The announcement by Meta Platforms Inc. (NASDAQ: FB) that it’s changing Facebook’s name to Meta and building a version of a metaverse catapulted many metaverse cryptocurrencies to new all-time highs. Some people, especially those interested in gaming and crypto, are excited that virtual worlds are getting more complex and enticing. Others are scared that this trend may lead to a dystopian world where no one leaves the virtual space to live their real lives.
Unfortunately for the worriers, these meta projects are already in the works and will likely launch soon, despite their fears. If you believe that the metaverse will play a large role in the future of humanity, investing in some of the top related cryptos could be massively profitable.
What Is the Metaverse?
The term metaverse was coined in 1992 by Neal Stephenson in his science fiction book “Snow Crash.” However, Stephenson didn’t come up with the concept of virtual reality (VR). Earlier monoliths of sci-fi writing did. Aldous Huxley included a primitive version of VR in his novel, “Brave New World,” published in 1932. He described an addictive new technology that would overwhelm the senses with a virtual experience, warning us of the dangers of escapism. No one knew that a version of his idea would eventually become a reality. The metaverse is the sum of all virtual worlds, augmented realities and the internet.
Many people already spend a lot of time on the internet, and companies compete there for your attention. Social media is a huge part of human life in 2021. Facebook, Snapchat, Instagram and YouTube have learned how to attract and keep attention for as long as possible. VR headsets seem to be the next evolution. People already play a bunch of fun and innovative VR games and experiences –– even though the technology is still in its infancy.
A few cryptocurrency-based projects want to build entire worlds where people socialize, play games, make money and pretty much do anything their hearts desire. Projects like Decentraland and The Sandbox have built enormous worlds and full economies. Both aim to relinquish control over the project and hand it over to the users. The Sandbox is not fully decentralized yet, but it has plans to do so in the coming year.
Concerns With a Centralized Metaverse
Facebook wants to build its own version of these virtual worlds, but it will almost certainly be heavily controlled by the company. Users of The Sandbox and Decentraland will likely be able to make decisions on advertising, what happens to their personal data and much more. Facebook will probably collect as much data as it reasonably can and pawn it off to advertising companies. These companies might then insert personalized ads directly into your metaverse experience.
Another major concern of a centralized metaverse is control over its economic aspects. Cryptocurrency investors dislike the lack of controls on federal monetary policy and the influence of financial institutions, which is a major reason why they choose cryptos. Imagine an entire economy run by Facebook instead of a central government, which, in democracies or republics, is at least subject to voter approval. The power it would give the company would be enormous. Facebook might not abuse this power, but it wouldn’t be all that surprising if it did.
Why not keep control over the metaverse and the economies intertwined in it in the hands of the people? For many, this process seems like a better alternative than having big tech control our digital lives.
Best Metaverse Cryptocurrencies
Looking for a way to invest in metaverse cryptos? Consider 1 of these 4 options.
Decentraland: Decentraland is an entire virtual world owned and built by its users. MANA is an ERC-20 token on Ethereum and is the native cryptocurrency of the game’s ecosystem. It has a variety of use cases including as a currency to buy items and land in the game on the marketplace. Decentraland also has a Decentralized Autonomous Organization (DAO) that makes major decisions about the game and ecosystem as a whole. MANA holders and LAND owners both vote in the DAO. You can purchase MANA tokens on eToro and SoFi.
The Sandbox: The Sandbox is a virtual world like Decentraland but with a greater focus on user creations. The developers released 3D editing software to make building items and games into The Sandbox easy. SAND is also an ERC-20 token and works similarly to MANA, with a few differences. You can purchase items, parcels of land, tickets to virtual events and more in The Sandbox game. The Sandbox also plans on building a DAO to make decisions for the game, but it hasn’t come to fruition yet. The Sandbox is a fairly small project, but you can still purchase tokens on some large exchanges, such as Gemini.
Star Atlas: Star Atlas will be a stunning virtual reality strategy game set in the future, reminiscent of Second Life. Unlike Decentraland and The Sandbox, the main game is not playable yet. The in-game economy is going to run off of the ATLAS token on Solana. When the game is released, you can earn ATLAS by collecting and selling resources and other items. It will also be used to purchase most items like starships and plots of land. A different token, POLIS, will act as the governance token for the ecosystem.
Bloktopia: Bloktopia will be a cyberpunk-inspired virtual reality game with a complex in-game economy run on the BLOK token. It will take place in a massive digital skyscraper covered in neon lights with 21 floors, paying homage to Bitcoin’s 21-million-max token supply. You will be able to play games, create items and advertise to earn BLOK tokens when the game launches, hopefully in spring of 2022. BLOK is already a token on the Polygon network, and you can start investing today if you expect the game to succeed.
Where To Buy Metaverse Cryptocurrencies
The top few metaverse cryptos are easy to buy because they are listed on major centralized trading platforms. Decentraland trades on a few of the best exchanges including Coinbase Global Inc. (NASDAQ: COIN) and FTX. The Sandbox is offered by Gemini and FTX, and you can buy Star Atlas on FTX and Gate.io. Bloktopia is on Gate.io and can also be purchased on decentralized exchanges (DEXs) on Polygon, such as QuickSwap. Before you can start trading on centralized exchanges, you need to verify your identity. This process usually requires you to provide your address, Social Security number and a picture of your driver’s license.
Cryptocurrency Market Outlook
The crypto market is still hovering near its all-time highs. It seems like the top cryptos were put on pause for a few days to pump the new set of meme coins like GM, WGMI and VIBE. Most crypto influencers on Twitter and other platforms are still cautiously bullish, but they could be wrong. Bears have argued all the way up that the amazing 2020-2021 bull-market ended in May, but so far they have been proven wrong ever since the summer of 2021 correction.
About Henry Stater
Henry is an expert in all things crypto. He stays up to date with all the latest coins, platforms and technologies in the field. He has particular expertise in the burgeoning decentralized finance ecosystem and loves trying out all the new platforms. He also always follows major events in other financial markets and geopolitics as a whole, especially when an event’s effects ripple through the crypto market.