A few years ago, it would have seemed preposterous to invest in land that was already practically owned. Nowadays, the price of virtual real estate is in the hundreds of thousands of dollars (though converted into cryptocurrency). Purchasing virtual real estate is the next big thing after purchasing digital art as the metaverse approaches, and investors and crypto fans are going all in.
You might be shocked to learn that there are many parallels between the virtual and real estate markets, particularly in terms of the variables affecting pricing. Here is our detailed guide if you are interested in purchasing virtual real estate or are still unclear about what it entails.
what is metaverse
The metaverse, to put it simply, is the internet of the future. Since there is no single, accepted definition of it, it is difficult to adequately describe. The phrase was initially used in Neal Stephenson’s 1992 book Snow Crash. The metaverse in the book was only a virtual realm populated by people from the actual world who might not be in the same physical location as others around them.
In Ready Player One, a brilliant story that was made into a blockbuster movie, the idea was further developed. Imagine the metaverse as a network of virtual and augmented reality-enabled 3D simulations of real worlds. In essence, the metaverse will let you to experience the internet rather than access it through a computer.
What is virtual land?
Since it isn’t solid, the idea of virtual land is comparable to that of actual land. Land is typically divided into different zones in each metaverse, with certain blocks having higher value than others (similar to actual neighborhoods).
The creation of virtual worlds or other metaverse initiatives can then be done using this digital real estate. Decentraland, a blockchain-based platform that lets users to buy, sell, and trade land plots in a 3D virtual environment, is one well-known example of this.
On the Ethereum blockchain, each plot of land represents an immutable record that enables users to do whatever they want with their property without interference from outside parties.
Why Purchase Metaverse Virtual Land?
ROI and bragging rights are two motives. In the metaverse, a lot of new projects for virtual real estate are beginning. The idea is the same whether you create or purchase an NFT: you are the owner of this digital asset, and because it is recorded on the blockchain, anyone can confirm its legitimacy. Your virtual property can be rented out for parties or high-end events, or you can sell it later when it has appreciated.
On it, you may also construct a virtual home that you can rent out, as well as erect a virtual gallery where aspiring artists can exhibit their works.
How to Purchase Virtual Property in the Metaverse
Here’s what you need to do if you want to purchase virtual land in the metaverse.
1. Obtain a digital cryptocurrency wallet.
Getting a digital crypto wallet is the first step. You must first get a wallet in order to purchase and store your cryptocurrency because you cannot purchase virtual land with fiat currency. The wallet you select ought to ideally work with your browser.
There are other choices, including MetaMask and the Trust Wallet. If you’d like, you can also utilize the Binance Chain Wallet. It’s best to first confirm that the wallet accepts the cryptocurrency you plan to use to purchase virtual land, though. Here’s how to set up a MetaMask wallet without one.
2. Choose a Real Estate Platform
You can purchase real estate on numerous virtual metaverse sites. The two most well-liked choices are Sandbox and Decentraland. OpenSea is an excellent choice, though, if you wish to purchase from a third party.
First-time purchasers should choose OpenSea since it allows you to compare prices without frequently jumping between platforms. Based on the virtual community the property is in, you can evaluate costs, amenities, and value.
The greatest places to go if you want in-depth information on where you’re buying your virtual property are Sandbox or Decentraland. This will also help you to understand your neighbors better. Although the procedures are generally the same on all platforms, Decentraland will be the platform we’ll be using for this guide.
3. Look through and choose a piece of land
All that is left to do is browse the various available plots of land and choose the one you wish to purchase. You may check how far away from more well-known locations your property is. Properties near well-known locations typically command higher prices.
Simply click on the land you want to purchase to view the information that is available. You can purchase virtual property on Decentraland using either ETH or MANA. You can look at the prices, make a bid, or make a direct purchase. Nevertheless, you must first connect your wallet to the platform in order to make a purchase.
4. Set up Your Wallet
You must link your wallet to your account in order to finalize your purchase. Simply click Jump In and sign up with your wallet after that.
Your virtual property will be given to your wallet as soon as you join up and confirm your purchase. That virtual asset will officially belong to you, and anyone can check its veracity on the blockchain.
It’s vital to remember that there is a petrol fee, so make sure you have more money than what is indicated on the screen. Or, if you’d like, you may place a bid. As owners can choose to accept or reject it, this offers you space for bargaining.
5. Validate Your Purchase
As long as the price is agreed upon and you have enough money in your wallet, the purchase will go through. Your wallet has a confirmation of your virtual property. For Trust Wallet users, navigate to Collectibles. Visit NFTs to receive a purchase confirmation for MetaMask.
Conclusion
Owning land in the metaverse could be a wise investment, as I’ve shown in this post. Also, it gives blockchain gaming an interesting new dimension.
Nonetheless, the choice to own real estate in the metaverse is entirely up to you. In the metaverse, keep in mind that you can also rent land, which could be a wonderful choice if you’re not quite ready to buy.
How to Buy Land In The Metaverse FAQ?
I’ll concentrate on the two most popular ways to make money if you own land in the metaverse, selling and renting.
How Can Metaverse Land Be Sold?
You must put your metaverse property up for sale if you’ve opted to do so with the intention of making money. You can accomplish that through a real estate agency, secondary marketplaces, or the platform’s marketplace.
You must also choose whether you wish to sell your land at a predetermined price or at an auction. If you select the latter, you must choose the cost. Obviously, you’ll want to sell it for more money than you purchased.
Do some study first to make sure you’re not asking for too little or too much for your land. Look at various marketplaces to find out how much metaverse land is now selling for. It also doesn’t hurt to look at the state and potential future of the crypto market as a whole. You can decide more wisely if you have this information.
How Does the Metaverse Rent Land?
You can rent out your metaverse land to other users if you want to make money off it without selling it. You are still the landowner in this scenario, but a user who rented it may utilize it for various purposes, like mining.
It’s a fantastic chance for passive income, which is even another fantastic reason for buying land in the metaverse.