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Category: Cryptocurrency

5 Things You Should Know About Buying Land in the Metaverse

The metaverse refers to VR spaces with characteristics and uses similar to areas in the physical world. People’s avatars can inhabit these spaces and perform many of the same activities they do in real life. Examples could include working, attending school, enjoying entertainment, conducting business, and buying land. 

Five Essential Facts About Buying Land in the Metaverse 

Such celebrities and businesses as Snoop Dog, JP Morgan, and Samsung have already made purchases. Before you join them, learn five essential facts about buying land in the metaverse. 

Metaverse Land Can Offer Utility 

People or businesses have two main reasons to purchase metaverse land: 

  • Establish a home base: Some people consider a metaverse home as something similar to owning a website on the internet. It offers a home address to direct others to when they want to find you. It also gives you a place to develop and express your personality or mission. 
  • Speculate on property values: Some people purchase land in the metaverse because they hope the value will appreciate and allow them to sell at a profit. Naturally, buyers take a risk when speculating on virtual land values. 

Most Virtual Land Sells for Crypto 

In the real world, people buy physical land with their country’s currency, like dollars or euros. Typically, virtual land sells for cryptocurrency. The type of cryptocurrency can vary by platform. Thus, people will need to acquire crypto and a digital wallet before they can purchase land on a VR world platform. 

Land Sales Come From Platforms and Third Parties 

Metaverse platforms offer land directly. Landowners may also choose to sell land through third-party platforms. Two examples of virtual real estate companies include opensea.io and nonfungible.com. These platforms provide features for property listings, price negotiation, and completing the transaction. 

VR Land Buyers Face Risks 

Some VR land values have appreciated rapidly, making investments appear attractive. However, buyers should understand the risks, such as sudden depreciation or the entire platform failing. Also, buyers don’t enjoy the protected and regulated market they do when purchasing physical land. Sometimes, scammers try to fool buyers into scam purchases, and buyers don’t have much protection. 

The Value of Land May Depend on the Future of the Metaverse 

In the physical world, the land value may depend upon scarcity or the land’s development or location. Different factors may impact the demand for metaverse land. For instance, virtual land investors have made big bets on the future success of a platform and the entire metaverse when they purchased property. 

Right now, nobody can say if the metaverse will evolve into a force like social media or streaming videos or become another passing fad. Also, nobody can predict if a particular platform will grow into the next Facebook or fall out of fashion like Myspace. 

Is This the Best Time to Buy Metaverse Land?

Timing a VR land purchase depends on the market and the buyer’s goals. VR land buys for a particular purpose probably offer the safest bet. For instance, a virtual store can generate revenue and profit. The buyer will give the land utility, which may help support its value. 

For more risky speculative purchases, the timing gets tougher. Citibank published an optimistic report that predicted significant growth within the next five years. Other sources disagree and call metaverse land a risky crypto asset. Prospective buyers should gather information from several credible sources to help them inform decisions about what and when to buy. 

 

 

Ethereum Vs Bitcoin: How Different Are The Top Crypto Coins?

Some people describe BTC and ETH as the Coke and Pepsi of the digital currency world. Within the past several years, tens of thousands of cryptocurrencies have entered the market. Even so, Bitcoin and Ethereum stand out as the standard of comparison for other coins and each other. Thus, people who want to learn about digital currency should start by exploring these two market leaders. 

Compare Ethereum Vs. Bitcoin 

Even people who barely know anything about cryptocurrency have probably heard of Bitcoin and Ethereum. That’s because they represent the market’s two most significant digital coins. 

A quick summary of Ethereum vs. Bitcoin should include: 

  • BTC: Bitcoin launched in 2009 and stands out as the first true cryptocurrency. Over a decade later, it still holds the top market capitalization and name recognition rank. Bitcoin also capped the number of coins it can ever produce at 21 million. Today, Bitcoin’s market cap exceeds $400 billion. 
  • ETH: Ethereum launched in 2015 and obtained the second place rank by market cap rather swiftly. Ripple briefly displaced Ethereum at number 2, but Ripple now sits at number seven, and Ethereum took back the spot behind Bitcoin. Ethereum does not cap the total amount of coins produced. Today, Ethereum’s market cap sits just under $150 billion. 

Bitcoin’s founders envisioned an alternative to traditional money, like dollars or euros. This crypto introduced people to blockchain tech, a transparent, distributed ledger. 

Ethereum also relies on this same technology. At the same time, Ethereum’s founders made their product programmable. They provided built-in support for smart contracts and the addition of other digital coins to the chain. Thus, Ethereum offers a more versatile platform than Bitcoin does.

Proof of Work Vs. Proof of Stake 

Miners generate new Bitcoin with proof of work. POW means that miners compete to solve crypto puzzles to create new coins. Ethereum developers also used this model initially. In contrast, the amount of coins a miner locks up impacts their chance of generating new coins with proof of stake. Ethereum plans to replace proof of work with proof of stake when it rolls out Ethereum 2.0. 

Is Ethereum or Bitcoin Better?

Both of these widely-known platforms offer pros and cons. Bitcoin enjoys the broadest name recognition and a higher current market cap. Ethereum can provide a network that supports other digital coins, marketplaces, and decentralized applications. Also, Ethereum’s move to proof of stake should consume less energy, an essential consideration for the future. Still, Bitcoin has not remained static. A new update to Bitcoin called Taproot introduced smart contracts and improved the network’s efficiency and privacy. 

Is Bitcoin or Ethereum a better value? The value of all digital currencies has proven highly volatile in the past few years. Still, people interested in digital currencies might start with these top two coins. As the market leaders, Bitcoin and Etherum attract the most interest and support.