3 Metaverse Cryptocurrencies Investors Can't Stop Buying
Many hot trends could deliver double-digit growth over the next decade. Some of the fastest-growing trends are cybersecurity cloud computing and cannabis.
There is, however, nothing more hot right now than the debate surrounding the future metaverse. The "$30 trillion" metaverse is the focus of all eyes. The term "metaverse", which is used in news and social media, seems to be all around -- even at the dinner table. While the technology is still not mainstream, it is quickly attracting the attention of crypto and tech investors. Metaverse coins are a great opportunity for 2022.It helps that Facebook, one of the largest tech companies worldwide, is betting on this metaverse. It has already invested $10 billion in the project, which it describes as the future of technology. Blockchain and cryptocurrencies will be key components of this journey.
How is metaverse connected to cryptocurrencies? What exactly is metaverse? What metaverse tokens are you supposed to be purchasing? Let's take a look at the metaverse and which coins are the best to invest in.
What are Metaverse Coins?
Metaverse is the technology that powers a virtual universe in which people can trade, shop, play, buy, and trade currencies and other objects. It is a mix of augmented reality and virtual reality, social media, gaming, cryptocurrencies, and other technologies. In the coming future, people will use Cryptocurrencies as money in the metaverse. This is based on the blockchain concept. This is naturally where the terms "metaverse coin", "metaverse tokens" or "metaverse cryptocurrency" come from. Each metaverse project has its cybersecurity tokens, which can be used to transact within the environment.
The metaverse is the next generation of the internet. It's a 3D virtual realm that allows users to interact with other users. The metaverse will provide entertainment as well as create a mammoth ecosystem. Matthew Ball, CEO at Epyllion venture-capital firm, says that the metaverse is a $10 trillion to $30 trillion opportunity and will be realized in a decade to a decade. Investors are more excited about the metaverse if there is a $30 trillion-plus dangling carrot.
The big question is: Which companies, organizations, and people will shape the metaverse? One, Meta Platforms (NASDAQ: FB), formerly Facebook, spent $10 billion last year on metaverse-related investments and plans to continue spending more in the future. Meta is responsible for the Oculus virtual reality devices. It has a great chance of becoming a major player in the metaverse, thanks to its deep pockets and impressive cash flow. Investors have also taken notice of a few cryptocurrencies that are working to create a decentralized, metaverse. Investors have been flocking to the three following cryptocurrencies in an attempt to put the future of the metaverse into their hands.
How insatiable is the demand for digital currencies that are metaverse-focused? With a gain of nearly 13,000% as of January 14, The Sandbox (CRYPTO.SAND) has been one of the most successful cryptocurrencies since 2021.The complete 180-degree departure from traditional gaming is what makes The Sandbox and other blockchain-based gaming platforms so fascinating. The Sandbox lets users own their creations using non-fungible tokens (NFTs). This is in contrast to traditional gaming platforms that allow game developers to retain all rights. An NFT is a proof of ownership that identifies a digital asset on the blockchain technology.
This makes blockchain-based gambling a powerful tool for earning money.
The Sandbox is an Ethereum (CRYPTO-ETH) game that allows you to play and earn. SAND, the primary token, can be used for digital plots, in-game goods, and to customize avatars. SAND tokens can be staked to generate passive income. This could be additional SAND tokens or other tokens that are required for asset creation. Assets in the game include people, animals, and tools.
The Sandbox offers users many ways to make money from their creations. Users can rent out digital assets, create games on their digital lands and earn rewards by playing on the lands of other users. You can also sell assets on a digital marketplace.
The impressive performance of The Sandbox, a crypto metaverse project, has been remarkable. SAND, the native token of the platform, was steadily on the rise in 2021. It finally reached $1 in the third quarter. This continues its upwards trend.This project brings the vision of metaverse to life with a VR component. Although it is primarily a game, the main focus of this project is on NFT creation and trading.
NFTs can be created by players using the SAND metaverse tokens.This project, like many others, is based upon Ethereum.
Its limited coin supply, which is 3 billion tokens, is another positive factor. Currently, over 680 million of these tokens are in use. As of January 19, 2022, its market capitalization was $3.690 billion. Its YTD performance is 462.52%. This shows how good it is doing.
Decentraland (CRYPTO.MANA) is another metaverse crypto price that investors can't get enough of. Since the beginning of 2021, investors who hold the primary token (MANA), have been "only" rewarded with gains close to 3,500%. Decentraland, which is not to be confused with a broken record, is built on top of the Ethereum blockchain. Users interact in a virtual world that is based on digital land ownership. MANA is the main token, but LAND is the NFT that determines the ownership of any digital real estate on Decentraland.
The game is continually evolving and adding new animations and user interactions that encourage landowners to visit other players. Decentraland users can monetize their tokens (which are priced in MANA) by either selling them on a marketplace or exchanging them through in-game interaction.This model has a lot to offer. Decentraland's software upgrades are performed through smart contracts, which are protocols that verify, facilitate and enforce the negotiation. These updates give MANA holders the ability to vote on potential policy changes. Users can vote on the direction of the project's future.
Axie Infinity, a metaverse project closer to the definition of the metaverse, is essentially a game. This metaverse game's local currency is the AXS token. It has been performing well in the last year. Axie's market cap is over $5 billion, which makes it one of the most valuable metaverse cryptos. The YTD performance however is -20.91%. This may not sound like a good sign for investors, but the coin is starting to increase in value again. It is based on the idea that there is a metaverse but VR has not been included in it. It is however based on crypto and blockchain, which gives control to the public. Axie Infinity features characters or Axie. These Axies can be traded and bought by gamers. They can combine two Axies to create new Axies. Virtual real estate is also available in the Axie Infinity metaverse. This could attract more investors than just gamers. A plot sold recently for $2.3 million.
Axie infinity (CRYPTO.AXS) is a third metaverse cryptocurrency that investors can't seem to stop buying. It's the best performing digital currency among the three listed, having a gain of nearly 14,000% since 2021.Axie Infinity, which completes the trio, is also built on the Ethereum blockchain. Its gameplay is different from Decentraland and The Sandbox. The game is play-to-earn and involves the user raising, breeding, upgrading, fighting, and eventually killing monsters called Axies. To be able to go to battle, a user must have three Axies. The winner will receive experience points that can be used for various upgrades to their Axies.
Each Axie, just like digital land on Decentraland and The Sandbox, is its own unique NFT. Axies can be used for gameplay, or they can be monetized through a NFT market place.
Axie Infinity is leading its peers in terms of decentralized app (dApp protocol revenue) TokenTerminal.com data shows that Axie Infinity brought in $1.18 Billion in dApp protocol revenues over the past year. Trailing-180 days (through January 14). This is second only to Ethereum, which generated $5.71 trillion in dApp protocol revenue during the same period.
It's possible that these metaverse cryptocurrency gains could be relegated to ashes, as investors tend to underestimate the adoption of new technology. There is no doubt about the potential of the metaverse, even though pundits offer a $30 trillion carrot.
Current Meta Projects
Many metaverse projects have already been in motion and tokens of these tokens can be purchased. Some are even listed on some coin exchanges. These projects are being watched by both crypto enthusiasts and investors as they have potential.Macro, a U.K.-based research firm, reported that metaverse coin gains outpaced those of Bitcoin with a staggering 37,000% increase. Bitcoin, the largest cryptocurrency in terms of market value, saw gains of 100%.
Metaverse projects include virtual games and non-fungible token markets. Each project has a unique concept, as well as some real-world and decentralized application(dApp)
Many Metaverse projects are popping up all the time, but only a few stand out. It is a smart idea to invest in these projects as the metaverse concept is deeply embedded in crypto and blockchain. The NFT buzz seems to be growing. As with all investments, you shouldn't put all of your money into one type of metaverse coin. Diversify your investments and, more importantly, invest in coins that you believe have potential.