Crypto, NFTs, Web3 and the Metaverse: What you need to know

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Date: 6 January 2022

People interacting in the metaverse

Professional crypto traders, crypto analysts, and cryptocurrency vendors (such as Bitcoin Prime) are all equally excited by the prospect of the Metaverse, and what it means for the world of cryptocurrency trading.

This article will discuss NFTs, Web3, and will also provide you with a brief guide to the Metaverse and its implications for the cryptocurrency markets, as well as the opportunities it may bring.

What is the Metaverse?

Mooted as the next chapter in the development of the internet, the Metaverse is a way of accessing the web through virtual reality (VR). Through a VR headset, we can interact with each other on the internet entirely virtually. We're already able to play video games with VR headsets, but in the Metaverse, everything goes further. Whatever you want to do: meet your friends, see a show or concert together or just go shopping, you'll do it via a VR headset.

The term has really hit the headlines recently as Facebook have announced it's a key plank of their future development. Think of a future where you can meet, chat, shop and share via VR on a social media app, using in-app currencies to purchase real-life items and services, and it's clear why the likes of Facebook are all over this!

NFTs

Non-Fungible Tokens are in an interesting place right now. When they were first introduced, they were anticipated as being a game-changer, containing information, artwork, in-game content, or whatever else. They would be worth a significant amount of money.

However, this is only partly true. Whilst many companies, sports teams, and entertainment businesses may have adopted NFTs, their value and demand are not always the same across different industries.

On the bright side, NFTs have been heavily adopted by the gaming industry, and have enabled gamers to earn profits on the items they own within games. For instance, anything they create within games such as Minecraft, Roblox, or Fortnite could potentially earn them money. Many enthusiasts are optimistic about the future of NFTs within the Metaverse.

Web3

Web3 (also known as Web 3.0) is expected to replace the current iteration of the internet, and within Web3, it is anticipated that we will begin to use digital wallets within our browsers.

This would mean that crypto would potentially be accepted anywhere as a form of payment. So, while you do your shopping online shopping on websites such as Amazon, you'd be able to pay instantly, and the payment would come directly from your digital wallet.

Cryptocurrency and the Metaverse

Perhaps the biggest point of consideration for cryptocurrency within the Metaverse is that while some metaverses currently already accept crypto as a payment method, it is expected that in the near future it is likely that all providers will accept it.

Another key thing to remember is that metaverses are often built with blockchain and crypto-projects, and therefore, are tied to them.

So, with that in mind, cryptocurrency traders need to be careful and make sure that they conduct thorough research into their investments before they commit to them.

Moreover, just because companies such as Meta (formerly Facebook) have adopted the Metaverse concept, this doesn't mean that it's going to be successful.

There are some speculators who believe that the Metaverse concept will not take over in the way people think it will, and there are even some who believe it might be hijacked by criminals to steal people's crypto or other financial assets.

Copyright 2022. Article made possible by Sarah Hughes, Muve Media & Marketing

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