Why Blockchain matters in the Metaverse
The world around us is changing rapidly due to technological advancements that have been further accelerated by the COVID-19. A space that transcends the physical boundaries of our world has been long needed by the people, which is why “Metaverse” has become one of the key trends of our future. In case you are not familiar with the term, “Metaverse” refers to a virtual space apart from our real world, where people can meet, interact, and furthermore perform economic activities such as working or trading.
However, when you look around you may notice that the media frequently groups metaverse with blockchain technology. Yes, NFT and tokens are important, but what is the connection that makes blockchain technology so important in the metaverse?
1. Proof of Ownership
Simply put, blockchain provides a digital proof of ownership on the assets inside the metaverse. Users are able to use their own digital wallets to store those assets, and all the information are recorded on the blockchain which is secured through cryptography. Also, because blockchain is decentralized and works on peer-to-peer networks, all transactions made inside the metaverse are transparent and tamper proof. Thus, the blockchain technology provides a proof of ownership which allows the users to build trust in the metaverse.
2. Uniqueness & Originality
Another property of blockchain that is important in the metaverse is uniqueness & originality. Because blocks cannot be changed after being added to the blockchain, NFTs can act as a proof of originality for digital assets inside the metaverse. These tokens will allow people to assign unique value to certain digital assets along with the proof of ownership mentioned above.
So why is this important? Proof of originality leads to a solid trust on the digital assets and allows transaction to become possible in the metaverse. Users will be able to trade products, artworks, real estate, etc., thus forming an economy similar to the real world. In addition, artists will have a bigger motivation to be involved in the metaverse if the originality of their creations are certified via blockchain technology.
3. Interoperability
Blockchain allows users to own and trade digital assets without involving a centralized institution. Which is why they can buy and sell outside of the metaverse and own digital assets in their personal wallets. Thus, ownership is decentralized to individuals, and this kind of property allows interoperability between different ecosystems to be possible in the future.
However, interoperability of blockchain is not confined to the metaverse ecosystem only. It also includes the real world and the ability to connect it with the metaverse. For example, a user may purchase a product inside the metaverse and receive it in the real world. Or, an artist sells an artwork via crypto payment and exchanges the cryptocurrency for dollars. Blockchain technology can act as a bridge between different ecosystems and connect the real world, thus removing barriers that have previously existed in the past.
The Future of Metaverse?
It has not been a long time since the term “Metaverse” became so widely used. The concept is still changing and there are many problems that are yet to be resolved. However, many experts still agree that blockchain is an essential factor for the metaverse to truly be a “Metaverse”. The technology is continuously evolving, new features are being added every day, and lastly, we are seeing people being involved in the ecosystem more than ever. Only the future will know whether the metaverse was just a fad or a true world-changing phenomenon 😎.
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