Metaverse real estate speculation fever: Someone hoards 100 sets of land more expensive than Beijing villas

How outrageous is Metaverse real estate speculation?

Abroad, the highest record of a piece of land can reach 4.3 million US dollars, which is equivalent to about 27.3 million yuan, which is comparable to a villa in Houshayu, Shunyi, Beijing. Domestically, in a closed beta game, the absurd scene of hoarding and robbing houses was staged.

On October 28th, the Metaverse social product “Honnverse Rainbow Universe” developed by Tianxia Show began its closed beta. Users need to make an appointment in advance to snap up virtual real estate and get the number to enter. From the beginning of the closed beta, users have hoarded a lot of houses. After experiencing the product, Shen Ran discovered that there are already more than 100 houses under the “Big Brother” list, which is the number one in the Rainbow Universe World Ranking.

This wind is not niche, it has blown to Xianyu and other platforms.

Shen Ran noticed that in Xianyu, WeChat, and QQ groups, Hong Universe’s real estate “prices one day can double in three days”, and the current highest-level SS-class real estate has been sold at a price of 18,000 yuan. On Xianyu, there are also many transaction records of SS-class houses sold for 8,000 yuan.

Metaverse real estate speculation fever: Someone hoards 100 sets of land more expensive than Beijing villas

Hong Kong Housing Transaction Record

Picture source / free fish

However, the robbing and hoarding of houses in the Rainbow Universe can only be regarded as a pediatrics compared to the land grabbing on foreign Metaverse game platforms.

Abroad, the virtual world land transaction price of 4.3 million U.S. dollars (approximately 27.3 million yuan) occurred on The Sandbox platform on November 30, Eastern Time. The last high-priced transaction record was just this week ago. The developer bought a piece of land on Decentraland for approximately US$2.43 million (approximately 15.42 million yuan). Shenran inquired about the housing trading platform and found that 27 million yuan can buy a two-story single-family courtyard villa in Shunyi, Beijing.

Land grabbers have already spread from individual game users to institutional players such as virtual real estate developers. In their view, virtual land already has real value. Later, if the land is directly resold for lease, developed and decorated as a virtual store or resold, it can all make a lot of money.

It is worth noting that the domestic Rainbow Universe currently distributes ready-made houses, and users can only dress up houses. The foreign head Metaverse game platform sells plots, and users can build houses on the plots independently.

The enthusiasm is higher than the wave, and the doubts are also higher than the wave. Virtual real estate transactions, in the context of the explosion of the Metaverse concept, are questioned as hype by drumming and spreading flowers. The actual value is difficult to support the current high prices. Ordinary investors may be “cut leeks” if they enter the market rashly.

Even so, players can’t stop the momentum of the influx of the wind. The prices of virtual houses in domestic Rainbow Universe products and virtual land on foreign Metaverse game platforms are all rising exponentially.

Rainbow Universe is hard to find a room: “Big Brother on the List” first stocked more than 100 sets

On November 10th, Huang Xin started his virtual real estate business in Rainbow Universe. He entered the market late. After all, the people who started this business in the closed beta at the end of October have already bought a batch of the top “SS-level islands around the sea” among the issued rooms at a very low price.

Tianxia Show Chairman Li Meng once introduced in an internal letter that Rainbow Universe is “a 3D virtual social product based on blockchain technology.” The virtual real estate that Huang Xin is hyping up is actually a digital collection on Rainbow Universe. According to official sources, Rainbow Universe has issued a total of 350,000 virtual houses. There are six levels of houses and 13 types of houses. It is estimated that 20,000 sets will be distributed free of charge.

Metaverse real estate speculation fever: Someone hoards 100 sets of land more expensive than Beijing villas

Rainbow universe P-lanet housing level and the number of first wholesale shops

Image source / Honnverse official public account

After entering Rainbow Universe, users can build character images, decorate houses, display digital collections, videos, and photos in the house, or visit other users’ houses as a social tool.

But at present, most of the functions are not very interesting. The most valuable application may be to purchase props such as virtual TVs at high prices, and to advertise in the form of short videos.

Since it is currently in the closed beta stage, only the house is eligible to log in to the game. Someone rents an account on Xianyu in order to enter the game. The price is 5 yuan for 24 hours. This is only a small amount of money.

The number of officially released houses is limited. Such a hard-to-find hunger marketing has directly caused the virtual real estate transactions in the Rainbow Universe in the Xianyu, WeChat, and QQ communities to be in full swing.

After entering a Hong Kong real estate trading group, Shen Ran discovered that all types of houses can be described as one price per day. On December 6, Huang Xin told Shenran that the Jiangnan Courtyard was sold for 300 yuan three days ago, but now there are people grabbing 600 yuan.

As of December 6, the first batch of homes obtained by Rainbow Universe users for free lottery has been sold at high prices in the second-hand real estate trading market. Among them , the price of SS-level islands around the sea is around 18,000 yuan, and the price of S-level polar wooden houses is 3,000 yuan. It is around RMB 1700, S-class half sea view villa is around 1700 yuan, A-grade glass flower house is around 900 yuan, Jiangnan courtyard is around 600 yuan, and mountain village hut is around 300 yuan.

The reason for the hot transactions in the second-hand real estate market is definitely not only because a house is hard to find, but also because it is profitable. According to Shenran’s observations, the current source of users of Rainbow Universe can be divided into three categories : seeing the price of virtual land in foreign countries rising and wanting to deploy in advance in China, and being attracted by this stock because of the skyrocketing stock price of Tianxia Show as a Metaverse concept stock, These two categories are the main force; only a few people play this product out of curiosity or interest.

Among them, some claim to be fancying the future . “At least in the next two to three years, Metaverse will continue to be very popular.”

On the one hand, the sky-high transaction records of virtual land on The SandBox and Decentraland abroad convinced them that there is still a lot of room for virtual assets to grow. On the other hand, Tianxia Show started as a “Red Man Economy”, and Rainbow Universe may use celebrities to build momentum in the future, with the purpose of attracting a large number of users to enter the game. Furthermore, as VR and AR technologies promote the development of Metaverse, Rainbow Universe is likely to be further upgraded and iterated.

The mind of many players is to take advantage of the low price to start the housing during the internal test phase, and after the public test, with the increase in user demand for housing, the price will definitely skyrocket. They even made the slogan: “Only promises in reality, and the virtual world must strike hard.”

According to Shenran statistics, as of December 6, the number of houses under the “Big Brother” list on the Rainbow Universe World Ranking has reached 116, and the room types cover all levels from SS to C.

Metaverse real estate speculation fever: Someone hoards 100 sets of land more expensive than Beijing villas

Rainbow Universe World Ranking

Picture source / screenshot of Rainbow Universe

Houses were fired, and various props in Rainbow Universe were also fired at high prices. Among them, the piano is regarded as a symbol of status, and the price has risen to thousands of yuan. The virtual IP fish of the world show was once sold for more than 100 yuan, and the price of too free and depressed Huahua (game props) can reach 150 yuan.

Some people look to the long-term, while others want to settle down first . The top ten user on the list, Xiao Zheng, told Shenran that the houses stocked by “Big Brother” are rarely sold, but he sells various types of houses and props. The initial investment has been paid back, and now he is using the previous profits. trade. In recent days, he has invested more than 20,000 yuan in order to stock up on houses.

Xianyu seller Niu Xing revealed to Shenran that in November of this year, he made a second-hand real estate transaction in Rainbow Universe and earned 30,000 yuan in one month. Among them, the most transactions were entry-level houses. In the past ten days, he has changed hands and traded more than 100 sets. Because the user needs to own at least a set of ordinary houses in order to enter the game, he obtained a batch of accounts with ordinary houses through some software, and sold them in exchange for tying users.

Huang Xin has invested more than 10,000 yuan to buy a house and collect props since the day he entered the market. He once paid 650 yuan for a polar wooden house, which was sold at a price of 2,300 yuan within a short period of time. He claimed to be a “following soup” player, and he paid back less than a month. Currently, he still has six houses to be sold. If all of them are sold, he is expected to make at least 30,000 yuan.

Short-term pessimism and long-term optimism are the current attitudes of almost all players. At the beginning of the closed beta, the game even had a bug in which all houses under the user’s name were cancelled overnight. Since the closed beta for more than a month, many players agree that the current playability of Rainbow Universe is not high, but because they believe that Metaverse is a worthy outlet, they are optimistic about long-term development.

Foreign Metaverse Platform: A piece of land is more expensive than a Beijing villa

Regarding the hot and absurd scenes of the domestic Rainbow Universe real estate speculation, one scene after another, but compared with the global virtual land transaction, it can only be regarded as a small mess.

In just one week, the highest transaction price of virtual land on the Metaverse platform of the foreign head rose from US$2.43 million to US$4.3 million. Shen Ran checked the housing trading platform and found that the money to buy a piece of virtual land, no matter it is US$2.43 million or US$4.3 million, can buy a villa in Houshayu, Shunyi, Beijing, and it has surpassed New York, Los Angeles, San Francisco and other cities in the United States. The average price of a single set.

Take Decentraland as an example. The land sold for USD 2.43 million consists of 116 plots of approximately 4.87 square meters, with a total area of ​​approximately 565 square meters, at approximately US$4,300 per square meter, which is equivalent to approximately RMB 27,300. This price is higher than the average house price in many new first-tier cities in China.

According to data from DappRadar, during the period from November 22 to November 28, in the four Metaverse projects on The Sandbox, Decentraland, CryptoVoxels and Somnium Space, the total number of virtual land transactions reached more than 6,000, and the total transaction amount reached 106 million US dollars. . Even singer Lin Junjie announced on November 23 that he had spent about 780,000 yuan to buy three plots of land on Decentraland.

The two parties to a transaction are not just buying and selling between individual users. Buyers involve companies such as virtual real estate and virtual currency. Republic Realm, the buyer who bought a piece of land in The Sandbox for US$4.3 million and set a record price of virtual land transactions, is a virtual real estate developer. It is understood that this is a fund that was just established around April this year. It currently owns approximately 2500 digital lands on 19 different Metaverse platforms.

An investor from Republic Realm told Shen Ran that when he and his friends chose to invest in Republic Realm in the first half of the year, they simply believed in Republic, the crowdfunding platform, and did not understand the new fund’s focus on “virtual real estate”, but he did not expect it. After only a few months, virtual real estate has reached such a hot spot.

Why would anyone buy virtual land at a sky-high price?

First of all, in these decentralized virtual world games, the virtual land on each platform is not infinite supply , and the quantity is fixed. The virtual world map of The Sandbox is based on 166,464 plots of land, while the Decentraland platform has a total of 90,601 plots of land. Moreover, each land is a unique non-homogeneous token (NFT, the only cryptocurrency token used to represent digital assets), which distinguishes each land and each transaction. Each platform also has its own token. For example, Sandbox uses the token Sand, and Decentraland uses the token Mana.

In addition to limited supply, there is also a difference between high-quality and ordinary land. On The Sandbox platform, yellow land is high-quality land, gray land is ordinary land, and blue is land (Estate) where multiple lands are connected together. On February 11 this year, in a land sale at The Sandbox, 1,200 high-quality land was sold out within 20 minutes that night. In order to grab high-quality land, land grabbing strategies have even appeared on major platforms.

Metaverse real estate speculation fever: Someone hoards 100 sets of land more expensive than Beijing villas

B station users release the land distribution of the Sandbox platform

Picture source / station B

In terms of gameplay, the target of Rainbow Universe is the foreign Metaverse platform. Taking Decentraland as an example, players can freely create personal images, interact and socialize with other users, participate in entertainment activities such as concerts or art performances, and build houses on digital land.

Some people are willing to pay because they believe that these virtual lands already have value. After the player purchases the “virtual land” on the platform, they can create and play for the second time, such as directly leasing or waiting for value-added and high-priced transfer, or building commercial and entertainment areas on it, and then renting or transferring at a high price, or showing themselves Collection of games.

According to reports, virtual currency company is currently developing an 18-story skyscraper in Decentraland, renting it to lawyers or cryptocurrency exchanges. It also stated to the outside that it will use Decentraland’s “Lot 116 property located in the heart of Fashion Street” to expand into the digital fashion industry, and the real estate in the Fashion District may be leased to fashion companies in the future.

Metaverse real estate speculation fever: Someone hoards 100 sets of land more expensive than Beijing villas

The Sandbox Twitter post shows the Adidas logo

According to Bitcoin reports, Adidas has reached a partnership with the Metaverse game platform The Sandbox to establish the Metaverse brand. An Adidas spokesperson said that the company is very concerned about Metaverse, “Metaverse is currently one of the most exciting developments in the digital field.” There are many brands like Adidas, and The Sandbox has established IP partnerships with more than 160 brands.

Virtual land flourished, and virtual assets such as virtual clothing and NFT avatars were also popular. Recently, the virtual game platform Sandbox Metaverse sold a Metaflower super yacht for 149 Ethereum (a virtual currency) for about 650,000 US dollars, which is the most expensive NFT asset sold on the platform so far.

In addition, it is understood that Nike brand sneakers appeared in the game “Fortnite” in 2019. In October this year, Nike is registering trademarks for various virtual goods, including virtual shoes and clothing. It seems that it is ready to enter the yuan. The universe is now; fashion brands such as Dior and Gucci have also launched virtual clothing collections on the Metaverse platform Zepeto.

The Metaverse real estate bubble may burst at any time?

The heat wave of Metaverse real estate speculation hits. Huang Xin is considering whether to invest more and charge more houses, but he is well aware of the risks involved.

Rainbow Universe, which is still in the closed beta stage, was complained of as a low-profile Sims, but because Metaverse is still in the conceptual stage, he is likely to lose his money.

At present, Rainbow Universe’s house transfer has raised the threshold. Users can no longer transfer randomly as they did at the beginning, but must hold the house for more than 15 days to transfer it. “If the government changes the rules in the future to extend the period of house transfer to a longer period of time, such as more than two years, people who stock up a large number of houses in their hands may not be able to transfer.” Huang Xin said.

Zhang He, a cryptocurrency player who was harvested by Dogecoin in the first half of this year, faced the crazy virtual real estate and firmly said to Shenran that the risk is too great and he will not touch virtual assets again in the short term.

The transaction price of virtual land on the foreign Metaverse platform is getting higher and higher. Wang Sheng, a partner of Inno Angel Fund, believes that at present, it is mainly driven by the enthusiasm of Metaverse, but virtual land is just like Bitcoin, and its scarcity has caused it to become A financial product.

He told Shen Ran that after the financial productization of virtual land, the market began to become active. Therefore, in the short term, the liquidity of virtual assets is supported under the concept of Metaverse.

But in the long run, he believes that virtual land, based on the current actual application situation, is not sufficiently supportive for development. “Virtual real estate is a long-term affair. Only when the virtual world becomes truly prosperous, has a large amount of traffic, and becomes a traffic portal, the true value of virtual land may appear.”

Metaverse real estate speculation fever: Someone hoards 100 sets of land more expensive than Beijing villas

Source / “Blade Runner 2049”

Gao Dongxu, founder and chief analyst of China Entertainment Think Tank, said that virtual real estate, virtual land and the props and territories in the current game are not much different in substance, and they are still conceptual and short-term phenomena. ” Virtual real estate transactions are frequently occurring at sky-high prices, and the currency circle is more of an investment, but also in order to allow more people to take over the virtual currency .” Gao Dongxu said to Shen Ran.

Supervision is a big mountain in the minds of digital asset investors. Gao Dongxu mentioned that at present, the risk supervision and governance of virtual assets in various countries still need to be improved. In the future, laws and regulations will form an evaluation and certification system for virtual real estate.

Financial commentator Wang Chikun also believes that virtual real estate lacks actual value support, and related trading activities have multiple risks such as speculation and falsehood.

He told Shenran that the trading of virtual assets has exceeded the professional knowledge of ordinary people. Real estate speculation in Metaverse is similar to speculation in shoes and coins. With the improvement and strengthening of supervision, the bubble may be pierced . In view of the above circumstances, ordinary investors should make cautious judgments, and non-professionals should reduce the allocation of these assets to prevent harvesting.

The virtual land is hyped up, and it is considered a gimmick made by stakeholders for the sake of concept. Before the technology in all aspects of the metaverse is not yet perfect, it is most likely to be just playing drums to spread flowers.

On the one hand, users, virtual real estate developers and other forces have poured in madly. On the other hand, there are constant doubts and cold thinking. As a new thing, virtual real estate is bound to have a bubble component. Ordinary users still need to be cautious when entering the game and beware of being cut.

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Coinyuppie is an open information publishing platform, all information provided is not related to the views and positions of coinyuppie, and does not constitute any investment and financial advice. Users are expected to carefully screen and prevent risks.

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