With technologies set towards fast-forwarding us to a new digital connectivity era, the metaverse has gained more momentum in 2022 than ever before. With Facebook rebranding itself as ‘Meta,’ the entire world has begun looking for opportunities to explore this incredible new technological revolution. If you’re wondering how to buy land in the metaverse, this article is definitely for you!
Towards the end of December 2017, Decentraland held its first land auction, where parcels of land were sold for around $20. Towards the end of 2021, the price of the parcels increased to $6000. In mid-2022, the prices have more than doubled to around $15000/land parcel.
More and more celebrities are also taking an interest in metaverse land. In 2021, one of the biggest sales was a purchase made in The Sandbox, on the property next to Snoop Dogg’s land parcel, for $450,000.
The possibilities of this new digital realm are limitless, and the aim is to create a fully immersive replica of our current world, with none of the physical constraints! Very soon, many people will be living their lives in the metaverse on a daily basis. These digital spaces will mirror our own world and become increasingly life-like, interactive, and adaptable.
This also creates a unique opportunity for individuals and businesses to invest and make money! Like most real-life investments, real estate is widely known to be one of the most secure and lucrative sectors to invest in. What if we told you that you could purchase land in the metaverse too? Since the concept is currently evolving, there is huge potential for a large return on investment (ROI). This article provides a step-by-step guideline on how to buy digital real estate metaverse, alongside the risks involved in the process.
What Is Metaverse Land?
With all the current marketing hype, one may wonder: “Is Metaverse land a good investment?” and many questions often arise about “How to buy land in the Metaverse?” Real estate in the Metaverse is already extremely popular, so you too should benefit from it, too, since the market is still early. Many celebrities, trending brands, and worldwide businesses have already entered the Metaverse, buying, selling, and making profits – all in a digital marketplace.
Metaverse land is only meant to grow in value. Thousands of developers are working tirelessly to create incredible virtual worlds with the intention of becoming a huge success. They started by selling plots of land to other people who wanted to buy them in hopes of earning a profit. And they have succeeded exceptionally well.
It lets players or users run tools that enable them to generate avatars similar to or better than their own, socialize, work and make profitable investments. We’ve elaborated on how to purchase land in the metaverse below.
What Are the Different Types of Metaverse Lands
A metaverse is like an interconnected network of several three-dimensional virtual worlds that are connected to the internet. People enter these spaces using augmented VR, which has made this a digital world accessible to anyone in the real world. Understanding the types of metaverse lands is key to learning how to buy land in the Metaverse.
Metaverse real estate is rapidly expanding, and we have discovered three very unique kinds of metaverses. Some focus more on their internal construction, providing the user with an intimate opportunity to explore the worlds inside of them, while others focus more on external exploration, making it possible for users to reach out into other universes by traversing a path into other existing lands.
1. Web 2.0 Centralized Metaverses
These traditional centralized metaverses are not integrated with the Blockchain. These metaverses also revolve around the use of an avatar that progresses through the metaverse. Most implementations of the Web 2 Centralized Metaverses can be seen in the latest versions of popular games such as Fortnite, Grand Theft Auto, and more.
These metaverses were the basis of the Web 3.0 space, and one can also spot instances of a digital marketplace where one can pay for accessories for their avatars. Fortnite has its own digital currency, ‘V-Bucks’, that has to be purchased to get items from its store.
2. Web 3.0 Blockchain Centralized Metaverse
The primary benefit of Blockchain based metaverses is that it allows the evolution of interactions and digital assets across multiple Blockchain-based metaverses. Non Fungible Tokens (NFTs) can be traded or exchanged through cryptocurrencies on primary and secondary marketplaces. The data for users, however, is managed by a third party. Popular centralized blockchain metaverses include ‘Earth2’ or ‘Meta.’ These projects offer a lot of potential to maximize RO by learning how to buy land in the metaverse.
3. Web 3.0 Blockchain Decentralized Metaverse
This metaverse incorporates a unique concept of “Decentralized Autonomous Organizations” (DAO), with an emphasis on smart contracts. These contracts determine the rules within their specific metaverses. The biggest benefit of this metaverse type is that it relies on the premise of “fractional ownership,” meaning the decision-making power does not lie in the hands of one individual or organization.
Every token owner gets a say in decisions. Logan Paul, a youtube celebrity, has also launched a DAO-based NFT collection called 99 Originals, where each NFT offers certain utilitarian benefits to the holder. Not all metaverses offer a DAO-based feature, which is why learning tips on how to buy metaverse land and what features to look out for is essential.
How to Buy Land in the Metaverse?
If you want to buy land that belongs to a virtual world that offers the potential to grow in value, then it will be necessary to obtain cryptocurrencies first. Follow our tips on how to buy virtual real estate in metaverse, and we’re sure you’ll be able to purchase in no time! If you’re considering buying Land in Decentraland, for example, you might have to obtain MANA or Ether (Ethereum) beforehand, or even SAND.
These platforms currently have some of the most established and organized real-world infrastructures that new owners can customize as they wish. You can buy land directly from the owners or investors alike. Once you learn how to buy land in the Metaverse, you can keep an eye out for attractive properties with large potential and increase your chances of earnings.
The transactions of metaverse land are recorded similarly to NFTs like all crypto assets. Hence the next thing you need is a wallet. The virtual wallet stores your Crypto and allows you to make digital transactions. Metamask and Binance are the most popular wallets, with thousands of users trusting them with their digital assets.
Here is a step-by-step guide on how to buy land in the metaverse:
- Select a Metaverse platform
- Create your cryptocurrency or NFT wallet
- Link Your Wallet to the metaverse
- Buying Crypto through platforms such as Binance and linking your crypto wallet
- Selecting Your First Piece of Digital Real Estate
Step 1: Select a Metaverse Platform
Choosing the right platform for your metaverse land is a big decision that greatly impacts the success of your investment. Each platform offers its own guideline on how to buy land in the Metaverse, so it’s important to review them before you decide.
It all depends on what you plan to do with your land purchase, but take note that there are many different options out there, and each offers unique features you’ll need to consider to make the right choice for yourself once you’re up to speed on how to buy real estate in metaverse.
If you’re curious , there are various places where you can purchase land parcels on primary and secondary marketplaces. Some of the best places include:
- Decentraland – Decentraland is built on the Ethereum blockchain, which is a technology that enables the creation of new tokens and smart contracts. These new tokens were branded as NFTs (Non-fungible Tokens), with each one representing a parcel of land on the decentralized platform. Their website offers a guideline on how to buy land in the metaverse.
- Axie Infinity – Axie Infinity is a role-playing game and trading platform that allows players to develop their very own Axies, which are digital creatures based on blockchain technology. The Axies are for sale and trade along with accessories, and each one has many unique features. The world is called Nursia, where 7 land types, each with their own utilities and rarity.
- Aavigotchi – Aavegotchi is an open-source, cross-platform virtual reality game (world) created on top of the Ethereum Blockchain. Players use these unique avatars in this 2D and 3D universe to trade with other players and explore exciting locations throughout the planet. The “Gotchiverse” offers land parcels that can be bought. The Gotchiverse community is a very strong one and can assist in guiding new buyers on how to buy land in the metaverse.
- Sandbox – The Sandbox currently holds the highest number of parcels (more than fifty percent) of any platform, totaling a little over one hundred and sixty thousand. This new platform is looking to bring the land back into the limelight by offering a steady increase in both population and price on every parcel as it becomes more desirable as an investment.
- Bit Country – Bit Country is an exciting new company that has just entered the metaverse domain. This platform uses blockchain technology, which is based on the idea of layers or frameworks and a thin substrate that enables developers to build customized environments using programming lines. The network has gained popularity over the past couple of months and is becoming one of the most sought-after platforms due to its intuitive design and ease of access. Bit Country Land can be purchased on marketplaces such as OpenSea. Land availability, demand, and market trends should all be taken into consideration when learning about how to buy land in the metaverse.
- Matrix World – Matrix World is the new contender to join the blockchain app’s list that has begun selling virtual land plots. The process for the transaction is simple, and by using Blockchain technology, all transactions are honest and made without any need for a central governing body. Matrix Environment is a 3D version where users can even construct their land as per their liking. They can also buy/sell other pieces of land as well through a worldwide marketplace which could potentially be built into an app as well if future plans go accordingly.
- Somnium Space – Somnium offers several distinct-sized parcels, giving you the option to create your own personal space within the universe. You are given one of three choices: extra-large, medium, or small. You can also choose which side of the street you want to be situated on – on shoreline property or roadside. While you’re doing your research on how to buy property in the metaverse, it is important to remember location matters a lot when you’re purchasing land.
- NFT Worlds – NFT Worlds is a regionalized metaverse where users can own and control each world. They are based on resource information and on-chain data. Every player can generate their own peculiar land and set of features. Their worlds are 16,000,000 × 16,000,000 blocks big, providing players with virtually endless space to expand their domain as they see fit.
- Crypto-Verse – The Cryptoverse is an adaptable, spontaneous, and exciting place to be. Cryptoversians will have access to a huge amount of inspired wisdom and information. Ownership, interoperability, versatility, comfort, and seamlessness are just some of the terms users think about when thinking about gaming. Land parcels can be purchased directly from their site.
Step 2: Create Your Cryptocurrency or NFT Wallet
You will need to have a wallet where you can access your cryptocurrencies. There are many wallets available such as Venly, Bitski , and MetaMask. While doing your research on how to buy land in meta, make sure to check the compatibility with the metaverse platform that you’d like to use before making a decision.
Step 3: Link Your Wallet to the Metaverse
Each metaverse platform has its own signup process. You will first create an account and then link your wallet. The process of linking your wallet is extremely simple; there are browser extensions that you can install that complete the integration for you.
Step 4: Buy Crypto And Move It to Your Cryptocurrency Wallet
You can purchase crypto using marketplaces like Binance. Once you are ready to explore, bid or buy make sure you have enough SAND or ETH or MANA in your wallet to make your desired investment.
Using your Binance account, you can use a credit card or debit card to buy the relevant cryptocurrency and transfer it to your wallet.
To purchase MANA and ETH on Binance:
- Transfer money into your Binance account.
- On Binance, you can exchange the USD that you have for MANA. Currently, MANA is running on Ether (ETH), meaning if you want to convert your government-issued money, you’ll first need to get your hands on some ETH.
- Then trade it in for the native token that is used by the metaverse platform you want to buy from.
- Once you have logged in, click on the links that say “Markets” or “Exchange.”
- Search for the currency pairing that you want to use.
- In “Buy,” choose the amount of crypto you need and complete the transaction.
- Carefully read the information, prices, and fees.
- Make the transaction, and you are done with the purchase.
You can transfer from your external account or buy as mentioned above.
Step 5: Selecting Your First Piece of Digital Real Estate
Finally! You’re all set to purchase your land parcel. Now the only hurdle is determining what piece of land is going to be valuable. If you spot one, you can either ‘Bid’ on it or buy it for the price mentioned.
If you’re looking to place a bid, you will be asked to enter the bid amount. Enter the amount, confirm the transaction and wait for the owner to accept. If your offer is accepted, you are good to go. If not, then the amount will return to your wallet.
Congratulations! You are now an owner of a virtual asset!
After understanding how to buy in metaverse, it is also important to keep the risks in mind. As with any other investment, there are numerous risks involved while purchasing land in the metaverse.
1. No Banks Or Government Agencies
To buy metaverse land means your investment can be on thin ice. It is similar to buying into Crypto and NFTs. Owning virtual land can be more difficult than owning a home in the real world! If anything goes wrong with your property or transactions, there is no government agency or bank that will help you get restitution or give you your money back if you lose out because of an unexpected catastrophe beyond your control such as unethical business practices by the other party involved or even legal issues for example. This is exactly why learning how to buy land in the Metaverse is extremely important, i.e. to avoid losing your hard-earned money.
2. Risks Associated With Digital Assets
Even if you surpass these issues, there is also a technical consideration. Because these transactions are being conducted in cryptocurrency and NFTs, one has to feel confident about their ability to securely store these for the long-term or risk losing them altogether to someone who may acquire your assets. It’s important to make sure your stored information is encrypted and backed up properly in case of data loss or some other event that might result in it being rendered unusable; otherwise, you’re basically throwing money down the drain due to misplaced trust! Many individuals are not even sure how to buy digital real estate metaverse and end up on third-party scam sites. It is important to stick to reliable providers, to reduce risk.
Overall, cryptocurrencies are relatively safe investments because they are stored on the blockchain system. Transactions are made using smart contracts to ensure that your assets cannot be misappropriated by other users. However, if you were to invest large amounts of money (and in the high-risk cryptocurrency world, this is sometimes necessary), you would need to acknowledge that certain kinds of computers in the future might be able to hack into the blockchains and steal your coins which can happen in traditional markets too with virtual currency exchanges. Again, though – these risks may or may not arise. The only way you can mitigate risks is by learning how to buy land in the Metaverse by looking up reviews for metaverses and analyzing current market trends.
3. Supply and Demand: Valuation Considerations
Finally, we can not overlook the most vital issue of abundance and scarcity when considering Metaverse. Real-world land consistently increases in value largely because it is limited. In fact, with a growing population, every piece of land is increasing in value. However, it’s just a matter of time and needs when developers will get busy creating more tangible virtual platforms.
Moreover, investors (or residents) will be looking to take advantage of every opportunity they have while still being able to make money if they should decide to sell. The big platforms though, currently have limits on land purchasing via a single account, but there’s no guarantee that multiple accounts are not made, and the rules won’t change. Above all, do your research, and once you’re aware, you can take the next step.
Some people are still not sure whether they want to get involved with the virtual reality space as it doesn’t seem like a secure investment option yet. However, there are plenty of others who don’t agree and claim that this will be the next big thing when it comes to mass entertainment.
Any new technology can take some time to catch on, but metaverse virtual reality has recently had tons of exposure. So, if you want to place your bets now, you should go ahead and start investing in metaverse land. I hope this article resolves your queries on how to buy land in the Metaverse; we wish you the best of luck with your investing!
This post from Metaverse Insider aims to give information and provide access to information to investors to help them make their own decisions and is not meant to be interpreted as investment advice.