Piers focuses on everything related to games and NFTs at Delphi Digital, a research-driven company focused on. In retrospect, it will be obvious that the role of cryptocurrencies in the Metaverse was the most imperative, but least explored by those speculating on its emergence. The luxury brand strategy has always been driven by the consumer's desire to own something that many don't have. As such, luxury fashion houses can meet this demand by continuing to offer exclusive clothing and accessories with limited availability.
By complementing the physical with the digital, these brands will perpetuate their brand identities while capitalizing on their digital assets in a new market, the Metaverse. One definition describes the metaverse as the sum of all virtual worlds. Imagine, for example, if the game universes of multiplayer online games (MMOG) such as World of Warcraft, Runescape and Second Life were connected, with their own currencies and economies. This collective virtual space could exist permanently parallel and independent of the real physical world.
In this space, people could continuously interact with each other in real time. However, back to Meta-Fi, its prominence has grown due to the exponential growth in demand for non-fungible tokens (NFT) by users of new and traditional cryptocurrencies. NFTs are incorporating a new type of user, in which decentralized finance (DeFi) has fallen short. An explanation for this trend may be due to the more digestible nature of NFTs compared to DeFi.
Factions of millennials %26 GenZ alike who have no prior knowledge of finance or financial products are gaining an active interest in this sector in which they were not involved before. In crypto games, not only are there channels for very direct exposure, but you are also offered a variety of options on a tray. With cryptocurrencies, a large clan would not have to choose, but could defend a collaboration proposal between the two. Once a novel Internet concept, cryptocurrencies are now often worth thousands of dollars and having them has become a way of signaling wealth, with “crypto brothers” dominating social media.
While users should prefer solid digital products like they prefer solid money, holders are unlikely to support adoption and crypto-native social worlds are unproven and require considerable time and effort. Regarding the roles that cryptocurrencies and NFTs will play in Metaverse's content creation business, Spio further states that virtual currencies are the most natural means of payment in Metaverse. What makes the crypto sphere unique is that there are no licensed appraisers or pawn shop operators to determine the value of the collateral. But all of this is only possible if consumers have the resources and education about the cryptocurrency industry and blockchain in general.
These NFTs have a relative value in ETH (or other preferred cryptocurrencies); this VALUE is usually valued by secondary markets. As concepts such as direct-to-avatar trading come to the fore, it's important for companies to stay vigilant and become familiar with the new crypto tools that are likely to intersect with these trends. Where previously access to resources and services had to be mediated by trusted third parties, along with their privacy, censorship and inherent transaction costs, these can now be replaced by cryptoeconomic systems. Digital assets and cryptocurrencies seem to be perhaps the most imperative, but least explored, of the previous verticals to drive the emergence of a true Metaverse.
Other crypto-infused virtual reality worlds, such as Somnium Space and Cryptovoxels, have achieved such a degree of interoperability that you can play inside each other. In a nutshell, anything that can be sold for a lot of money can become a status symbol, and these have come to include crypto and NFTs. I think it's up to the cryptocurrency industry to create a deeply compelling experience that demonstrates all the new features available to us. Cryptocurrencies could become the only legal tender used in the metaverse, with all virtual objects and intangible items expressed as NFTs.