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How Can You Invest in Metaverse

Invest in Metaverse

The cryptocurrency’s information space was flooded with news centering around the word “metaverse.” What is hidden behind this concept, and how can millions of people make real money through a new hobby?

Before we actually start making money in the land of the metaverse, let’s find out the fastest and easiest way to invest in the metaverse.

Table of Contents

Metaverse Investment Opportunities

The Metaverse is a fictional world. And this is a virtual space that you may enter through a screen, such as your computer, or by wearing a headset and entering virtual reality directly. 

You may now do a variety of things in the metaverse, like attending a concert, holding a meeting, playing video games when bored, and a virtually endless number of other activities. And this is a virtual environment in which you may develop almost anything. 

Investing in the metaverse can be done in several ways, depending on your investment goals. Below are some ways you can consider

Buy a Land or a Property

NFT helps to enhance economic opportunities by considerably simplifying the process of buying goods and services. More importantly, the buyer may use NFTs to transfer their items and other data between different metaverse platforms.

The first thing you can do is buy any metaverse land or property. When you buy a house these days, it usually comes with an NFT. As the statistics show, the metaverse land grab goes on, and now, the cheapest land you can pay costs $13.211 in Decentraland, which is equal to 3.46 Ether. Next comes the Sandbox platform with $14.099, equivalent to 3.7 Ether.

Benefits of buying land:

  • You may place ads’ banners for your company or any third-party company, as seen in the image above, and you can charge a lot of money for this service.
  • A play button may be added to your Youtube channel in various ways. Buy a property in a densely populated area of the Metaverse, advertise yourself or someone else on YouTube, and charge fees accordingly.
  • Build your house on it.
  • You may make money by promoting your social media accounts such as Instagram or Tiktok. 
  • You buy real estate in Metaverse with the goal of reselling it for a higher price.
  • Buy real estate in the Metaverse and use it to promote your company and make money in the real world. 
  • Or rent the land out. 

 

Stocks of Metaverse

Another way to invest in the metaverse is to buy stocks of the metaverse. Metaverse stocks are shares of publicly traded companies that participate in the development of the metaverse. 

Facebook (FB) is a good example of a company whose shares you can buy if you want to invest in the metaverse, given that it is at the forefront of its creation. Mark Zuckerberg, the CEO of Facebook, even said he didn’t want the company to be known as a social media company. Instead, he wanted to call his company Metaverse. Moreover, the social media giant already has an Oculus VR headset and just recently released its first smart glasses in partnership with Ray-Ban to use augmented reality (AR).

 However, if Facebook is not the place you would like to invest, other companies plan to play a role in the growth of the metaverse, for example, Microsoft, Unity, Roblox, Amazon, Walt Disney, as well as Nvidia.

Market Potential

The metaverse has the potential to give access to the growing e-commerce market in the virtual world, you may make money not only from advertising but also from the sale of goods. This will help Meta expand its revenue streams (advertising now accounts for 97 percent of the company’s revenue). According to Zuckerberg, the metaverse will have a billion users by the end of the decade and sell “billions of dollars worth” of real and digital goods. According to third-quarter results, Meta services (Facebook, Instagram, WhatsApp, and Messenger) have a total monthly 2.91 billion users. 

 According to Goldman Sachs analysts, the metaverse should become a key component in the shift from Web 2.0 (social media sites, blogs, wikis, video, and image sharing sites, cloud technologies, etc.) to Web 3.0 (decentralized Internet, artificial intelligence (AI) and machine learning, connectivity, etc.) over the next 5-10 years.  Many consumer habits, such as gaming, entertainment, and sports, will be affected by this transition.

Companies’ business models may be significantly changed as a result of the shift to Web 3.0 by creating new leaders.  Therefore, it is logical that many major players (Meta and the gaming industry as a whole are making the most noticeable steps) are already investing in this direction.

Metaverse Exchange Traded Funds (ETFs)

Alternatively, investors can access the growing Metaverse industry by purchasing a Metaverse ETF. An exchange-traded fund (ETF) is a basket of securities that trade on an exchange like stocks. The Metaverse ETF allows people to invest in companies that are already building the Metaverse, or in a good position to do so in the future, by purchasing funds.

The Roundhill Investment exchange-traded fund, for example, was created so that everyone could invest in and enjoy the benefits of the metaverse. Roundhill Investment offers investor companies such as Nvidia, Microsoft, Roblox, Tencent, Unity, Amazon, and others.

Trading Metaverse Tokens

The safest way to invest in the Metaverse is through tokens. And if you don’t want to spend a lot of money, this can be the most suitable way to save money. Metaverse tokens may be bought or earned throughout the game for specific activities and achievements. Play-to-Earn is the term for this concept (P2E). This has become so popular in some developing countries (like the Philippines), that people make a living with it. 

In addition, tokens have gone from 80 cents to $5 since Facebook ran its ad. However, you must be careful, as these assets have a high level of volatility, both because of the initiatives’ relative novelty and because of the buzz around them.

You can get the most popular tokens from Axie Infinity (AXS), The Sandbox (SAND), Decentraland (MANA), Enjin Coin (ENJ), Illuvium (ILV), Render Token (RNDR), UFO Gaming (UFO), Mobox (MBOX), Vulcan Forged (PYR), Yield Guild Games (ASB). 

To minimize the number of transactions and, as a result, costs, it’s best to buy cryptocurrencies right away and then store them in a wallet. 

Some of the best examples of crypto exchanges are

Popular metaverse tokens may be found in some of the most popular high-demand wallets. Some wallets allow you to make purchases using a credit card, while others use any method, including payment systems. Also most wallets also have an exchanger, allowing you to quickly sell or buy the assets you need. 

Before buying metaverse tokens, thoroughly research the company to which they belong. The sector is now very volatile, as it always happens at the beginning of the development of a new direction. A sharp rise can be accompanied by a rapid fall. Much depends on the number of work developers put into the project, the relationships they build, and more. Therefore, it is recommended to keep only part of the portfolio in the metaverse cryptocurrencies and allocate the rest for more stable and reliable assets.

Exhibition of Works of Art

In the metaverse, galleries are the most popular business model. Exhibitions of NFT works are created by artists and collectors, and visitors can buy the items they prefer. Since digital art was the most successful use case for NFTs, it was the art industry that pioneered the metaverse.

Private exhibitions, as well as huge complexes, might be found here. Decentraland, for example, has galleries for popular NFT markets like Super Rare, Known Origin, and Makers Place. Pure Gold Gallery, Panda Gallery, and BCA Gallery are among the most popular sites in Crypto Voxels. You can click on all the paintings and go to the marketplace to buy or learn more.

Visitors may virtually walk around the hallways, view the exhibits, and communicate with each other inside the gallery. Some projects’ websites provide links to the gallery. Before entering the virtual gallery, there are presented instructions to help visitors manage the unusual format of visiting an online exhibition.

Creating Digital Items

Create Digital Items in Metaverse

The metaverse, unlike the physical world, is made up of digital items. All buildings and items in Crypto Voxels, for example, are built from cubes called voxels. You may use them to make avatar clothing or design pieces for buildings. In the meta markets, all of these things are in high demand.

In the metaverse, digital things are usually more expensive than in the real world. The GYBxB20 right shoe, for example, was sold for 18 ETH on Crypto Voxels. This price was $30,000 at the time of the sale in May 2021. Furthermore, some designers make things to order. For example, the DappCraft studio has designed Coca-Cola-branded coats that may be worn in Decentraland.

Create Buildings

Although some metaverse inhabitants own property, they have the time and energy to construct their own structures. After that, they hire virtual reality designers who are experts in their field. Many large companies have already built headquarters in the metaverse with the help of these services.

Maff Metaverse is a company that provides similar services. The company assists in the creation of objects as well as the creation of a metaverse marketing strategy. For example, specialists can also organize a virtual event and arrange an interactive quest.

Concerts Organization

Some musicians have begun to hold online concerts in virtual worlds as well as streaming sites. The 3D metaverse gives viewers the opportunity to experience the atmosphere of the event in a better way than watching a live stream on YouTube. DJ Deadmau5, for example, performed at Decentraland in October 2021. Every week, dance parties are held in the Somnium Space metaverse.

Famous artists can achieve effects that are difficult to have in reality: change the stage after each song or go with the audience into space. The metaverse offers several options to young musicians. They will be able to find their target group or make an opportunity to buy a ticket to the performance in the form of NFT.

Final Words

This article looks into the Metaverse’s concept and how to invest in it. The P2E method is the most basic strategy. You play video games and get rewards or NFTs as a result of your efforts. You may even make and sell your own NFTs using the right platform. Concerts and digital art are two more cryptosystems that are becoming popular. There are many other ways to convert NFTs into real money once they have been created. An important condition is that these cash flows should be calculated. The Metaverse may possibly grow into a huge industry with its benefits, but it is now impossible to estimate how much it influences stock price.