Digital land and metaverse probably weren’t two words that popped up in your head when you read this title, but that is precisely what we’re going to dive into today. With the Metaverse boom at the end of 2021, we’ve witnessed a huge increase in demand for both metaverse tokens, as well as its real-life implications.
If you’re just starting to dip your toes into the concept of virtual real estate, figuring out how to get started can be a little confusing, but don't worry, it's easier than it looks. After you finish reading our guide, you’ll be able to purchase your first piece of virtual land.
What is metaverse land?
Metaverse land is a plot of virtual real estate represented by an NFT (Non-Fungible Token) that gives its owner all the use-cases and benefits they enjoy in the physical world. It can be used not only for socializing with others and working or gaming, but you can also use your digital property for generating revenue through advertising. For example, you may put billboard ads for digital products on your digital real estate and get paid directly from companies which you’re advertising, just like in real life.
How to buy NFT virtual land?
The first step is to get a digital crypto wallet, such as MetaMask, where you’ll store your cryptocurrency, which will be spent on your digital land. Note that the wallet needs to support the network which you will use to buy virtual land.
There are various platforms where you can buy digital property, the most popular being Sandbox and Decentraland. If you want to buy through a third party, OpenSea is a great option, especially for first-time buyers as it lets you shop around without constantly switching between platforms. You can compare prices, amenities, and assess the value based on the virtual neighborhood the plot is in.
Let’s say you opt to purchase your digital real estate through the Sandbox platform (since it’s the most popular platform and the process is pretty much the same on other platforms), the first step you need to take is to open the Sandbox marketplace and connect your wallet to it.
On The Sandbox map, click on the Sign In button in the top right corner. Make sure your wallet is also set to the correct blockchain as the project (Ethereum in case of Sandbox).
Next thing you need to do is click on the Metamask. You’ll get a pop up asking you to connect Sandbox with Metamask. Put a tick against the wallet you want to connect (in case you have multiple wallets), then click on the ‘Next’ button and in the next window on the ‘Connect’ button to finally connect your wallet.
The Sandbox will now ask you to complete nickname and email fields. Once you do it, click on the ‘Continue’ button in order to finish setting up your account.
In the next step you will have to click on the ‘sign’ button on the MetaMask signature request to finish setting up your account.
The next step is to purchase cryptocurrency, which will be used for buying digital property (in this case ETH) on a crypto exchange and send it over into your Metamask wallet.
The last step is to finally purchase your digital land. After finding some land you want to purchase, simply click on it so you can see all the details expand.
You can then buy it for a fixed price by clicking on the ‘Buy now’ button, which will take you to OpenSea to complete the transaction.
The second option is to place your offer by clicking on the ‘Bid’ button, which will result in a pop-up window, where you’ll be able to place the amount of ETH you're willing to spend on a particular plot of digital land. Having filled out the bidding information, you'll have to confirm the transaction with your wallet. In case the seller rejects your bid or the sale ends, Ether will be returned back to your wallet.
Is that all I need to know to become a metaverse landowner?
Since you’re coming to the end of this article, you should be knowledgeable enough to know how to purchase your first digital land in the metaverse. It’s important to note that knowing how to do so is only the first step. What is more important is choosing the right virtual world and property, which will either generate you some passive income or appreciate in value over time. When choosing the right real estate in the digital universe, you have to look for pretty much the same factors as in the real-world. Usually it boils down to location and usage, which determine its long-term potential.
It’s going to take a combination of thorough analysis and a little bit of luck to strike the right virtual property, since we don't even know which platforms are gonna be popular, let alone which locations in which platforms. Metaverse pioneers, such as Sandbox or Decentraland, surely have a competitive advantage, but have no guarantee of ultimate success. The same goes for specific digital properties and if we look at the bigger picture even the whole digital real estate market, which could implode in the future.
To sum it up, while becoming a real estate owner in the metaverse comes with an element of risk, it represents an outstanding opportunity. If you decide to become one, you need to have a thorough understanding of the matter in order to make an informed decision, but this is an extensive topic, which will need to be covered in one of the upcoming articles.