Gatebits Reports – Metaverse is Striving while Crypto Market Battles Crashes

London, UK — Ever Since Mark Zukerberg announced the Facebook name change to Meta back in October 2021, metaverse has gained a lot of attention. If you are also interested in knowing what is metaverse and how it is striving while other cryptocurrencies face crashes then keep on reading.

Metaverse is the new phase of the internet. It merges virtual, augmented, and extended reality with the physical world. The next two years look very optimistic for the metaverse. Bloomberg has predicted that its market will flourish to over $800 billion by 2024.

In this blockchain-based technology, a user can work and play in a virtual reflection of real life. It has its own virtual economy too, powered by decentralized finance (DeFi). A Metaverse token is the currency used in the metaverse. Users can utilize it to create, buy and sell goods along with non-fungible tokens (NFTs).

Interestingly Facebook has been investing a significant amount in the development of metaverse. Facebook’s third-quarter report revealed that the company planned on investing $10 billion by the end of 2021 and even more in the future.

According to an expert broker, Micheal Ford, at Gatebits, “It is no surprise that Facebook has already invested over $50 million into multiverse projects, is about to spend $10 billion, and plans on spending more. Mark wants to monopolize the metaverse. The rebranding of Facebook is an attempt at owning the operating system of the Future.”

Metaverse Token: The Next Big Thing in Crypto

These units of currencies in the metaverse are expected to be the next big thing in the digital asset sphere. Metaverse tokens are the only currency used in the meta world, however, they are also available for trading on platforms like WarziX, Coinbase, and Binance.

A report from Kraken Intelligence has revealed that metaverse tokens were one of the only two categories of cryptocurrencies that grew in 2022 despite the notorious volatility and major crash hits. It has been observed that metaverse tokens are majorly outperforming almost every other cryptocurrency in the current crash battles. The metaverse tokens have escalated up by nearly 400% year on year.

According to the May 2022 market reports of Kraken Intelligence and CoinGecko’s the metaverse token which made major gains were Decentraland’s MANA (up 41%), Sandbox’s sand (up 470%), Axie Infinity’s Axie Infinity Shards (AXS) (up 511%) and Stepn’s GMT (up 746%). In addition to this, metaverse tokens are also used for paying fees, buying property, and participating in governance.

The highest category for year-on-year gain is metaverse tokens. They saw a 6% increase, while the other currencies went through negative price action at the same time. Bitcoin price dropped -13%, Ethereum -25%, Layer-1 -41%, DeFi -72%, Meme coins -62% and Privacy -46%.

The popularity of the Metaverse Platform

Reports show that non-fungible tokens (NFT) and metaverse platforms have consistently remained popular in 2022. Data from DappRadar, a decentralized application indicates that there has been a drawdown in crypto prices and market-wide sell-offs, usership among metaverse has remained at about 1 million users per day.

Gatebits asked Michael Ford for some insight on these trends, according to him,

“Metaverse is new. It’s exciting. It’s different. All these attributes have bought it a lot of attention. Especially with big names like Mark Zukerberg attached to it, has piqued people’s interest. You will notice that it is mostly the young generation that is purchasing metaverse tokens and NFTs. The Youth understands that metaverse is the new phase of the internet and they want to be part of this revolution.”

A Hitch in the Plan

Kraken Intelligence has also reported flat daily usership of metaverse and NFT in May. The daily volume of NFT dropped to -87.1%. Surprisingly every category of crypto, including metaverse tokens, experienced negative returns in the last 30 and 90 days. Metaverse tokens dropped to 42% with the highest volatility rate at 173% last month.

However this did not last long, funds came pouring in. DAppRadar’s Q1 games reported that about $2.5 billion was raised in the first quarter of 2022 to support the blockchain games and metaverse-related projects. Investors remain excited to participate in games. About 52% of all blockchain activity is from game DApps.

Micheal Ford Commented on this, saying, “At this speed, play-to-earn and metaverse projects will contribute about $10 billion by the end of 2022 to build the future of this industry. Like I said before, it’s the youth who are most intrigued by metaverse, explaining why game DApps own 52% of the blockchain activity.”

He further added,

“It is a matter of time before the metaverse completely transforms the way we communicate. The NFT surge has not only piqued mainstream attention to digital art but it has also contributed to the popularity of crypto metaverse.”

Disclaimer: Our content is intended to be used for informational purposes only. It is very important to do your own research before making any investment based on your own personal circumstances. You should take independent financial advice from a professional in connection with, or independently research and verify, any information that you find on this article and wish to rely upon, whether for the purpose of making an investment decision or otherwise.

Media Contact: