Your Guide to the World of Metaverse

Nowadays, the connections between the financial, virtual, and physical worlds are increasingly getting linked. The devices we use to manage our lives enable us to access almost anything we want at the tap of a button. The crypto ecosystem hasn’t looked over this either. NFTs, crypto payments, and blockchain games are not just limited to crypto geeks now. They are now all easily accessible as part of a developing metaverse.

What exactly is the Metaverse?

The metaverse is a concept of an online, 3D, virtual medium connecting users in every aspect of their lives. It will bring together multiple platforms, similar to the internet having different websites accessible through a single web browser.

The concept of Metaverse was first coined in the science-fiction novel Snow Crash by Neal Stephenson. Nevertheless, while the notion of a metaverse was once fiction, it has now turned into a reality.
The metaverse isn’t wholly in existence, but some platforms have metaverse-like components. Video games currently offer you the closest metaverse experience. Developers have exceeded expectations of what a game is using hosting in-game events and creating virtual economies.
The metaverse will be driven by augmented reality, with each user controlling a character or avatar created by them. For instance, you might head a mixed reality meeting with an Oculus VR headset from your home, finish work and engage in a blockchain-based game, and then review your crypto portfolio and finances all from inside the metaverse.

Besides enabling gaming or social media marketing, the metaverse will bring together world economies, digital identity, decentralized governance, and other impactful applications. Even now, user creation and ownership of valuable items or currencies help build a single, united metaverse. All these features enable blockchain to power this future technology.

How are video games associated with the metaverse?

Because of the prominence of 3D virtual reality, video games offer the closest metaverse experience you can have currently. This isn’t just because video games are 3D, though. Video games now offer services and features that take over other aspects of our lives. The video game known as Roblox hosts virtual events like concerts and meetups. Players don’t just play the game anymore; they also consume it for activities and parts of their lives in “cyberspace”. For instance, in the multiplayer game Fortnite, 12.3 million players participated in Travis Scott’s virtual in-game music tour.

How are crypto and metaverse connected?

Gaming gives you the 3D aspect of the metaverse but doesn’t provide everything needed in a virtual world. Crypto can provide the other key parts required like digital proof of ownership, transfer of value, governance, and accessibility. But what do these terms mean exactly?

If in the future, we work, socialize, or even buy virtual items in the metaverse, we need a safer way of displaying ownership. We also need to feel secure transferring these items and money throughout the metaverse. Lastly, we will want to play a role in the decision-making around the metaverse if it’s going to be such a large part of our lives.

Blockchain developers take inspiration from the video game world, too. Gamification is common in Decentralized Finance (DeFi) and GameFi. It seems there will be ample similarities in the future that the two universes may become even more integrated.

The key features of blockchain suited to the metaverse are:

1. Digital proof of ownership: By possessing a wallet with access to your private keys, you can prove ownership of activity or an asset on the blockchain. For instance, you could show a transcript of your transactions on the blockchain while at work to display accountability. A wallet is one of the most protected and robust methods for creating a digital identity and proof of ownership.
2. Digital collectability: Just as we can establish who owns something, similarly, we can also prove that an item is original and unique. For a metaverse looking to include more real-life activities, this is crucial. Through NFTs, we can build objects that are unique and cannot be copied or forged. A blockchain can even show ownership of physical items.
3. Transfer of value: A metaverse has to have a way to transfer value safely that users will trust. In-game currencies in multiplayer video games are less secure than cryptocurrencies on a blockchain. If users start spending more time in the metaverse and even earn money there, they will require a reliable currency.
4. Governance: The ability to control the rules of communication with the metaverse should also be crucial for users. In real life, we have voting rights and elect leaders and governments. The metaverse will have to find ways to implement fair governance, and blockchain has already a proven way of doing this.
5. Accessibility: A wallet in the metaverse is open to anyone around the world on public blockchains. Unlike creating a bank account, you don’t need to pay any money or provide any specific details. This feature makes metaverse one of the most accessible ways to manage finances and online, digital identity.
6. Interoperability: Blockchain technology is continuously upgrading compatibility between various platforms. Projects like Polkadot (DOT) and Avalanche (AVAX) enable creating custom blockchains that are able to interact with each other. A single metaverse must connect multiple projects, and blockchain technology already has solutions for this.

What’s the future of the metaverse?

Facebook is one of the loudest advocates for the creation of a unified metaverse. This is especially interesting for a crypto-powered metaverse because of Facebook’s Diem (stablecoin project). Mark Zuckerberg has openly mentioned his plans to use a metaverse project to improve remote work and give financial opportunities for people in developing countries. Facebook’s wide ownership of social media, communication, and crypto platforms give it a kick-start bringing all these worlds into one. Other large tech companies like Microsoft, Apple, and Google are also jumping in to have a piece of the metaverse.

When we talk about a crypto-powered metaverse, further integration between NFT marketplaces and 3D virtual universes seems like the next logical step. NFT holders can already trade their goods from multiple platforms on marketplaces like OpenSea and BakerySwap, but there isn’t a popular 3D platform available yet.

While a single, united metaverse will likely take a bit more time, we already can see small developments that may finally lead to its creation.