Are you perplexed as to why so many individuals are buying virtual real estate? Tatiana Revoredo, an expert, breaks everything down for you.
Many of us sat back and observed as investors flocked to the metaverse to buy land. Auctions were used to finalize some transactions.
Alternatively, the investor may have purchased land in virtual worlds such as Decentraland and The Sandbox at a predetermined price. But why are they purchasing this fictitious property?
A metaverse real estate
The "skeuomorphic" technique is used by established virtual worlds to guide the acquisition of digital real estate. Skeuomorphs make something unfamiliar feel familiar in order to aid comprehension and acclimatization.
They contain elements that were present in the original object but are no longer necessary in the new system. Many new electric automobiles, for example, do not require a grill on the front of the vehicle to cool the engine utilizing airflow.
However, they do have attractive grills, so the car does not appear odd.
In this sense, land must be a scarce resource in virtual worlds, just as it is in the physical world.
Prices for virtual land, which were roughly $20 each in 2017, have been steadily rising over the years, with "the 2021 NFT wave" ushering in a big leap forward.
In the metaverse, land now sells for anywhere from $6,000 to $100,000. It may even fetch $4.3 million. The Republic Realm, a virtual real estate development corporation, spent this sum for a property in The Sandbox.