If you assumed the metaverse was created when Mark Zuckerberg stated that Meta was constructing the “next generation of the Internet,” you might be surprised to hear that it is currently a functioning Decentraland ecosystem with a robust real estate market.
In recent times, a block of “land” in the online social environment Decentraland was sold for €2.1 million. Therefore, smashing the old record of €810,000 set in June.
Individuals from the real world can access Decentraland. They form avatars, acquire property, shop for wearables on the marketplace, and attend parties. Deadmau5 and Paris Hilton were among the headliners at a virtual music festival presented by the platform.
The digital reality is drawing institutional attention as well. It includes the government of Barbados just entering into an agreement to open the world’s first digital consulate in January of next year.
Decentraland: An Overview
Decentraland, which launched in February 2020 and describes itself as the very first completely decentralized virtual environment, is based on the Ethereum blockchain.
Because of its decentralization, it signifies that the individuals who utilize Decentraland own it and regulate it. This is what Dave Carr, the platform’s communications head, told Euronews Next.
People can present recommendations and vote on initiatives offered by others in our decentralized autonomous organization. And this substantially dictates Decentraland’s future course.
MANA, Decentraland’s native coin, conducts transactions in this realm. NFTs verify ownership of virtual property.
The Rise and Fall of MANA
The coin’s price had begun to rise in 2021, but it skyrocketed after Meta’s statement.
The cryptocurrency is currently selling at €4.06 per unit, up from €0.07 at the start of the year.
Carr claims that there are two ways to partake in Decentraland governance: holding MANA or being a landowner.
However, when the price of MANA rises and digital land becomes prohibitively costly. The concern remains whether Decentraland can stay an “open metaverse” rather than a digital fiefdom for affluent consumers or early investors.
“‘Oh, have I completely missed the boat?’ is one of the major concerns that have surfaced. Due to the high cost of land in numerous virtual environments, I am unable to donate or contribute, which is not the situation, “Carr stated.
As per Carr, “there is still a chance” for designers to contribute to a plot of virtual property or sell their personal wearables on the Decentraland marketplace.
Decentraland in the Future
Carr also anticipates a future Decentraland in which people driven out of the virtual real estate market can rent virtual land.
Gamers access the metaverse through gaming groups.
“You can currently see unions like Yield Guild Games [a play-to-earn gaming guild] purchasing up land to work on and construct games for their people.”
But what would it mean for those who have already invested in virtual real estate?
Carr noted that the first landowners, the early investors, would want value supplied to their property because they have a strong investment in the digital environments in which they buy the land.
“They’ll want that material and those events on the ground. This is because it draws people into the virtual environment and enhances the experience.” he added.
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