With technologies aimed at moving us forward into a new era of digital connectivity, the metaverse has gained more momentum than ever in 2022.
With Facebook rebranding itself as “Meta”, the whole world has started looking for opportunities to explore this incredible new technological revolution. If you’re wondering how to buy virtual land in the metaverse, this article is definitely for you!
Towards the end of December 2017, Decentraland held its first virtual land auction, where plots of virtual real estate sold for around $20. Towards the end of 2021, the price of plots increased to $6000. By mid-2022, prices had more than doubled to about $15,000 per plot.
More and more celebrities are becoming interested in metaverse virtual plots. In 2021, one of the largest sales was a purchase made at The Sandbox, on the property adjacent to Snoop Dogg’s land parcel, for $450,000.
The possibilities of this new digital realm are limitless, and the goal is to create a fully immersive replica of our current physical world, without any of the physical limitations! Very soon, many people will be living their lives in the metaverse daily.
These digital spaces will mirror our world and become increasingly real, interactive, and adaptive.
This also creates a unique opportunity for individuals and companies to invest and make money.
Like most real-life investments, real estate is widely known to be one of the safest and most lucrative sectors to invest in.
What if we told you that you can also buy land plots in the metaverse? Since the concept is evolving, there is huge potential for a great return on investment (ROI). This article provides a step-by-step guide on how to buy digital metaverse real estate in the metaverse, along with the risks involved in the process.
What is the Metaverse?
With all the hype of today’s marketing, one may ask, “Is land in the Metaverse a good investment?” and many questions often arise about “How to buy virtual real estate in the Metaverse?”.
Virtual real estate in the Metaverse is already extremely popular, so you should benefit from it too, as the virtual real estate market is still nascent. Many celebrities, big business, fashion brands and companies from around the world have already entered the Metaverse, buying, selling and profiting, all in a digital marketplace.
Metaverse land can only grow in value. So maybe you should buy metaverse land? Thousands of developers work 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 the hope of making a profit. And they have been exceptionally successful.
It allows players or users to manage tools that allow them to generate avatars similar or better than their own, socialize, work and make profitable investments. Although we want to clarify that this is not a investment advice. Below we explain how to buy virtual land in the metaverse.
What is a defining feature of metaverse?
Best metaverse casinos to try now
What are the different types of Metaverses?
A metaverse is like an interconnected network of various three-dimensional virtual worlds that are connected to the Internet. People enter these spaces using augmented VR, which has made this digital world accessible to anyone in the real world. Understanding the types of metaverse land is key to learning how to buy land in the metaverse.
Metaverse lands are expanding rapidly, and we have discovered three very unique types of metaverses. Some focus more on their internal construction, providing the user with an intimate opportunity to explore the worlds within, while others focus more on external exploration, making it possible for users to reach other universes by traversing a path to other existing lands.
1. Centralized Web 2.0 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 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 foundation of the Web 3.0 space, and you can also see instances of a digital marketplace where you can pay for accessories for your avatars. Fortnite has its digital currency, “V-Bucks,” which you have to buy to get items from its store.
2. Centralized Web 3.0 Blockchain Metaverse
The main benefit of Blockchain-based metaverses is that it enables the evolution of interactions and digital assets across multiple Blockchain-based metaverses.
Non-fungible tokens (NFT) can be traded or exchanged across cryptocurrencies in primary and secondary markets. However, user data is managed by a third party. Among the most popular centralized blockchain metaverses are ‘Earth2’ or ‘Meta’. These projects offer great potential to maximize RO by learning how to buy metaverse real estate.
3. Decentralized Web 3.0 Blockchain 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 metaverse. The major advantage of this type of metaverse is that it is based on the premise of “fractional ownership”, meaning that the decision-making power is not in the hands of a single individual or organization.
All token owners have a say in decisions. Logan Paul, a Youtube celebrity, has also launched a DAO-based collection of NFTs called 99 Originals, where each NFT offers certain utilitarian benefits to the holder. Not all metaverses offer a DAO-based feature, so it is essential to learn tips on how to buy metaverse land and what features to look out for.
How to buy land in the Metaverse?
If you want to buy land that belongs to a virtual world that offers the potential to increase in value, then it will be necessary to obtain cryptocurrencies first. If you’re thinking of purchasing land on Decentraland, for example, you may need to purchase 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 landowners or investors.
Once you learn how to buy land in the metaverse, you can keep an eye out for attractive virtual properties with great potential and increase your chances of profit.
Land transactions in the metaverse are recorded similarly to NFTs, like all crypto digital assets. Therefore, the next thing you need is a crypto 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: Selecting a metaverse platform
Choosing the right platform for your metaverse land is an important decision that greatly affects the success of your investment. Each platform offers its guidelines on how to buy land in the metaverse, so it’s important to review them before deciding.
It all depends on what you plan to do with your land purchase, but keep in mind that there are many different options out there, and each offers unique features that you’ll need to consider to make the right decision for you once you’re aware of how to buy metaverse real estate.
If you’re curious, there are several places where you can purchase land plots in primary and secondary markets. Some of the best places are:
Decentraland is metaverse platform built on the Ethereum blockchain, which is a technology that enables the creation of new tokens and smart contracts. These new tokens are called NFT (Non-fungible Tokens), and each token represents a parcel of land on the decentralized platform. Decentraland is what most metaverse platforms are aiming to become, a clear leader in the space.
Axie Infinity is a role-playing game and trading platform that allows players to develop their Axies in the virtual world, which are digital creatures based on blockchain technology. Axies are for sale and trade along with their accessories, and each has many unique features. The virtual world is called Nursia, where there are 7 types of terrains, each with its utilities and quirks.
Aavegotchi is an open-source, cross-platform virtual reality game (digital world) built on the Ethereum Blockchain. Players use these unique avatars in this 2D and 3D universe to trade with other players and explore exciting locations around the globe. The Gotchiverse offers parcels of land that can be purchased. The Gotchiverse community is very strong and can help guide new buyers on how to purchase land in the metaverse.
The Sandbox currently holds the largest number of plots (over fifty percent) of any platform, totaling just over one hundred and sixty thousand. This new platform aims to bring the virtual land back into the limelight by offering a steady increase in both the population and price of each parcel as it becomes more desirable as an investment.
5. Bit Country
Bit Country is an exciting new startup that has just entered the metaverse. This platform uses blockchain technology, which is based on the idea of layers or frameworks and a thin substrate that allows developers to build custom environments through lines of programming. The network has gained popularity in recent 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 be taken into account when buying virtual land in the metaverse.
6. Matrix World
Matrix World is the newest contender to join the list of blockchain applications that have started selling virtual land parcels. The transaction process is simple and, by using Blockchain technology, all transactions are honest and done without the need for a central agency. Matrix Environment is a 3D version where users can even build their virtual land to their liking. They can also buy/sell other lands through a global marketplace which, potentially, could be incorporated into an app if plans go that way.
Somnium offers several plots of different sizes, giving you the option to create your own space within the universe. You can choose from three options: extra large, medium, or small. You can also choose which side of the street you want to locate on the waterfront or roadside property. As you research how to buy property in the metaverse, it’s important to remember that location matters a lot when buying land.
8. NFT Worlds
NFT Worlds is a regionalized metaverse where users can own and control each virtual worlds. They are based on resource information and chain data. Each player can generate their terrain and set of peculiar characteristics. Their worlds are 16,000,000 × 16,000,000,000 blocks in size, giving players virtually infinite space to expand their domain as they see fit.
Cryptoverse is an adaptable, spontaneous, and exciting place. Cryptoverses will have access to an enormous amount of inspired wisdom and information. Ownership, interoperability, versatility, convenience, and fluidity are some of the terms users think of when they think of the game. Parcels can be purchased directly from their website.
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. When doing your research on how to buy land in meta, be sure to check compatibility with the metaverse platform you would like to use before making a decision.
Best and most secure crypto wallets.
Step 3: Linking your wallet to the metaverse
Each metaverse platform has its registration process. You will first need to create an account and then link your wallet. The process of linking your wallet is extremely simple; there are browser extensions you can install that complete the integration for you.
Step 4: Buy crypto and move it to your cryptocurrency wallet
You can buy crypto using marketplaces like Binance. If you are not sure how to buy crypto feel free to check our guide. Once you’re 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 or debit card to buy the corresponding cryptocurrency and transfer it to your wallet.
To buy MANA and ETH on Binance:
- Transfer money to your Binance account.
- On Binance, you can exchange the USD you have for MANA. Currently, MANA works with Ether (ETH), which means that if you want to convert your government-issued money, you’ll first need to get your hands on some ETH.
- Then exchange it for the native token used by the metaverse platform you want to buy on.
- Once you’re logged in, click on the links that say “Markets” or “Exchange.”
- Look for the coin pairing you want to use.
- Under “Buy”, choose the amount of crypto you need and complete the transaction.
- Carefully read the information, prices, and fees.
- Carry out the transaction, and you are done with the purchase.
You can transfer from your external account or purchase as mentioned above.
Step 5: Selecting your first piece of digital property
Finally. You’re all set to buy your parcel of metaverse land. Now the only hurdle is to determine which land is going to be valuable. If you see one, you can either “bid” on it or buy it for the price mentioned.
If you want to 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 bid is accepted, you are done. If not, the amount will return to your wallet.
What are the risks of buying land in the metaverse?
After understanding how to buy in the metaverse, it is also important to consider the risks. As with any other investment, there are numerous risks when buying metaverse land.
1. No banks or government agencies
Buying metaverse land means your investment may be on the line. It is similar to buying into Crypto and NFTs.
Owning and buying virtual land can be more difficult than owning and buying a house in the real world.
If something goes wrong with your virtual property or your transactions, there is no government agency or bank to help you get restitution or give you your money back if you lose due to an unexpected catastrophe beyond your control, such as unethical business practices of the other party involved or even legal issues, for example.
This is precisely why learning how to buy metaverse land is extremely important, namely to avoid losing your hard-earned money.
2. Risks associated with digital assets
Even if these issues are overcome, there is also a technical consideration. Since these transactions are in cryptocurrency and NFT, one has to feel confident in their ability to store them securely for the long term or risk losing them completely to someone who may acquire their assets.
It is important to make sure that the stored information is encrypted and has adequate backup in case of data loss or any other event that could render it unusable; otherwise, you are throwing money down the drain due to misplaced trust! Many people are not even sure how to buy virtual real estate metaverse and end up on third-party scam sites. It is important to stick to reliable providers, to reduce the risk.
In general, 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 have to recognize that certain types of computers in the future might be able to hack into blockchains and steal your coins, which can happen in traditional markets as well with virtual currency exchanges. Again, however, these risks may or may not arise.
The only way to mitigate the risks is to learn how to buy metaverse land by looking for metaverse reviews and analyzing current market trends.
How to avoid NFT scams?
3. Supply and demand: Valuation considerations
Finally, we cannot overlook the more vital question of abundance and scarcity when considering the Metaverse.
Real-world land is constantly increasing in value largely because it is limited. Indeed, with a growing population, real world real estate increases in value. However, it is only a matter of time and necessity before developers set about creating more tangible virtual platforms.
In addition, investors (or residents) will be looking to take advantage of every opportunity that comes their way while still making money if they decide to sell. However, the big platforms currently have limits on buying virtual land through a single account, but there is no guarantee that multiple accounts will not be made, and the rules will not change.
Above all, do your research, and once you are aware, you can take the next step.
Some people are still unsure about wanting to get involved in the virtual reality space, as it still doesn’t seem like a safe investment option. However, many others disagree and claim that this will be the next big thing when it comes to mass entertainment.
Any new technology can take time to catch on, but metaverse virtual reality has recently had a lot of exposure. So, if you want to place your bets now, you should get ahead of the curve and start investing in the virtual land of the metaverse. I hope this article solves your doubts about how to buy virtual land in the Metaverse.