Some of you may have heard of the Metaverse, the virtual space of the future where you, or rather the 3D avatar you create for yourself, can build a whole life which integrates into your actual one, kind of blending between the physical and virtual world. So, investing in virtual land may just be the next big thing! Here some reasons why:
Let’s begin by understanding what is meant by virtual land in the metaverse and why buying some could add some value to your investment portfolio. Virtual real estate is unique land that has a deed and exists in a digital world, the metaverse. The piece of virtual land is wholly unique, secured by a non-fungible token (NFT). This NFT, secures your unique digital ownership of the virtual property hence making it yours. If one day you want to build property on it, you can. If you would choose to sell this virtual property you can sell it in the metaverse, and all transactions are digitally recorded and one can easily who previously owned the digital real estate and to whom it was sold. All this information remains as a record on the blockchain. Once you own the land you can buy properties as well. These properties could for example be virtual businesses, houses, estates, which can be monetized.
As already mentioned, adding value to your investment portfolio is a good idea. Purchasing your first piece of NFT property in the metaverse to your portfolio is thinking ahead! You may have always hoped of owning a piece of land but real-world prices may make that unachievable, whereas in the metaverse the options to purchase land and maybe even build a property on it may be the perfect investment in the digital world. Think of it as a new world of opportunities. As people spend more and more time online, it’s just a matter of time where the virtual will become a natural extension and property ownership in is just a part of that extension.
Basically, anyone that wants to and has a crypto wallet can buy NFT real estate. The people that are currently buying NFT real estate are mainly gamers that engage with augmented reality video games. They invest in building their metaverse character’s life with virtual commodities and virtual real estate is just another one of those commodities. As we make the technological transition into the future the belief is that more and more people will want a part of the virtual world, and virtual property is something one doesn’t want to miss out on. One just needs to look at consumer-facing brands for example, where it has been reported that more than 200 have already bought real estate in the metaverse. Some of those brands are HSBC, Atari and Gucci, to name a few. Another example comes from the real-estate world where a virtual real estate firm located in Toronto, purchased virtual land in Decentraland’s fashion district for the sum of $2.5 million. Certain celebrities have also jumped on the bandwagon, Paris Hilton or Snoop Dogg most notoriously.
Buying virtual land in the metaverse is like investing in your digital home. Here’s what you need to know if you want to buy a virtual property. First off, you need to have a Crypto wallet. There are several different crypto currencies on the market, and you can decide which coin you want to buy and have in your wallet. Alternatively, some properties also enable the use of tokens which can be bought using a credit card within games. The process of buying NFT virtual land can be comparable to any other online purchase, as in once you choose a plot of virtual land to buy that fits your budget (more on that below), you will be prompted through the steps to complete the process. Once the transaction is complete you can check your NFT marketplace or in-game account and see that you now own an NFT virtual property. So now that you’re ready to buy, you need to decide on which piece of digital land to buy.
For the most part, the real estate that has been sold is mainly via the metaverse games where players can purchase through NFT collections or build their own depending on the platform you choose to access. Some that are worth mentioning are, Axies, where one can purchase tokenized plots of land that function as residences and bases of operations for the avatars created in the game, or in Decentraland, where each plot is a unique NFT and you can choose to invest between private land plots, district land plots, highways as well as plazas. These are just a few of the games, one can buy virtual land in, and a quick online search will give you alternative metaverses. Alternatively, you can buy land in the virtual world outside of these games as well, such as TCG World. This metaverse platform enables users to invest in land NFTs using the platform’s currency.
Using common sense, NFT real estate value will appreciate based on supply and demand of the growing metaverse market. As in the real-world real estate prices fluctuate but over time their value increases and virtual property prices are already on the rise for the most part. In the metaverse one can now find all different kind of investment opportunities and buying virtual land can be one of those. As more people become a part of the metaverse, the value of digital land is assumed to increase because the metaverse will do the same as what we know social media do today, which is deliver advertising. Also, if you buy virtual land and later build on it, you can rent out, open a business, re-sell some of the property that will increase the value of the digital real estate.
Investing in buying virtual land in the metaverse may be something that you’ve already considered, or it could be something that you’re not yet comfortable with quite yet, however many don’t want to miss out on such an opportunity. Buying NFT Real Estate is a personal decision, just like buying real estate is in the real world. You need to consider how much you would like to invest, where and whether or not it’s a long-term investment or just a way to flip some
One should consider, that once you do own some land in the metaverse you can do whatever you want with it, like constructing a business, a home, etc. and then as this virtual land becomes more populated you can rent, sell, or trade it for other NFT’s.
Virtual real estate or NFT real estate is a commodity of the metaverse that should be considered as an investment opportunity. Although some research is required to understand what property is best for you to purchase, the process itself is quite simple. It can make you a profit in the future and buying land in the metaverse is a way to enter the crypto world. Your investment in virtual land metaverse can lead to long-term income, making it quite lucrative. It may very well be that this is the future of real estate as we know it.
Virtual real estate can be an NFT, as in it’s one of the methods to allow the mainstream to enter the crypto realm. Often the NFT is part of a metaverse game platform that enables the purchase of digital land using NFTs. Like with all NFTs they can be traded and sold.
NFT real estate is virtual land that have been minted on the blockchain and therefore it’s a unique piece of property which you own in the metaverse. The piece of digital property can be built on, rented out, sold like in the real world.
Yes, one can use NFT for real estate both in games in the Metaverse as well as to represent ownership of a property in the real world (replacing deeds).
Owning real estate in the metaverse means that in the digitalized land they chose to invest in a property is where they can socialize, play games, as well as monetize the content and charging access to it (like a private concert).