Virtual Land: What Is It and Why are People Buying It?

Real estate has always been an excellent means of asset throughout the centuries. But as we are advancing in technology, investing in virtual land has become a new reality. Investors are now paying millions of dollars in return for owning land that does not even exist on earth land. While the race to buy virtual land is increasing daily, many crypto enthusiasts, tech followers, and metaverse users are participating in such investments. 

But what’s the real buzz here? And how can we get virtual land for ourselves? 

Let’s dig deep here to know all the answers.

Virtual Land: What is it Exactly?

Virtual land is land that exists in a digital environment which is popularly known as Metaverse. In general, the metaverse is a digital video game or life simulation where players can come in contact with one another using their avatar or character that represents themselves. 

In other words, Virtual land is a digital land in Metaverse where players can roam freely. This land can be used for any purpose, from empty plots to mansions, an art gallery or anything else. The two best and most popular NFT marketplaces are Sandbox and Decentraland. However, the ownership is recorded on the blockchain in the existing NFT. 

Interesting Facts About Virtual Land

Here are some interesting facts about virtual land:

• Virtual Land is as valuable as a piece of land in the real world.
• Virtual Land is limited in supply, just like land in the real world.
• Owning virtual land means you are an owner of a unique plot of land in a metaverse world.
• Your investment will be secured by a non-fungible token (NFT).
• You can resell the property to others without any hassle.
• This will work as an income-generating property like leasable buildings that charge admission or promote a brand.
• You can even have the records of all the transactions for the property, which works as a 21st-century digital deed.

Purchasing Virtual Land

It is not difficult to sell and buy in the metaverse as most of the platforms are easily accessible. Once you select virtual real estate, you can research it on many third-party reseller platforms. You can see the history or nearby properties that will help you in comparison. The next step is to open a digital wallet that will keep your digital assets safe, including the cryptocurrency you will use to purchase land. The digital wallet you select depends upon the metaverse platform you are currently using. Here are the steps you must follow to buy virtual land.

Step 1: Choose the Metaverse Platform 

Before purchasing property in the metaverse, you must select the metaverse platform. To choose suitable metaverse platforms, you must determine the purpose of buying NFT land. 

Step 2: Set Up the Digital Wallet

After selecting your metaverse platform, you need to set up the digital wallet that will provide you access to your own cryptos. You can choose either a web-based wallet or a mobile-based one. 

Step 3: Link Your Digital Wallet 

On the marketplace of the metaverse, find the land plots to bid upon. You can also buy directly using the metaverse marketplace, whereas others are available through NFT marketplaces. 

Step 4: Buy SAND or MANA, or ETH and Transfer

To purchase or even bid, you need Ether or native cryptos like SAND or MANA in your digital wallet. Buying ETH or Ether will be useful as most NFY real estate sales accept it. You can easily purchase ETH or SAND using flat currency from any platform for crypto exchange. Once you buy crypto, you can transfer it by copying the public address available in the crypto wallet and using it as the withdrawal address. 

Step 5: Choose the LAND

This is a simple step, as sorting the land of your choice is easy. Once you have your preferred NFT real estate, you wish to buy; you can click on either the bid button or a fixed price by selecting the ETH amount. 

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Tokens Associated with Virtual Land

Some Web2 metaverse experiences do not use cryptocurrency. However, an increasing number of decentralised Web3 metaverse platforms do. 

Web3 platforms provide control and ownership to the users and the community by providing them access to the web. Some great examples of Web3 platforms are Sandbox, Decentraland, Ether, etc. You can check the token of some of the platforms below:

The metaverse tokens related to virtual real estate and their economies are ERC-20 tokens. These are cryptocurrencies which are available on the Ethereum network.

Future of Virtual Land

The future of virtual land looks promising, as the metaverse will encourage the growth of virtual land in the upcoming years. And how popular metaverse land is, you should look at the CAGR (compound annual growth rate). CAGR is the rate of return essential for every investor to grow from its initial stage to the final one. The profits will be reinvested every time in the investment’s life span. It is also estimated that the virtual land will obtain a 31% more CAGR between 2022 to 2028.

see also – Why Are Investors Paying Real Money for Virtual Land?

Conclusion

Just like cryptocurrency and NFTs, virtual land is at its initial stage. And as technology is developing, the metaverse is also evolving along with the Virtual land and its applications. But without investing, you cannot know what you will get. Since you know what virtual land is and how to purchase it, you can give your investment a thought.

FAQ’s about Virtual Land