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Posted on Feb 28, 2022Read on Mirror.xyz

Why Do We Need To Focus On Cryptocurrencies In The Year Of The Metaverse Boom?

In 2021, Metaverse spread across the Internet. The discussion about the “Metaverse” has been ongoing. The term “Metaverse” has not yet had a uniform definition.

During Christmas 2021, Oculus, the VR app of Meta (Facebook), topped the US App Store free apps list.

In November last year, Qualcomm CEO Cristiano Amon revealed that Meta had sold more than 10 million units of Oculus Quest 2.

Meta founder Zuckerberg has publicly stated that about 10 million people need to use and purchase the VR content on a platform for the developers to continue R&D and make profits. Once this threshold is passed, the content and ecosystem will develop by leaps and bounds.

2022 will be the year of the Metaverse boom. How should we, the public seize this opportunity?

2022, the Metaverse boom

What do you think the Metaverse is?

From a macro perspective, in 2021, Facebook changed its name to Meta, while Microsoft bought Activision Blizzard for $68.7 billion. The Metaverse stocks have also experienced a remarkable surge. What is behind all these data? The rapid development of the Metaverse.

On a micro level, the Metaverse is increasingly permeating our lives. Recently, the Metaverse social app “Jelly” has been under the spotlight. After just over 20 days of its launch, the downloads of Jelly have soared at an astonishing rate. On February 11, it became the №1 app in the AppStore and has become the first social app to surpass WeChat since 2019.

Whether you support it or reject it, the Metaverse is developing in an unstoppable way, becoming the next big wave in 2022.

Rec Room, the AR/VR Metaverse social platform that just completed $145 million in funding, announced that more than 1 million VR players logged on to the platform during Christmas within a 60-hour computation period.

During Christmas 2021, Oculus, a VR app owned by Meta (Facebook), topped the US App Store Free Apps list.

Just as at the beginning of the millennium, there was a constant influx of people into the PC Internet era. Just as in 2010, people migrated from PC to the mobile Internet. Now, the Internet generation and generation Z is telling the world by action that the era of Metaverse is here.

Matthew Ball, a venture capitalist, said the Metaverse would be “a portal to most digital experiences, a key component of all physical experiences, and the next great platform for work.”

Opinion leaders, represented by Zuckerberg, see VR as the entrance to the Metaverse. Dennis Kuhnert, the developer of the VR simulator app Hand Physics Lab, said their app sales at Christmas were “unprecedented.” He further shared a sales chart. As you can see, there is a huge peak during Christmas:

As we can see, the rate of development of the Metaverse can be measured exponentially. So, besides the practitioners, what are the opportunities we players can seize to benefit/make money?

Why does the Metaverse need to cryptocurrency?

For some people familiar with the Metaverse, the name cryptocurrency is unfamiliar.

For some people familiar with the Metaverse, the name cryptocurrency is will not be new to them.

The Metaverse is inextricably linked to cryptocurrency. Therefore, it can be said that the exchange and circulation of cryptocurrency is an important cornerstone to open up the Metaverse world.

Behind the Metaverse, there will be a need to provide unlicensed identities, financial services, and high-speed exchanges. In addition, data must be stored to serve billions of people. The answer to these questions is the technology behind cryptocurrency.

Companies such as Decentraland and The Sandbox have developed virtual worlds that integrate cryptocurrency, allowing players to create and monetize structures such as virtual casinos and theme parks. In Decentraland, the currency used is MANA and can be purchased on exchanges such as MEXC.

Some in the industry generally believe that the Metaverse is not open to the public until stability is achieved for every asset and participant. However, this is an important prerequisite for the large-scale launch of the Metaverse.

In the past, cryptocurrencies were chaotic and their market was constantly changing, sometimes drastically. Even Bitcoin, the largest and most liquid asset in the industry, is prone to rapid fluctuations of 10%, which will increase as the risk curve of the crypto asset moves down.

In order to make the cryptocurrency system adaptive and not vulnerable, volatility is essential, but it will also put those who seek long-term stability in trouble.

Although no one can accurately predict what the Metaverse will look like or when its final form will arrive, the importance of cryptocurrency for its development is certain.

“You can think of characters in the Metaverse as digital assets. After they form an organization or guild, users can create, invest, own, rent, sell or buy it, just like in the real world.” MEXC Global pointed this out in a research report titled “Metaverse — the concept of virtual reality.”

For mass investors, choosing a reliable crypto asset trading platform has become particularly crucial.

On MEXC, there is a Metaverse Zone, which covers all the major Metaverse concept-based cryptocurrencies on the market, such as ALICE, AXS, MANA, RACA, SAND, SLP, TLM, VEMP, WSG, etc. The platform also provides options for 3x long/short leverage.

In addition, at the end of last year, MEXC Pioneer, under MEXC Global with the Metaverse Alliance, launched the Metaverse Hackathon with a grant of more than $50 million. Partnerships include star projects such as Polygon, Avalanche, and Republic.

As a platform with the most licenses to operate cryptocurrency trading in the world, MEXC adheres to the core of user needs. It is growing in a user-driven way.

Opportunities for the Common Folk

Like the Metaverse, the cryptocurrency world has become something called a meta-asset.

In the past few years, cryptocurrency has been negatively evaluated due to scams and speculation. Today, cryptocurrency has become mainstream. Venezuela has not only legalized Bitcoin mining but also issued state-backed cryptocurrency. Last October, it also launched its central bank digital currency (CBDC).

According to a report by PwC, the value of cryptocurrency mergers and acquisitions (M&A) soared from $1.1 billion in 2020 to $55 billion in 2021, an increase of 4846%. In terms of funding, the total value of such transactions increased by 645%, from $4.5 billion to $263 billion. The average amount also rose by 143%.

Global investment in cryptocurrency and blockchain soared from $5.4 billion in 2020 to a record $30 billion in 2021, an annual increase of 450%. The number of transactions in the same period increased from 627 to 1332.

More and more countries and enterprises are accepting cryptocurrencies. Recently, it was reported that the Bank of Jamaica would launch its digital currency soon this year. Andrew Holness, the Prime Minister of Jamaica, said the new plan would provide basic services for the country’s digital payment and promote further plans, such as financial inclusion, increasing transaction speed, and reducing citizens’ banking costs.

The Russian government and the Central Bank of Russia have reached an agreement on the future regulation of crypto asset circulation, according to a recent report by Russia’s “Businessman.” By February 18, they will draft a law in which crypto assets will be regarded as currency rather than digital financial assets.

In January this year, Walmart was rumored to be quietly preparing to enter the Metaverse and plan to create its own cryptocurrency and NFT.

“The Metaverse reflects the process of digital migration of human society. Metaverse is a development trend of human society that has begun, is ongoing and will continue to promote, but there will be no Utopian ultimate form,” said Zou Chuanwei, chief economist of Wanxiang blockchain.

Both Metaverse and cryptocurrency are increasingly seeping into real life. Besides accepting the arrival of this world, we can also actively lay in wait to catch up with the biggest wave in this era.