In terms of value, the virtual real estate market is thriving. Since metaverse real estate can be a lucrative investment and add a new dimension of fun to blockchain games, many people are curious about purchasing land in this exciting new medium.
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Learn about the average price of land in the Metaverse, where to find the best deals, and which sites are the most reputable for buying and selling property in the virtual world.
What Is ‘Land’ in the Metaverse?
In a strict sense, land in the Metaverse is defined in the same way as in the real world. “Virtual real estate” refers to a platform on which businesses can reserve space to construct their digital infrastructure. Essentially, it functions similarly to a website on the modern web, also known as web2.
However, in the Metaverse, the land is akin to a subsite of a large portal. Many people may wish to feature their own content or wares if a website is well-known and frequently visited. In the context of the Metaverse, which currently comprises popular game-like 3D virtual worlds like Decentraland and Roblox, Land refers to unoccupied sections of this 3D world that can be reserved exclusively for a brand that pays for this privilege.
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A good analogy is the coordinate system used in MMORPGs, where players move their characters around the map by entering a set of coordinates. Metaverse platforms are implementing these systems to give users and companies a permanent location in the virtual world.
Facts and Figures about Land in Metaverse
- As of 2021, the Metaverse real estate market was worth around $500 million, thanks to a 700% price increase.
- To the tune of $1 billion by 2022, the market is projected to double in size by then.
- As of 2020, the estimated global demand for Metaverse real estate was $358 million.
- The Metaverse real estate market will generate $3.600 billion in revenue by 2025, expanding at a compound annual growth rate (CAGR) of 45.2% from 2020 to 2050.
Is it Good to Invest in Metaverse Real Estate?
There are two main motivations for purchasing land in the Metaverse, just as in the real world. The first is the most foolproof because you have concrete plans for the land, like a home or a place to run a business. In the Metaverse, to “live” means having a place to call your own, where you can show off your belongings and perhaps host some friends for a get-together. It’s reminiscent of the days before everyone migrated to social media and you had your website.
The second is financial: metaverse property values have increased by a factor of ten in the past year, suggesting that investors may do well to buy now. Many investors purchase virtual real estate directly on the assumption that its value will skyrocket as the number of users who wish to participate grows.
Where to Buy Metaverse Land?
Land in the Metaverse can be purchased in three main ways: through the platform’s marketplace, secondary markets, or real estate agencies. We’ll quickly go over each of them below.
Game’s Marketplace
The marketplace on the platform is one of the most convenient places to purchase land in the Metaverse. The Axie Market, The Sandbox Market, and the Decentraland Market are examples. This is your best option if you prefer to buy things without any middlemen.
Secondary Marketplaces
Acquiring land in the Metaverse can also be done through secondary markets. You can buy land other users sell on NFT marketplaces like OpenSea and PlayDapp. Other digital assets, such as games and artwork, can also be purchased here.
Metaverse Real Estate Agency
A metaverse real estate agency can help you locate the ideal land plot and handle all the necessary paperwork.
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How Much Does Metaverse Land Cost
Prices for plots of land in the Metaverse can vary widely depending on several factors. Most importantly, the scarcity of land in the Metaverse, the blockchain the Metaverse uses, and the Metaverse itself all play a role in the price.
It’s safe to assume that land in a popular metaverse game where most parcels have already been sold will be expensive. The size of the land is also important. Moreover, if you’re looking to buy property in a prime location, like Decentraland’s Fashion Street District, you should be prepared to pay a premium.
You can also count on paying gas prices for the transaction in metaverse games that employ the Ethereum blockchain, which will increase the total cost of the land. In addition to supply and demand, the state of the cryptocurrency market can have an up or down effect on the value of land and, thus, the price.
Cheapest Lands in Metaverse
It’s difficult to determine the cheapest lands in metaverse real estate due to the volatility and daily fluctuations of the cryptocurrency market.
For reference, the lowest-priced parcels in Axie Infinity cost about 1 AXS (1 AXS = 13.25 USD on July 13th, 2022). The lowest-priced plots of land in the Metaverse go for around $11,000. According to a Fortune Report citing data from Meta Metric Solutions, the smallest plots of land on the popular metaverse platforms Sandbox and Decentraland are going for 3.7 ether and 3.46 eth, respectively, which translates to roughly $11,717 and $10,957.
A 1×1 plot of land is the smallest a user can purchase in the Sandbox or Decentraland, giving them 96 square meters and 16 square meters, respectively, to place their virtual avatars. The report claimed that in March of last year, these tiny plots of land sold for less than one thousand dollars worth of ether.
In November, $4.3 million was paid for a single piece of land in the Sandbox.
You can use this to estimate how much money you will need to buy the cheapest lands in Metaverse.
The land cost varies from Metaverse to Metaverse, so keep that in mind. Additionally, due to the fall of ETH during the crypto winter and the many changes in the market, these values will likely fluctuate as well.
What Is the Price of the Shiba Metaverse Plot?
As part of their immersive Shiba Inu metaverse experience, Shiba Inu has announced that they will offer 100,595 plots of land. However, there are only 36,431 available lots right now. Growth District, Defense District, Technology District, and Currencies District will be the district names for these four areas.
How Will The Land Be Priced?
Geographical accessibility was taken into account when allocating the digital parcels. Following is a breakdown of the costs:
- Tier 4 Silver Fur: is worth 0.2 Ether and requires 17,030 acres of land.
- Tier 3 Gold Tail: 7 356 Acres, Cost: 0.3 Ether per Acre
- Tier 2 Platinum Paw: There are 5,714 Platinum Paws on Level 2, costing 0.5 Ether each.
- Tier 1 Diamond Teeth: 2,024 Land; Cost 1 Ethereum each
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Top Metaverse Real Estate Platforms
Decentraland: Decentraland is a virtual reality platform that runs on the Ethereum blockchain but is independently operated. Users can make, distribute, and earn money from their apps and content with the help of this platform. The name for the bounded, 3D virtual environment that can be explored in Decentraland, a metaverse platform. It is a digital asset kept safely in a smart contract on the Ethereum blockchain and cannot be exchanged for other currencies.
OpenSea: To buy and sell NFTs and other collectible digital things like avatars, in-game assets, digital art, and trading cards, check out OpenSea, a revolutionary decentralized marketplace. OpenSea is a complete NFT and Metaverse real estate marketplace that acts as a user interface layer between regular consumers and the blockchain, facilitating the purchase and use of NFTs by anyone.
Sandbox: Sandbox is a metaverse built on Ethereum that allows users to create, trade, and sell digital assets. It intends to shake up the established gaming market by giving players ownership of their in-game creations.
Somnium Space: Somnium Space is an open-source Metaverse platform where users can buy virtual land, construct virtual homes and businesses, engage in hyper-realistic gaming, and host virtual concerts and other events. It’s accessible on desktop computers, virtual reality headsets, the web, and mobile devices. The goal is to provide users with the most convincing virtual reality environment possible.
Voxels: Voxels, a Metaverse platform formerly known as Cryptovoxels, is growing exponentially. Compared to other platforms, it requires the least time and effort to launch and develop. It’s a digital environment built on the Ethereum blockchain and powered by the ERC-721 token. In this digital setting, users have access to the fantastic features of NFTs and the decentralized economy.
Concluding Remarks
The purchase of real estate in the Metaverse is a lucrative venture. Further, it fascinatingly enriches blockchain gaming.
But it’s up to you if you want to invest in real estate in the Metaverse. Remember that you can rent land in the Metaverse if you’re not quite ready to buy.
