Metaverse Overview
Metaverse is a virtual reality that originated from the Internet and is considered as a monumental virtual world that is no different, even more magical than the real world. However, we are too early to celebrate its success.
The speed of hardware technology development for the support of the virtual world has become a bottleneck for the development of Metaverse, resulting in heterogeneous integration of blockchain and the Internet. The mentioned points will greatly reduce user experience and make it difficult to form effective cycles of “Flywheel Effect” and “Network Effect”. Only a handful of hardware products are currently using Metaverse's apps. Karl Marx asserted that all elements of social structure depend on their economic basis, and the Metaverse is no exception. Blockchain has been a key factor in the development of the Metaverse and its importance is yet to be fully realized.
Gamification, entertainment, and excitement will be the core aspects driving the development of the Metaverse. However, that trend does not always bring good results. It makes mining easier, and increases privacy. Blockchain may be the only solution to this problem.
Beware of NFT bubbles and avoid falling into a liquidity trap. Although NFT is trending worldwide, it is easily becoming a pure seller's market and controlled by fewer funds. Once the market consensus collapses, the NFT price tends to plummet until liquidity dries up. GameFi's growth will be promising, but sales and profits specifically for specific projects may not be the same.
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