Unless you’ve been deliberately avoiding the news, you’ve probably heard of the Metaverse. Facebook (now Meta) made headlines recently for its ardent support for the evolution of social media. Still, the global social media behemoth is far from the only company taking bold steps into the world ahead.
Blockchain is at the forefront of the Metaverse movement, bringing the concept of digital ownership to the mainstream, especially thanks to the spike in popularity of NFTs over the last two years. As we get closer to bringing the Metaverse to life, the barriers between our physical and digital selves will start to blur, and having a secure way to manage financial assets in this ecosystem will become increasingly important.
GameFi is a vast ecosystem where gaming and DeFi collide, and research suggests that the P2E model’s success has reignited interest in blockchain gaming. Even small NFT sectors like GameFi and P2E have exploded in popularity, providing value for people everywhere.
Putting the Metaverse Together
NFTs had their best year in 2021, according to DappRadar statistics, creating almost $23 billion in value and a base market capitalization of nearly $17 billion. During the last week of October, over $106 million in Metaverse land was sold. Although the initial NFT wave focused on monetizing artwork, the Metaverse narrative promises to take the arena to new heights.
ProShares, the company behind the first Bitcoin-focused ETF in the United States, recently announced plans to establish a Metaverse-based ETF. The ETF would track the performance of SOMETAV, the Solactive Metaverse Theme Index, and would include companies such as Nvidia, Meta, and Apple.
PricewaterhouseCoopers (PwC) Hong Kong, one of the world’s top consulting businesses, has tested the Metawaters by purchasing a land plot in Sandbox, an Ethereum-based metaverse game. Some of the world’s most influential firms, from Apple and Epic Games to Nvidia and Microsoft, will invest billions of dollars in constructing the Metaverse over the next few years, and top-ranking crypto derivatives exchange Phemex is no exception.
Changing the Game
GameFi is rethinking how NFTs are valued, establishing a unifying umbrella under which both gaming and decentralized finance (DeFi) can thrive. What’s more, these NFT games aren’t just benefiting Ethereum; initiatives like MOBOX on Binance Smart Chain, Upland on EOS, Splinterlands on Hive, and Alien Worlds on Wax are filling other blockchain networks to broaden the industry’s reach.
Phemex, a Singapore-based digital asset exchange, has been outspoken in its support for the Metaverse movement, holding campaigns, events, and giveaways all year to promote the Web3 revolution. Last year, the exchange collaborated with the community to launch its first NFT.
Phemex even developed its GameFi product to mark its first anniversary in 2020, giving its community a taste of what the blockchain gaming environment would look like in a few years. Celebrating its 2nd anniversary last month, Phemex also announced its ‘Choose Your Reality’ event, launching its ‘Dream With Phemex’ campaign, which asked its members to talk about their ambitions and selecting a few lucky winners to bring their dreams to life – literally.
The exchange listed a slew of NFT, GameFi, P2E, and Metaverse-related tokens, including MyNeighbourAlice, a decentralized multiplayer builder game, Yield Guild Games, a text-based adventure gear NFT game, and AGLD, a text-based adventure gear NFT game.
SAND, the native token of the previous Sandbox metaverse game and Axie Infinity are also on Phemex. The platform expects to list over 12 tokens between mid-and late January, bringing their total number of trading pairs to 52.
Last year, over $1 billion was invested in the blockchain gaming market. With GameFi and P2E still finding their feet, the potential for outsized returns is pretty substantial. Developers, corporations, financial institutions, and even governments should begin to see the new digital environment consolidating in the years ahead as more projects devote resources to constructing the Metaverse.