Zuck Meta, An Overview of the Metaverse and Alpha Opportunities
Metaverse-Related Tokens We’re Watching at Momentum 6 to Watch
Metaverse-Related Tokens We’re Watching at Momentum 6 to Watch
What is Metaverse?
The Metaverse is being described as the future of the internet. In simplest terms, Metaverse is a superset of augmented reality, virtual reality, and the internet. Metaverse is not a new term as it was first coined by Neil Stephenson in his 1992 science fiction novel “Snow Crash”. In the novel, a pair of drivers travel to the ‘metaverse’ in a bid to save themselves from a capitalist dystopia.
Some forms of the Metaverse already exist in games you have interacted with, such as Animal Crossing, Fortnite, and Roblox.
The basic characteristics of the Metaverse span both virtual and physical worlds. It is also centered on a fully functional economy where users travel to different ‘places’ with ease while maintaining their avatars and purchasing goods and services.
Most of the current platforms don’t allow you to export all your data and posts from one platform to another. A perfect example is the inability to export all of your data from Facebook to Twitter. In the Metaverse, you don’t have to export your data from one virtual world to the other. If you have an avatar in one digital world, it can be transferred to and exist in other digital worlds. The seamless Metaverse experience is made possible by a ‘shared open slate’.
The Metaverse can be described as a virtual park with no limits to its creativity and size. Users move seamlessly from one digital world to another with thousands of other people. What gives the Metaverse concept exponential potential and true value is the fact that there will be a single source of truth for all assets and data that exists outside any individual platform.
Importance of Data Economy in the Metaverse
The data economy can be described as a digital ecosystem of data-based products and services. The data economy is the backbone of the world’s biggest companies as well as crypto markets.
Almost every Metaverse component is built upon the data economy as a shared open slate. The interoperability of the data economy makes it easy for decentralized data protocols to allow independent virtual worlds to network into an interconnected virtual reality that we call the Metaverse.
In the absence of the data economy, Web 3 tokenized virtual worlds will be no different from the current Web 2 platforms such as Facebook and Twitter. The Metaverse is created by data-centric and chain-agnostic frameworks, making it crucial in providing utility, persistence, and availability for all games, dApps, and the fabric of reality that users interact with.
The Metaverse will present persistent data. The ‘shared open state’ of the Metaverse means that your data will exist in a persistent storage layer even if some platforms completely fail or lose popularity. The Metaverse also seeks to ensure users can maintain their avatars across different virtual worlds, blockchains, gaming platforms, and Web 2 apps.
Metaverse’s ties to crypto and blockchain
When the Metaverse develops further, expect demand for high-speed exchange, financial services, and permissionless identity to rise. Data needs to be stored and then served to billions of people in this new world, cryptocurrencies and blockchain technology will be a solution to this challenge.
Several companies like The Sandbox and Decentraland have already created virtual worlds that integrate cryptocurrencies such that users can create theme parks and virtual casinos and monetize them. Decentraland uses a currency known as $MANA that can be bought on Coinbase. Decentraland also features casinos, where players gamble with $MANA and dealers, are also paid with the same currency.
Non-fungible tokens will also be important in the Metaverse as they give people complete ownership of their characters, accrued in-game items, and virtual land. The Metaverse will make it possible to buy and sell virtual goods from different universes and games on interoperable marketplaces. For instance, you can sell a virtual plot in Decentraland and purchase Fortnite skins using the acquired funds. Cryptocurrencies might become the sole legal tender in the Metaverse whereas all intangible items and virtual objects are represented by NFTs.
Traditional Companies Entering the Metaverse
Nike is among the giants that have taken the first steps into the Metaverse journey. The company has already filed for new trademarks that indicate its intention to join the race through virtual Nike-branded apparel and sneakers. The company has also advertised roles for a virtual material designer for footwear that sits in the Digital Creation department. Nike is filling applications for its main trademarks and will soon start selling virtual clothing, shoes, and headwear in virtual worlds.
Facebook announced on October 28, 2021 that it would change its company name to Meta. The announcement laid down the social giant’s ambitions to grow beyond social media and create a Metaverse that ultimately connects the physical world and online social experiences.
Facebook announced this summer that it had created a new team that would be tasked with creating the Metaverse. According to Facebook’s head of Metaverse, businesses and individuals will be able to sell digital and physical products as well as services and experiences.
Sotheby’s is not a new name as the auction house was founded in 1744. On October 14, 2021, the Sotheby’s Metaverse was launched, which allows collectors, art lovers, and artists to sell, buy and view prestigious NFT arts. The new platform features technological advancements that enable seamless NFT auctions. Sotheby’s Metaverse also offers the same level of experience associated with established NFT marketplaces such as Nifty Gateway and OpenSea.
Major Crypto Players
The Sandbox is a unique type of Metaverse that focuses on creating a sustainable gaming and content creation ecosystem. The Sandbox focuses on not only providing tools for creating experiences attached to specific locations but also assets that can be used and sold within the ecosystem. $SAND is its native currency and has various functionalities such as trading, buying, governing the platform, and earning. NFTs are used for securing ownership and monetizing the content in this virtual world.
Decentraland is a decentralized virtual reality platform that operates on the Ethereum blockchain. According to the Decentraland whitepaper, users can create, experience, and monetize their applications and content. Its ecosystem has two components; Parcels of LAND (non-fungible assets represented by ERC721) and a fungible currency ($MANA, ERC20) which is used to purchase pieces of LAND. Users buy LAND and develop as they wish, making it valuable.