The Metaverse is thriving, revolutionizing the real estate sector

Mark Zuckerberg may claim that the Metaverse is the future – but in the eyes of others, the future has already begun. Science fiction author Neal Stephenson coined the term “Metaverse” in his 1994 novel, snow crash. Within the pages, the main character, the protagonist, navigates through the virtual world.

Since 2003, millions have also worked, played and socialized in the Metaverse within the online world of Second Life. While the game, with its heyday in the 2000s and featuring some punchy graphics, is a far cry from the modern era. The Metaverse vision developed by companies like Meta And Microsoft, the idea of ​​a virtual metaverse where people interact is not a new idea.

Currently, it can be said that Decentraland The most famous of the modern era metaverseEncouraging a global network of users to buy and sell digital real estate and to explore, interact with and play games. Decentraland emerged in 2015 and the project’s initial coin offering (ICO) in 2017 generated about $26 million at the time. While Decentraland is an expansive company and boasts a lot to do, the platform has attracted many eyes to the lucrative and ever-growing digital real estate industry.

On November 25, media reports revealed the non-fungible token (NFT)-based real estate company Metaverse Group. I buy A plot of land in Decentraland for $2.43 million to help with plans to enter the digital fashion industry.

Related: What is the metaverse in the blockchain? A beginner’s guide to an internet-enabled virtual world

Metaverse monetization shakes up the real estate industry

It is becoming increasingly clear that commercial real estate in the Metaverse region will play a huge role in the global real estate industry in the coming years. In Fall 2021, Tokens.com inked Letter of intent to purchase a 50% stake in a digital real estate portfolio owned by the Metaverse Group, which then plans to market the offerings as the first digital real estate REIT. Metaverse Group believes a public listing could come in 2022 or 2023.

The popularity of buying and selling digital property means that companies like the Metaverse Group are, for the most part, working on the same type of buying, selling and marketing tasks as a traditional real estate company. With prices soaring and buyers looking angry at the virtual land – some have expressed doubts that investing in digital real estate will prove wise in the future.

Related: Blockchain metaverse ecosystems gain traction as brands create digital experiences

However, despite the higher prices, interest in the metaverse real estate continues to grow, especially as the coronavirus pandemic has pushed more people online and made them almost ready to socialize. Those interested in real estate metaverse also have a competition, i.e. celebrities who have not been shy about promoting their digital real estate activities.

In late September, The Sandbox Declare a partnership With legendary rapper Snoop Dogg to set up his mansion and NFT group in the Metaverse Zone. Next month, Paris Hilton A partnership contract With Decentraland and the Genies to be one of the main artists for the first Metaverse Festival held in late October.

How real estate investors are switching to virtual real estate

The interest and interest being given to the Metaverse has not escaped from other companies besides Meta, formerly Facebook, and Microsoft, who are also eager to join the action.

Like traditional real estate that often maintains its value even in tough economic times, metaverse properties continue to thrive despite the ebb and flow with Bitcoin (BTC) and other cryptocurrencies.

The popularity of NFTs coupled with a growing interest in online environments contrasts with the limited amount of territory in virtual worlds within the metaverse – keeping prices high. For example, Decentraland he have Only 90,000 floor pockets.

Related: NFTs found real benefit with the advent of the Metaverse in 2021

Investment firms are even sinking their toes into the Metaverse and continue to learn more about how to get involved. The high prices, popularity and ease of buying and selling virtual lands (as opposed to traditional real estate) mean that Metaverse will be more than a buzzword. Like the domain name scramble during the early ages of the internet, savvy investors and buyers snapping up real estate in prime locations will seem very smart as more and more people jump into the metaverse.

As Metaverse continues to grow and expand – so does digital real estate. Smart buyers and investors would be smart to stay ahead of the curve and assume the faltering real estate boom is here to stay.

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