“The Metaverse” by Terry Winters is a critical book for all investors. I grew up in the 1980s and 1990s, so I watched the rise of the internet. The metaverse will have a similar effect on humankind, and as investors, we need to get ahead of the movement.
The media identifies the metaverse as Internet 3.0. Widespread knowledge considers Internet 1.0 as the initial web pages from the 1990s and Internet 2.0 as today’s user-generated social media-driven world. So what do the metaverse and internet 3.0 offer humans?
The metaverse is a world inside the “real world.” Think the Matrix trilogy, but in digital worlds. You may laugh, but the digital world will be where people spend most of their time in the future. Here are a few things to anticipate from the metaverse.
1) Employment. The metaverse will host full-on employment opportunities. You will put on your virtual work clothes and meet the avatars of real-life co-workers—all inside the metaverse world. I don’t envision people working while wearing a VR headset all day, so that meetups may be for a couple of hours daily.
2) Real Estate. Virtual real estate is already a huge deal. However, just buying and holding may not be a viable investment solution in the metaverse. For a property to have value, it needs to have avatar traffic. No one will visit if you have barren land plots; thus, your land will be of low value. You’ll need to build businesses or attractions to garner attention. Don’t worry; I have planned a lot of virtual real estate content so we can learn more together.
3) Shopping. Can you envision going to an Amazon digital world with your mom? Together you can virtually touch and preview items and then buy them. Virtual shopping will be huge in the metaverse.
4) Virtual worlds. The metaverse isn’t just one world but an unlimited number of digital planets—the worlds with the most user-generated content and foot traffic win. You can speculate from the outside by investing in cryptocurrencies of the digital world, i.e., MANA and LAND are the currencies of Decentraland.
5) Gaming. There may be no real difference between gaming and being inside the metaverse. There will be gambling, awards, prizes, and virtual sports. People are rising and fighting digital animals for real currency already. The metaverse will be ripe with gaming action.
Many of the issues that affect the human world will affect the metaverse. For example, there is a housing crisis in America because of a shortage of homes and builders. When you buy a home in the metaverse, you will need to hire a digital builder and designer to plan and construct your home or business.
If there is a gold rush to the metaverse, these digital professions will be in high demand, thus driving up the price for their services. These scenarios will play out across advertising, virtual land, currencies, and services.
The central concept is to experiment with the new worlds. We don’t know which new project will become the Facebooks and YouTubes of tomorrow. Your best bet is to continue reading books, following blogs and podcasts, and playing around with as many worlds as possible.
I will have to reread this book in 2-3 months to absorb more information. There is so much to learn because we are entering a whole new digital world. Don’t get left behind—start by reading this fantastic book.
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