Real Estate Market in the Metaverse
The Advanced Research Projects Agency Network (ARPANET) was the precursor to the Internet, with the first message sent over ARPANET coming way back on October 29, 1969. In fact, many of the protocols used by computer networks today were originally developed for ARPANET.
Web 1.0 was the initial “iteration” that extended into a platform with multi-functional applications. The early web let us search for data and read it. Web 2.0 refers to internet applications that allow people to share, collaborate and express themselves online. Web 3.0, the latest web iteration, is characterized by decentralization, blockchain tech, and token-based economics. This provides new ways for people to communicate virtually, and the integration of a fully functioning economy will play an important role. On the World Economic Forum webpage, one of the featured topics is the metaverse, with several articles related to updates within Web 3.0.
The real estate market in the metaverse has been developing for years, with many opportunities to buy land and build virtual property.
WEF believes that through collaboration between stakeholders with varied perspectives, these projects will deliver concrete and sustainable results, and make a positive impact at all levels of society. The WEF spoke with Mark E. Rose, Chair and Chief Executive Officer of Avison Young, who has recently transformed the company into a data-driven, tech-enabled consultancy brand, focused on delivering the real estate know-how of the future.
One key aspect of real estate within the metaverse is digital twin technology - virtual, 3D models that replicate their real-life counterparts. This technology is what real estate brokers and agents now use for virtual tours.
People have been building virtual whole worlds for a long time now, but this is only going to increase with the metaverse and this is not going to stop. Retailers with online showrooms who aren’t planning on integrating themselves within the metaverse are missing out on another platform for showcasing and selling their products. Gucci, for example, recently sold a virtual bag on the metaverse for more than the price of the physical bag in the real world. Clearly, the sooner users invest in the real estate market in the metaverse, the better for their businesses.