How can blockchain support the metaverse economy?
By Vivek Yadav
The term ‘Metaverse’ became way more popular after Mark Zuckerberg formally renamed Facebook to Meta, intending to make the metaverse a reality and assist individuals in enhancing their connections, discovering communities, and growing their businesses.
However, the concept of the metaverse is quite old if you are aware of the online gaming world but it is more than that. Metaverse refers to a digital world that merges virtual and augmented reality leveraging cutting-edge technologies in this fast-growing world.
As per precedence research, the size of the global metaverse market is estimated to reach USD 1,607.12 billion by 2030, growing at a CAGR of 50.74% from 2022 to 2030. Blockchain will give metaverse businesses the chance to offer their customers cohesive services that’ll converge their physical presence with 3D digital presences, changing how customers interact and exchange cryptocurrencies or other unique digital assets (NFTs).
Digital art, virtual goods, or personal experiences can be turned into secure NFTs and stored on the metaverse blockchain as assets. To build a self-sustaining digital economy, metaverse users can exchange these NFTs for cryptocurrency to buy other metaverse entities or choose to cash out for fiat money at any moment. The NFT valuation and turnover can be accessible for innumerable systems and interfaces to work together seamlessly and interoperably through blockchain.
Indian creators have been benefiting from this global phenomenon of creating digital assets and selling them globally. Creators from photography, digital arts, and gaming segment are actively creating NFTs and listing them on global marketplaces and we gave artists sitting in Mumbai, Delhi, and other Indian cities listing some high-quality assets in the meta world. Along with the creators, India is also a hub for developers working in blockchain technology and global leaders in blockchain and tokenization are actively hiring Indian talent. With the abundance of tech talent that is already familiar with blockchain technology, combined with the creative talent, Indian creators are a core part of the global Metaverse ecosystem.
Blockchain can offer a promising and affordable option to protect users' digital material and data as Metaverse stores data measured in exabytes.
For all the business transactions taking place among stakeholders in a traditional computer network, it can enable secure data storage, transmission, and synchronisation by decentralising the ledger to thwart fraud, uphold transparency, and transfer ownership. This concept of decentralization has found more acceptance in mainstream applications.
Blockchain smart contracts can promote efficient management of the stakeholder relationships on a social, economic, legal, and other level inside the metaverse ecosystem.
Additionally, create and implement the fundamental guidelines for the metaverse operations. The blockchain industry has roared in recent years, with bitcoin and other cryptocurrencies becoming a solid foundation for a fully functional economy inside the virtual world where one can exchange digital goods, digital art objects like NFTs, etc. Entrepreneurs and influencers can operate their businesses in the metaverse with endless opportunities. They can employ cryptocurrencies for trading and establishing a virtual economy, influencing the growth of the metaverse economy.
The author is founder of Cosmofeed