If you have always dreamt of becoming a property owner, now you have a chance to make your dreams come true from the comfort of your couch. You no longer have to venture out to check out new property to buy. You can buy Metaverse real estate right from your home.
But before you get your wallet out, here is a thorough introduction to Metaverse real estate and how buying virtual land works. We will also guide you through the exact steps required to own a piece of Metaverse land and how you can turn it into a thriving virtual business. Finally, we will also discuss the risks associated with launching a VR-based business on Metaverse real estate.
What is Metaverse Real Estate?
Metaverse real estate is a piece of virtual land that you can buy in the form of digital pixels. Just like you would in the real world, you can turn this property into anything you want. You can invite people to socialize, attend concerts, or even conduct trades.
Why Should You Buy Metaverse Real Estate?
Metaverse real estate attracts investments just like physical land in the real world. People around the world have invested heavily in Metaverse land, with a virtual real estate investment firm buying a $4.3 million digital property.
If you pick the right property and convert it into a money-making venue, you can generate a neat profit. For example, if you convert your virtual real estate into a concert or entertainment venue and charge an admission fee to each user who enters, you can start seeing a good return on your investment. This is an easy way for new business owners and budding entrepreneurs to start an online business.
Metaverse real estate can also be used for advertising, trading NFTs, or even buying and selling properties like you would do in the real world.
How to Buy Metaverse Real Estate?
Buying and selling Metaverse real estate is easier than buying and selling real-life property. The digital access and remote-friendly process make it easier for anyone to own virtual real estate, no matter where they are from.
But this does not mean you can start the process without any preparation. We recommend doing your own research and having all the necessary tools ready before you go property hunting.
Here’s how to get started.
Setup Your Devices and Internet Connection
If you are ready to start investing in virtual land, you first need to get your basics together. You would need a device to access Metaverse. This can be a computer, a laptop, or even a smartphone. Of course, you also need a good internet connection to stay online throughout the process.
Get a Digital Wallet
To invest in Metaverse real estate, you need a digital wallet. Traditional online payment options like PayPal probably will not work because Metaverse real estate is bought and sold through cryptocurrency. To buy Metaverse land, you will have to get a digital crypto wallet. Some of the best options are:
Metamask
- Works as a browser extension.
- Available as a mobile app.
- Excellent choice for Defi, Web3 Dapps, and NFTs.
- Millions of active users to trade with.
- Open source software.
- Enables automatic account backup.
Coinbase
- Allows time-delayed withdrawals.
- Tutorials for new investors.
- Easy-to-use mobile app.
- Storage for NFTs and metaverse tokens.
- Crypto rewards for regular users.
Enjin
- Has its own marketplace.
- Offers early access to various upcoming metaverse and Defi projects.
- Hosts a diverse NFT collection.
- Excellent user-interface.
Alpha Wallet
- 100% open source.
- User-friendly app.
- Offers handy tagging and filtering tools.
- 12-word security key.
- Connects to the NFT marketplace.
Research Property and Crypto Options
Everyone has their own crypto preferences, so it is a good idea to check out the properties you are interested in before buying the crypto to invest in virtual land.
To do this, you can visit third-party sites like OpenSea.io or NonFungible.com that let you browse through Metaverse real estate properties. These sites will give you plenty of information about the virtual land you are interested in, so you can be sure you are ready to invest in this property.
After all, even if it is virtual, Metaverse land does not come cheap. So just like you would approach a real-life major purchase, it helps to do some market research before investing.
Buy Relevant Crypto
Each property may require you to use different types of cryptocurrencies to make a purchase. For example, if you are buying property in The Sandbox, you would need to purchase SAND, an Ethereum token that powers The Sandbox.
You can buy crypto from any of the cryptocurrency broker sites. Most well-known investment websites and apps like Robinhood, Coinbase, Kraken, Charles Schwab, and Webull let you trade crypto. Each platform has its own fees, and pros and cons, so we recommend going with a provider you are already familiar with.
Create an Account on Metaverse Platforms
Once you have researched properties and crypto options, it is time to start making the purchase. The first step would be creating an account on your desired Metaverse platform. The most popular ones are:
- Decentraland
- The Sandbox
- Celebrity Atlas
- Metahero
- Illuvium
- Axie Infinity
- Cryptovoxels
Pick the platform where you want to buy Metaverse land and create an account.
Link Your Crypto Wallet
Once your account is ready and accessible, you can connect your crypto wallet to enable payments. Each wallet may have a slightly different connection process, but they are all fairly simple.
You can find the instructions on the property buying page, and it works just like connecting a normal currency wallet to your usual shopping website.
Proceed to Buy
Now the fun begins. Once you have your wallet ready, property selected, and cryptocurrency bought, you can proceed to buy your Metaverse real estate.
Where to Buy Metaverse Real Estate?
Most of the Metaverse land is owned by Decentraland, Sandbox, Somnium Space, and Cryptovoxels. So when you are ready to buy, you can purchase directly from them, or use a third-party site to make the transaction.
Let’s dive deeper into each of these platforms to see which one may be the right fit for you.
Sandbox
You can think of Sandbox as one of the leaders in the world of Metaverse land. The Sandbox’s NFT marketplace is a thriving place for trading NFTs and selling NFT creations by artists, making it a popular option among tech and investing enthusiasts.
For property investors like you, Sandbox offers two types of virtual land: LAND and ESTATE. LAND is a smaller unit, comprised of 96 x 96 meters in the game world, while ESTATE consists of several such units, giving you a much larger area to work with.
When you buy LAND or ESTATE in the Sandbox, it may be best used for letting people play games and experience fun virtual activities. You can charge for these services to get a profitable return on your investment.
Decentraland
Decentraland is an Ethereum blockchain-based 3D virtual world that works on MANA tokens. It is excellent for creators to develop niche communities and attract traffic to eventually convert into paid users.
Decentraland is also quite popular among business owners as the platform hosts all varieties of virtual businesses. From casinos to architecture, entrepreneurs and users have a lot to experiment with, making it one of the top four Metaverse platforms.
Before setting up a business, you can explore the Metaverse land by socializing, attending concerts, playing golf with other users, or just exploring the vast map by yourself. This will give you a better idea of whether investing in Metaverse real estate in this region will suit your goals.
Once you are ready to make a purchase, head to the Decentraland Marketplace. You will see a map-like feature to explore all the virtual land available to buy. Once you find something you are interested in, you have two options. You can buy it directly at the asking price. Or, if you want to save some money, you can choose to negotiate the price by bidding.
Cryptovoxels
Cryptovoxels is a lot like Minecraft, except this one is NFT-based. You can buy land and use it to add and remove blocks called voxels. The best part is you get to make the space your own. You can add audio, images, buttons, and even GIFs.
Here, you can start your own art galleries, build entertainment venues, develop houses, and invite users to play games. Cryptovoxels is versatile, so feel free to get creative here.
If you are interested in buying Metaverse real estate here, just go to the OpenSea Cryptovoxels marketplace. Pick the virtual land of your choice and press “Buy now.” Pay for it with your digital crypto wallet. That’s it. The Metaverse land is yours.
Somnium Space
Somnium Space is one of the best places to buy and sell Metaverse land. It is an open-source VR world offering a wide range of experiences in the same digital space.
As someone interested in buying virtual land, you can pick between three types: small, medium, and extra-large parcels. You have a further choice to pick between the waterfront and roadside properties so you can build a virtual business that is completely aligned with your personal style.
Everything is easy to monetize in Somnium Space, so you can generate a decent profit on your initial investment. For example, you can set up a digital studio in your virtual land and start selling tokenized digital assets and avatars.
Just like other options on this list, you can buy Metaverse real estate in Somnium Space by purchasing parcels from the OpenSea Marketplace. You can also buy virtual land directly from the platforms by connecting your digital wallet to the in-platform marketplace.
Other Platforms to Buy Metaverse Real Estate
While the big four we described above are the best places to invest in Metaverse real estate, these are not your only options. Today, you can buy virtual land in a wide variety of ways from a wide range of sellers. Some other platform options include Star Atlas, Axie Infinity, and Aavegotchi.
What are the Risks of Investing in Metaverse Real Estate?
Any investment, whether real-life or virtual, comes with some level of risk. There is no such thing as free money, not even in the digital space. There is no guarantee that you will make a profit by launching an online business on a virtual land. But the same can be said for any real-world business.
The success of any business depends on various factors, so the same risks that business owners experience in the physical world may be experienced by Metaverse entrepreneurs.
The biggest difference though is that Metaverse is still a new industry for many customers. You have a smaller audience in the virtual world as a large chunk of the population has not experimented with virtual reality yet. Even among regular users, many players only enter the Metaverse to play games and explore new experiences without having to spend a lot of money upfront. Another issue is, it may be harder for people to invest a bigger sum on online experiences that “do not exist.” For example, it can be more challenging to justify spending money on a virtual concert than on a real one.
This can make it harder to find a lot of paying customers. But don’t let it discourage you. As the knowledge and curiosity around the Metaverse grow, you will find more users and fellow users exploring the platform. Plus, as more and more people get comfortable using technology for more than just browsing, you will see a lot more interest in VR experiences.
As a final word of recommendation, we would suggest: be prepared for bigger risks in hopes of getting bigger rewards. Launching a virtual business on Metaverse real estate can be a high-risk, high-reward game, so only invest the money that you are prepared to lose, but also know that you can make a bigger profit than you could have imagined.
