As blockchain technologies have continued to progress over the past decade, they have made leaps in what is currently possible when utilizing blockchain tools. What was once limited to only cryptocurrency has evolved into a thriving ecosystem that has implemented itself into industries across the world.
With a total valuation nearing 6 billion in 2021, with an expected annual growth rate of 85.9% between 2020-2030, it’s clear that with this level of investment, blockchain is destined for great things. One of the most recent shockwaves that’s been sent through the blockchain community is the active development of Web 3, with the deployment of the Metaverse creating a wave of intrigue.
The Metaverse, which is currently valued by McKinsey with the potential to reach a 5 trillion valuation by 2030, is becoming too big to ignore. A large part of this valuation is generated from real estate within the Metaverse, with the ability to buy space, create businesses, and even advertise in this virtual world, drawing attention from individuals and brands alike.
In this article, we’ll be outlining what the Metaverse is, explaining the extension of real estate into this area of blockchain, and demonstrating exactly why these technologies are receiving so much hype.
Let’s get right into it.
What Is the Metaverse?
The Metaverse, built using a mixture of blockchain and VR technologies, is a series of virtual worlds that offers consumers a distinctly immersive experience. Within these virtual worlds, users can create characters, build structures, and explore everything the globe has to offer. The applications of this technology are vast, with everything from workplaces to fashion brands like Nike starting to turn their attention to this sector.
When examining the Metaverse, the main pull for businesses is the potentially endless applications. With tech giants like Microsoft, Apple, Google, and Meta all investing huge figures in bringing the working reality of this world to life. From companies advertising their products in this virtual space to individuals building and playing games with their friends, the Metaverse is a space where technology meets creativity.
One of the largest active uses of the Metaverse is within gaming, with companies using the virtual reality space to let people create and play games in segmented worlds. With the inclusion of blockchain technology, many of these virtual worlds include an element of cryptocurrency, with users being able to earn or use cryptocurrency to interact with the system in new ways.
With the arrival of capital in the form of cryptocurrency, the interest that businesses have in the Metaverse has increased, with the real estate market being one area in particular that has gained a lot of attention over the past year.
How Does Land Work in the Metaverse?
In early 2022, real estate sales across various metaverse platforms reached over $500 million USD, demonstrating the huge flux of capital that is currently moving into this industry. Real estate in the Metaverse works much like in real life, with individuals and companies being able to buy specific plots.
In their plots, they can then build, construct, rent, or do whatever they would like with the land they’ve acquired. While many focus on individual purchases, with one user spending a little under $500,000 USD in order to become Snoop Dog’s Metaverse plot neighbor, there are also a range of commercial applications that are coming to people’s attention.
If the Metaverse continues to head in the direction it’s currently going, seemingly gaining traction at every turn, then commercial real estate spaces could actually become incredibly valuable. As more users flock to this system, brands are buying plots and creating virtual stores, using NFT technology to sell customized items that users can then equip their avatars with.
Some brands, like CEEK, are taking this one step further by providing users with the ability to connect their Metaverse plots of land to a real-world economy. With CEEK, by using a Metaverse utility token, users can buy land, build, and then monetize their purchases. After acquiring CEEK, users can then exchange this in DeFi exchanges in order to make real-world money.
By getting involved in the Metaverse world of CEEK, both brands and individuals can create games, host events, and invite others to their plot of land. Even Meta, the recently renamed tech giant Facebook, has demonstrated its support for CEEK, with this being one of the most promising land sale Metaverses currently on the market.
While other companies like The Sandbox also offer land real estate opportunities to their users, CEEK has fewer available plots, allowing current users to scale their investments more rapidly, with the company helping to maximize utility for the users.
The creation of this active community is a fantastic opportunity of what is possible within the Metaverse, with brands like CEEK using this virtual space to create exciting, rewarding, and expansive spaces where individuals and brands can interrelate.
Final Thoughts
Blockchain, and its most recent poster child in the Metaverse, has come a long way in a very short amount of time. The global adoption of the Metaverse, with tech giants, retail titans, and internationally renewed brands all funding its development, represents an exciting moment in modern technology.
Alongside the development of the Metaverse, the methods that companies are using to interact and create valuable experiences within this virtual world is a testament to the creativity that companies are bringing to this space. The Sandbox, CEEK, and other Metaverse companies are building worlds where individuals can get involved, create whatever they’d like, and drive forward a fantastic user experience.
Over the next few years, we’re likely to see the global interest and understanding of the Metaverse increase even more. From further developments within individual Metaverse spaces to the mass popularization of marketing and advertising in the Metaverse, this virtual space represents a fantastic opportunity for businesses and individuals alike.
