The Viability of Metaverse Real Estate NFTs
The Allure of Real Estate
Real estate probably makes up the biggest portion of most people’s financial portfolio. It is inevitably the most expensive purchase we make in our lifetime.
The allure of real estate is that it is a hedge to inflation, has utility, and in most stable economies in the long run, usually appreciates in value. Now, can the same logic be applied to real estate non-fungible tokens (NFT), which represent land or properties in virtual worlds?
Better Than The Real Thing?
NFTs can be used as “title deeds” to lands and properties in blockchain-based virtual worlds, or commonly known as metaverses. These worlds are usually part of virtual communities or games, and these real estates usually provide virtual spaces for members to congregate or participate in activities (gameplay, art exhibitions, concerts, and more as real-world activities are increasingly getting replicated in the metaverse).
The real estate adage, “location, location, location”, also holds true in the metaverse. Scarcity plays a big role too, as the price is always a function of supply and demand. Importantly, the project where one buys metaverse real estate must be popular and attractive, else there would not be much demand for your “rare” piece of land. This is a key point, as investors warn of NFT price bubbles and losses risks, especially if one ends up with a project that is a dud.
If you have done your homework, metaverse real estates offer impressive returns. Some have sold for over half a million dollars, as seen in recent transactions in Axie Infinity and Decentraland land sales. Many of the early investors in these projects have seen massive capital appreciation from their initial investments.
Is Metaverse Real Estate NFTs Viable?
Moving forward, we can probably expect more projects to come up with utility for their metaverse real estate. These would include income opportunities from mining and processing resources embedded in the real estate, liquidity mining, DeFi lending and borrowing using the NFT real estate as collateral, and other models that serve to attract more demand for these real estate NFTs.
The best part is if you are an early investor and these are early days, the financial outlay for one of these real estate NFTs will definitely be a small fraction of what you would have to pay for real estate in the real world.
There is no doubt that real estate NFTs are viable in the metaverse. As more real-world activities get ported across into the metaverse, the demand for metaverse real estate will only increase. And consequently, the price of these NFTs will likely skyrocket, just like any real-world real estate that is scarce and in demand.
Real Estate NFTs in Mars Panda
You will be able to participate in both real-world and metaverse real estate trading in Mars Panda.
Mars Panda will be one of the first platforms in the world to enable fractionalized real estate ownership through NFTs. We are currently working with our real estate partners in Thailand, and exciting news should arrive by the end of the year!
In the Mars Panda World gameplay, you can purchase digital assets in the form of NFTs of virtual space and properties on the planet of Mars. Players can look forward to owning in-game real estate, land, and being part of the city building, as well as playing a role in the development of a thriving economy. To top it off, players will also be rewarded at the same time just by participating in these activities!
Through a cohesive ecosystem within the Mars Panda Platform, we strive to narrow the boundary between digital assets and real-world ownership. Whether you are interested in real-world real estate, metaverse real estate, or both? Mars Panda is here to help you play… with the world of real estate.
About Mars Panda
Mars Panda is a complete eco-system which consists of:
• Games, Social Media and Ecommerce Aggregation
• Yield farming DeFi
• Mars Panda game with NFT game elements
• NFT Marketplace
We aim to fuse mainstream eCommerce and Gaming to the crypto world of NFTs and DeFi, on one seamless, unified platform.
Find us at:
Legatus Global Pte Ltd is an entity that has obtained a regulatory exemption under the Payment Services Act (“PSA”) for digital payments token services. Legatus Global is commissioned to handle the issuance of Mars Panda Token (MPT) as well as the KYC/AML during the private sales and distribution of tokens to private investors. Legatus Global is also handling the process for private sales and distribution.