Metaverse Investing. In recent years, many well-known corporations have been vying for a foothold in the emerging Metaverse, a virtual realm and the next big thing in user interface design. The concept is based on a virtual space where users can communicate and build relationships. Consequently, many are curious about how to invest in the metaverse and are buying into the hype.
This new trend is so intriguing because the Metaverse is already hosting these unbelievable events. For instance, presenters, artists, and nominees at the 2024 Grammys participated in a virtual reality experience through CEEK. Another initiative collaborated with Decentraland to expand marriage opportunities in the Metaverse in early April 2024. Various investment opportunities in Metaverse will be highlighted in this guide.
Metaverse in a Nutshell
Metaverse, in its simplest form, is an internet domain that offers users a digitally recreated setting that mimics the actual world. The Metaverse is an Internet-based perceptual computing system. It incorporates many innovative technologies—including the Internet of Things (IoT), blockchain, cryptocurrency, artificial intelligence (AI), and robotics—to build 3D virtual environments.
A quick search reveals that Neal Stephenson’s dystopic cyberpunk book Snow Crash (1992) is the source of the phrase Metaverse. In this science fiction book, the protagonist uses a set of virtual reality goggles and personal terminals to visit a dataspace known as the Metaverse. Projects like Second Life, which allowed users to have a virtual presence, became the most popular Metaverse platform a few years later. At least eleven million people called Second Life home, and more than fifty thousand were entrepreneurs. It is also home to a plethora of corporations, including IBM.
The Metaverse is a virtual world where users can engage in almost any activity imaginable, including but not limited to entertainment, sports, gaming, and more. What matters now is how a newbie may invest and take part in this trend.
Buying Metaverse Stocks
Statista estimates that the entire value of platforms in this field might grow by 39% over the next seven years from their current valuation of $118 billion. If you have access to a digital wallet and can engage in a coin exchange, investing in Metaverse equities is a breeze.
When you sign up for an exchange, you may be subject to that site’s rules. For instance, knowing your customer’s (KYC) verification may be necessary for some. However, the process is usually straightforward if you have all of your personal identification details ready for verification.
Top 7 Metaverse Stocks to Buy
Among other tech stocks, these seven metaverse firms—Meta Platforms, Roblox, etc.—may continue to be lucrative investments in the future, and we’ll go over why in this section.
1. Meta Platforms Inc. (FB)
Mark Zuckerberg discussed his thoughts on the Metaverse when Facebook changed its name to Meta a few months ago. He thought it would be the next big thing in online communication, socializing, and life in general. This is why Meta Platforms Inc. is working on solutions to bridge the gap between the actual world and the virtual one by using smartphones, VR goggles, and other home gadgets.
Two primary areas are the platform’s emphasis. To start, a social media-focused brand is called Family of Apps (FoA). Facebook, Instagram, Messenger, WhatsApp, and other platforms are all part of FoA’s remit. Facebook Reality Labs (FRL) is the name of the second branch. It is also the company’s part that studies how user hardware, software, and content interact with AR and VR.
The business has also committed $50 million to creating a “responsible” Metaverse. In addition, the platform held a virtual event towards the end of February 2024 to discuss how better AI can make the Metaverse the best virtual experience ever.
2. Microsoft Corporation (MSFT)
Microsoft has announced its interest in the Metaverse, joining other large IT companies. Several items have been introduced to improve the virtual world. In general, Microsoft offers consumer goods and software suites that enhance workflow. Most recently, it has been putting money into Metaverse companies and individuals.
Metaverse Investing: Microsoft HoloLens is one of their Metaverse products; it is the first iteration of their AR headset. It lets people see holographic 3D items as if they were with them.
2015, the original version was released, and in 2019, an upgraded version was released. It also finds usage in various fields, such as education, entertainment, and healthcare. Among Microsoft’s newest offerings in the Metaverse is “Mesh for Microsoft Teams.” During an event, the platform revealed that Mesh will let users join virtual meetings with their unique avatars and immersive experiences.
3. Roblox Corporation (RBLX)
Younger kids love to play games on Roblox. With about 11.8 billion hours of user engagement, nearly half of its users are 13 years old or younger. Putting money into the metaverse through Roblox is a great idea.
With the help of the Metaverse, Roblox aims to become a massive platform in the virtual world, and its ambitions are gaining momentum. Roblox aims to retain gamers as they get older, and it’s no secret that many kids worldwide play the game without ever leaving their homes. On top of providing players with a gaming experience, Roblox lets programmers make games and share them with the community. This makes it an exceptional platform for gaming and socializing in three dimensions.
4. NVIDIA (NVDA)
One such tech company is NVIDIA, which makes GPUs. Computers and gaming consoles rely on integrated circuits made by this firm. In response to its growing interest in VR, graphics processing unit maker NVIDIA has been developing Metaverse product suites that let customers create 3D representations of the real world.
Oct. 2023 saw the launch of the company’s Omniverse beta, a platform that links Metaverse to a communal virtual environment. NVIDIA uses Omniverse to plan and execute digital 3D models of actual projects. It runs on NVIDIA RTX and Pixar’s Universal Scene,
5. The Boeing Company (BA)
Metaverse Investing: Aircraft, rockets, rotorcraft, satellites, telecom equipment, and missiles are just some of the many types of aircraft that this firm manufactures, designs, sells, and rents on a global scale. A rebranding of its design and production processes is being considered with the help of Metaverse. The business also intends to implement the change within two years by equipping mechanics with $3,500 Microsoft HoloLens goggles, reducing reliance on robots, and building a unified digital data network. Over the following ten years, the business intends to invest almost $15 billion.
6. Unity Software Inc. (U)
Established in 2008 by Unity Technologies, Unity is a platform-agnostic game engine. In today’s world, it can be found on nearly any website and accessed on almost any computer, smartphone, and tablet. It has recently demonstrated overwhelming backing for VR systems. Furthermore, Unity software has made strides in the Metaverse since acquiring Weta Digital and developing its game engine. Metaverse is the company’s company’s primary emphasis, and it has showcased other partnerships outside of the game sector.
By collaborating with eBay in December 2023, Unity gave sellers a 360-degree view of their products, allowing them to show them off in a realistic, tactile 3D model. Additionally, Hyundai Motors has collaborated with Unity to develop digital twins and digital replicas of physical items. Using the virtual area, the car firm can increase output and develop novel production process advances.
7. Autodesk, Inc. (ADSK)
A market leader in application software, Autodesk serves a variety of sectors with design service tools. Media and entertainment, product design and manufacturing, engineering, and architecture all fall under this category.
These sectors also make use of Autodesk’s modeling and rendering services. Additionally, it manufactures various application software, such as computer-aided manufacturing (CAM) solutions, AutoCAD, AutoCAD LT, 3ds Max, Inventor, AutoCAD Civil three-dimensional (3D), Maya, and Revit.
Through an alliance with The Wild, Autodesk will use its ER to facilitate user interaction and collaboration in the AEC, a realm like the metaverse. VR, augmented reality, and mixed reality all fall under the umbrella of XR. Because of this, Autodesk is a fantastic platform on which to launch a metaverse investment.
Investing Directly in the Metaverse
Purchasing virtual land and establishing a permanent residence in the Metaverse is similar to purchasing real estate in the real world. Cryptocurrencies and fiat currencies can be used to buy this virtual space. An enhanced three-dimensional experience is offered to consumers via the Metaverse land. Since these assets exist as NFTs, claiming ownership of them is also straightforward. One of the numerous advantages of purchasing land in the Metaverse is owning and selling virtual land through the Metaverse platform or exchange.
Metaverse Investing: Lands on the Metaverse can often be purchased with bitcoins. Today’s most well-known digital currencies include Ethereum, SAND, and MANA, the currency of the renowned community-based network Decentraland. The initial stage in becoming a landowner in the Metaverse is to purchase one of these assets. You only need a crypto exchange platform to buy, so it’s straightforward. The value of virtual lands depends on the expansion of the adoption of the Metaverse, so investing in them carries a higher degree of risk than purchasing conventional crypto assets.
Metaverse ETFs as an Alternate Option
Trendy investment options abound in the Metaverse ETF space, where a seasoned fund manager trades various companies. Like traditional mutual funds, ETFs can be compared. Both show how a portfolio of stocks can be structured into an asset with high projected returns. Nonetheless, a seasoned manager trades ETFs to maintain and guarantee maximum market value, which is the main distinction.
Several Metaverse exchange-traded funds (ETFs) are available for investment, including Roundhill Ball, Evolve, ProShares, Subversive, and eToro’s Metaverse Life Smart Portfolio. Investing in NFTs has a significant risk because of their extreme volatility, lack of regulation, and potential absence of consumer protection regulations. There can be a profit or gain tax to pay. Additional dangers can be found here.
Future Outlook
Investors can find limitless chances in the Metaverse. All kinds of sectors are being affected. In addition, if you’re into real estate, you could be interested in buying some property and maybe even a virtual house right next to Snoop Dogg.
Buying luxury clothes and ETFs are just two examples of the diverse components of this new virtual world. It’s one more fascinating facet of the technological transformation that we’re seeing. You should always conduct your research, even with the curated list above, to help you begin your Metaverse trip because many unexpected conditions are occasionally thrown into the trend.
