Several metaverse-related tokens saw a massive surge in demand after Facebook announced it would rebrand to Meta and enter the metaverse space.
Facebook pumps metaverse tokens
The metaverse is tipped to be one of the next big things in the cryptocurrency space. It’s not by chance that an increasing number of game developers are looking into NFTs, which would be the entry point for gamers to enter blockchain gaming space. However, Facebook opted to raise the stakes by announcing that it would rebrand to Meta and pivot away from “traditional” social media towards building its own metaverse. The announcement followed a stream of bad publicity in the last years for Facebook, which suffered from whistleblowers, the Cambridge Analytica scandal, and a failure to attract young people to its platform.
While some derided the announcement as a publicity stunt that was clearly aimed at stripping itself of its “boomer image,” holders of metaverse-related crypto assets couldn’t care less about what Facebook’s real intentions were. Tokens like Decentraland (MANA) and Sandbox (SAND) surged as a result of Mark Zuckerberg’s much-commented video presentation. Other gaming-related tokens like Star Atlas (ATLAS), Chiliz (CHZ), Enjin Coin (ENJ), and Basic Attention Token (BAT) also recorded gains of up to 50%.
Is the metaverse the next big crypto trend?
Nothing worth having is built in a day, and that is equally true for the metaverse, no matter who is building it. However, Facebook and other tech companies are increasingly aware of the potential and demand for digital realities. With VR and AR technology improving, it seems only a matter of time until a Ready Player One-type of virtual world becomes (virtual) reality.
Several blockchain companies have recognised this trend and are working on games that lure gamers and regular folks alike. Decentraland is one of the biggest projects in this space. Its metaverse is divided into individual parcels of LAND, an NFT, and allows its owner to claim possession of this virtual piece of real estate. LAND holders are free to do with their parcels as they wish and grow and build on them according to their taste. Another interesting game is Star Atlas, which promises to build a virtual world set in the future, which combines elements of space exploration, strategy, and adventure. Built on Unreal Engine 5, Star Atlas aims for photorealistic graphics and is one of the most anticipated metaverse projects in the space. These are just two of the many projects working on building alternative universes in the digital realm.
What will Facebook do to the metaverse?
The question remains how Facebook fits in this decentralised and somewhat anarchic space. Many crypto maximalists react squeamishly at the prospect of a corporation building its own metaverse, expecting it to focus on profit maximisation and leaving out crypto ideals like permissionless onboarding, decentralisation, and censorship resistance. If anything, though, crypto bulls and metaverse fans should welcome tech companies entering the space. If the future for blockchains is multichain, the future for metaverses might be multi as well.