2022 Metaverse Guide

Part 1: Valuing and Monetising Virtual Land

Like it or not, the Metaverse is being built. It will play a significant role in how humans interact, work, exercise and shop, and could become the defining technology of the next decade. 2021 was a significant year for the Metaverse. Facebook’s holding company re-branded to “Meta”, celebrities performed concerts in virtual worlds, and multinational corporations staked their claim by acquiring virtual land. This all coincided with a prolonged crypto bull market, allowing Metaverse projects to raise massive amounts of capital to fund further development.

In the opening quarter of 2022 we have so far experienced volatility in the stock and crypto markets, with sizeable depreciations across the board. It’s too early to say how the macro situation, inflation, and the decisions of central bankers will affect different asset classes, but so far interest in Crypto, NFT’s, and the Metaverse has not subsided. Millennials and Gen Z investors have had a taste for outsized returns, and they’re willing to risk their hard-earned cash for a golden ticket. But will Metaverse projects continue to outperform other cryptocurrencies, as they did last year? Will it become desirable or even necessary to own virtual real estate, in the same way that we currently own social media profiles? In this article I’m going to attempt to answer some of these…