How to Invest in the Metaverse

Future in the Metaverse: Why Is It Popular and Is It Worth Investing Already?

The Metaverse – is the Internet environment announced by Facebook founder Mark Zuckerberg, still exists as standalone products. Meta (ex-Facebook), Nvidia, Nike, Hyundai, and other famous companies plan to create their virtual universes. However, there are already businesses trying to invest and make money on Metaworlds. We think you’re also interested in investing in the metaverse. But how does it happen? Let’s discuss everything in more detail.

 

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Why Has It Become Popular Now?

The concept of metaverses has been around for years, but before its popularity was hampered by two factors: a weak technological base and distrust of the online environment. The first problem was solved automatically – with the spread of high-speed Internet, the emergence of more powerful electronics, and the growing availability of devices. The second partly managed to be solved during the pandemic. In 2020, rapper Travis Scott held a concert in the game Fortnite, and the show attracted about 180,000 spectators-players. The performance brought the performer about $20 million.

At the same time, the pandemic continues to rage in the world. Under these conditions, offline events still pose a risk. And as the experience of 2020 has shown, virtual events can compete with real ones. For many companies, the metaverse is also asset diversification. If offline collapses again due to lockdown or other reasons, people will continue to do business in a virtual environment. And if now work and communication take place in a conditional Zoom, then tomorrow people will already be able to communicate in virtual worlds using avatars. Metaverses are a new dimension of the Internet, an additional add-on.

How to Invest and Earn in the Metaverse?

The Metaverse can give a lot to businesses, and companies are already thinking about how they will work in the digital world. According to Nak Hituis, founder of TripleShot Marketing, one of the main directions for the development of e-commerce in the metaverse will be the combination of offline and online commerce, which may be of interest to today’s e-commerce market players.

In the virtual space, you can earn on advertising and sales. If we remember that by the end of 2021 the audience of all Meta services is approaching 3 billion users, then the owner of this new digital environment will only need to competently monetize the time that all these people will spend in the digital world.

The goal of the universe, which will require massive computing power, will require chips to serve all this technological diversity.

Cathy Hackl, director of the Futures Intelligence Group, a consultancy that encourages brands to develop their metaverse strategy, gave her advice on investing in this digital environment. In her opinion, today there are four main strategies for investing in the metaverse:

  1. Virtual real estate.
  2. Exchange-traded funds (such as the Roundhill Ball Metaverse ETF) that work with companies in the metaverse.
  3. Digital objects – clothes, shoes.
  4. Non-fungible tokens (NFTs).

The Potential of the Metaverses shortly for Those Wishing to Invest

 

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The concept of metaverses is closely intertwined with decentralized systems and blockchain technology. Cryptocurrency is a great fit for the metaverse, as it allows for a digital economy with various types of utility tokens and virtual collectibles (NFTs).

The NFT market is growing at a record pace, and companies, brands, celebrities, artists, and ordinary users are issuing their tokens. For example, Quentin Tarantino decided to sell in the form of an NFT part of the Pulp Fiction script that was not included in the final film.

The industry of virtual collectibles is also growing. So, the Dutch brand The Fabricant creates only digital clothes – especially for avatars in the metaverse. Nike has also recently started selling items in NFT format.

Metaverses are also attracting EdTech companies. Wearing a VR headset, you can become a participant in the events of the Roman Empire – it’s much more interesting than reading a textbook or watching video lectures.

Do not assume that the metaverse is a niche product. The very concept of a niche is relative – for example, in the world, there are more than 3.2 billion player accounts who will happily immerse themselves in the world of virtual reality. VR technologies are also constantly improving, which lowers the entry threshold for users and makes staying in a virtual environment more comfortable.

Which companies’ stocks can rise with the advent of the metaverse

The companies that will be the first to invest in the metaverse will be able to benefit from the trend. Therefore, you should pay attention to the shares of Meta, Nike, Hyundai, and other giants. Also of interest are video game publishers Activision Blizzard and Electronic Arts.

Amid the renaming of Facebook to Meta, chipmaker NVIDIA and video game Roblox have seen massive price increases. The growth of The Sandbox and Decentraland platforms (and its MANA tokens) is also worth paying attention to. It is also useful to keep an eye on the DeFi (decentralized finance) and GameFi (gaming economy) markets.

You can study the dynamics of the securities of the mentioned companies on the Currency.com crypto exchange of tokenized assets. The site features over 2,000 tokenized assets, including tokenized currencies, stocks, bonds, indices, commodity markets, and ETFs, as well as cryptocurrencies.

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