October 31, 2022

What is the Metaverse?

Virtual reality, augmented reality and blockchain technology have created vast opportunities in every industry known with innovations in content creation, consumption, marketing, commerce, and others. Metaverse is really a birth child of these technical advancements. But what is Metaverse? How will it change our lives and how will it revolutionize the way we work, study, interact, transact and live? Let’s find out!

What is the Metaverse?

Metaverse is a virtual world that allows people to connect, work, play, build communities, buy/sell, and even enjoy immersive content with 3D (sometimes 2D) avatars. 

“Most generally, the term metaverse refers to a shared, immersive virtual world in which players, usually represented by avatars, interact with each other, construct experiences, and create in-world objects and landscapes. Specifically, a crypto metaverse, or a blockchain-based metaverse, is a metaverse that incorporates blockchain into its underlying technology and crypto assets (such as metaverse tokens) — into its economy.” - Gemini.com

Metaverse Developments

Second life was perhaps the very first attempt at Metaverse, where users explore, create, discover, interact and live their virtual life in the digital realm. Due to the advancements in AR/VR technology and the popularity of NFTs, Metaverse has enabled brands and organizations to explore new business opportunities.

Currently, there are three major Metaverses available with strong online usage and presence, i.e., Meta’s Horizon World, Sandbox and Decentraland. All these Metaverses attempt to explore the possibility of bringing real-world interactions to the digital realm. 

Meta’s Horizon World requires an Oculus device to log in to the virtual world. With the user's 3D avatar, one can play games, interact with other users, build and visit different virtual worlds, and purchase/rent digital assets like virtual land or gaming assets. The possibilities are simply endless.

The Sandbox allows gamers to buy and build real estate in the virtual world. It is a blockchain-based Metaverse which adds unique proposition to NFTs. Sandbox uses $SAND cryptocurrency as a mode of value exchange.

Decentraland is also a blockchain-based virtual world where users create, explore and trade digital assets with the community. Many big corporations like Samsung, Adidas and JP Morgan, to name a few, have opened their virtual stores in this metaverse. These organizations sell digital assets to their customers. JP Morgan bank aims to revolutionize banking in the virtual world and other organizations are building and scaling their infrastructure and business models in the decentralized space, which includes Metaverse.

Opportunities in Metaverse

NFTs have paved the way to truly value unique digital assets. Together, NFTs and Metaverse are shaping virtual concerts and immersive entertainment experiences, remote working and learning and education. Selling and bidding on digital assets gives businesses and individuals an additional revenue stream. Selling, buying and renting digital land has gained immense popularity in metaverses ever since companies like Nike and Adidas opened their virtual stores in the metaverse.

As the Metaverse grows rapidly, it's only a matter of time before big corporations pour in their capital and bring their businesses there. Metaverse will redefine how we socialize, how we work and how we live - just ask Meta.