Virtual Land, Real Money - The Rise of a new parallel economy
A couple of days ago, there was an interesting article on Bloomberg and it went like this — “Investors may not be clamouring to buy offices and hotels right now, but in virtual reality, property deals are surging and attracting millions of real-life dollars." Think of these as virtual worlds created by aspiring developers. If you want to create your own version of reality, you can do so by building it on a computer. It could have virtual trees, virtual apartments, virtual people and even virtual land. You could even invite other people to live and explore your world — perhaps even help you build it. And as more people flock into these digital realms, the value of virtual assets inside them will start appreciating in tandem. In fact, as the Bloomberg article notes — “Republic Real Estate, a firm that’s raising money to buy distressed condos in the physical world, is launching an invite-only fund next week aimed at investors seeking to buy virtual land. The venture plans to purchase parcels across several online “metaverses” and develop them into virtual hotels, stores and other uses, with the goal of increasing their value among cryptocurrency enthusiasts.” So in today’s episode, we will talk about the rise of decentralized virtual worlds and why people are paying top dollar to own assets inside them.
