Big tech companies are still trying to transform the concepts of physical goods into the digital world as much as possible. Metaverse is gradually improving, internal assets such as real estate can be operated, allowing buyers to own, buy, sell or rent. Let’s learn about the hot digital real estate trend in the world right here.
1. Land NFT – Digital Real Estate
At the end of 2021, Tokens.com – a Canadian investment company, has spent $ 2.5 million to buy 116 virtual land lots on the Decentraland (Mana) platform. And until now, the lowest price of a virtual land lot for sale on Mana Market is about 12,000 USD.
SoftBank – a giant in the technology Industry, not long ago, also generously poured more than $93 million into the Sandbox project to develop Land NFT in this platform.
So what is Land NFT, and how is it used to make money that it has become so feverish?
Land NFT is a digital land that uses Blockchain technology to encode NFT that users can own on the metaverse platform. In addition to trading to earn the difference, Land NFT is also used to:
- Advertising: similar to real life, if your property is located in a popular tourist destination, you can rent out space to place ads.
- Socializing: with 3D space, you can organize events, virtual reality conferences, community meetings,…
- Gaming: GameFi projects often use Land NFT to provide resources to build and develop items.
- Work: Land NFT is also used as a virtual office; users use 3D avatars to role-play and interact with each other in the same space.
The sale and exchange of digital real estate (Land NFT) have brought a great source of income for many people. The price of digital real estate is influenced by utility, project, and market speculation (value of NFT).
2. Two digital real estate trends in the world.
2.1 Land NFT is created from imagination and creativity.
In this trend, project developers build a 3D world based on their creativity and imagination, typically GameFi projects.
Notably, the Axie Infinity project also made the market panic when it announced that it had successfully sold real estate in the game for 2.3 million USD. Axie Infinity is a GameFi project with a “play to earn” mechanism inspired by the Pokemon game using tokens called Sky Mavis. The virtual lands in the game are purchased by the player and then built to be used as a place to develop items. Then sell this “fertile” item or piece of land through the market to make money.
2.2 Land NFT simulates geographically exact 3D virtual planet.
Mars4 is the world’s first virtual land project that accurately simulates Mars geographically through 3D technology based on real geographic data provided by the US National Aeronautics and Space Administration (NASA). Investors can buy and sell land plots in the form of NFT, each lot is 1,448 km wide. In addition to making money by buying and selling digital real estate, Mars4 also plans to develop a play to earn model similar to that of the Axie Infinity game project.
So what do you think about a Digital Twin of the Earth? A metaverse between virtual reality and physical reality, in which real-world geographic locations on a map correspond to a digital virtual environment. You can own a virtual land on a digital replica of the Earth exactly as you can own a real land. With the trend of a contactless economy, you can completely develop a virtual land into a business location, build a shopping mall, store,…for rent and sale.
One day, people’s lives from business, study, entertainment, travel,… will be digitized onto the metaverse and take place in parallel with real life.