are currently working on the metaverse can expect a huge boom in the coming years.
It looks like the metaverse is just getting started. But the real question is, are you ready to be a part of it?