What role will the DAO play between Metaverse players and virtual land?

DAO and the Metaverse

Many individuals organize collectively in social applications and blockchains to pursue common goals and interests, and the resulting decentralized autonomous organizations are often referred to as DAOs. As the Metaverse market continues to mature, DAOs are emerging in terms of utilizing and investing in the Metaverse. With Goldman Sachs valuing the future of the Metaverse industry at $8 trillion, mainstream society has begun to pay attention to the accessibility, usability, and monetization possibilities of virtual worlds.

Currently, the owners of virtual lands in the Metaverse include some of the biggest names such as Adidas, Nike, Snoop Dogg, and JPMorgan Chase. These entities are investing in the digital space and aligning with Web3 trends to better connect with consumers. But, for the average person, the biggest barrier to joining the digital realm is cost. The DAO is seeking to create fairer ways to invest in and utilize the Metaverse virtual world.

DAOs can make virtual land more accessible, helping newcomers join Web3 to explore ways to share, rent, and invest in virtual land in the Metaverse.

NFTs are the new keys to virtual land

In 2021, the two largest Metaverse platforms, Decentraland and Sandbox, will have a combined virtual real estate transaction volume of approximately $460 million. Moreover, in addition to these two platforms, blockchain games like Axie Infinity are also building their own Metaverse in their games, creating valuable resources.

However, with all the current virtual land prices in the Metaverse, many investors are being turned away by the exorbitant prices. In Axie Infinity, the cheapest parcel costs around 2.2 ETH (~$6500), while the most expensive parcel is currently priced at 10,000 ETH. Prices are largely guessed based on the location of the land, similar to real-life real estate.Strategically, location is of great value to users as it increases exposure and drives traffic.

The land of Axie Infinity will not only provide a means of passive income through its governance token, AXS, but also an effective means for players to harvest resources to upgrade their in-game characters. Community members, well aware of the importance of lands to gameplay, have come together to build an NFT of AxieLands (AXL) that will enable members to access virtual lands.

What role will the DAO play between Metaverse players and the virtual land?

AXL is designed to act as an access pass to virtual land purchased by the AXL NFT team. Community members can buy NFTs for 0.1 ETH and then use any land purchased by AxieLand NFTs. The AXL NFT team intends to purchase 110 plots in Axie Infinity, covering from least valuable plots to premium plots. The project is still in its infancy, running through legal parameters and preparing to officially become a DAO. This model of AXL NFT is also very suitable for gaming guilds, especially land games, combined with leasing strategies to provide access and monetize these digital assets.

Investors can rent out virtual land for passive income

Beyond gaming features, there are endless possibilities for virtual land in a virtual world, especially depending on who the buyers and builders are. For example, LandWorks, a community-driven marketplace on the Ethereum network, has established a model for virtual landowners to rent out their plots, and users can take advantage of this cheaper entry into plots without having to hold high-priced land long-term.

In terms of creating capital efficiency in the Metaverse, LandWorks’ model is simple. Similar to the lodging marketplace and the Airbnb platform, LandWorks operates its community-driven marketplace for users to browse and find land to rent.LandWorks is operated by EnterDAO and managed by the native token ENTR. Lenders can earn token income through Synthetix staking rewards.

What role will the DAO play between Metaverse players and the virtual land?

Currently, the platform only supports Decentraland landowners, but this may change in the near future. EnterDAO is fully committed to the Metaverse, which complements its rental market with other products such as Metaportal, a Metaverse game and event hub.

DAOs are turning Metaverse real estate into investments

PangeaDAO is a Metaverse land cooperative that creates fairer virtual worlds in the Metaverse by democratizing ownership of virtual land. PangeaDAO’s treasury is managed by its community as the DAO’s capital to acquire virtual real estate and assets. PangeaDAO will manage a diverse portfolio in the Metaverse, allowing members to benefit from owning, operating and financing income-generating land.

For investors, PangeaDAO, unlike AxieLands NFTs and LandWorks, is a relatively passive way of getting itself into the Metaverse, but it includes how to generate income from virtual land through its partnerships and investments.

What role will the DAO play between Metaverse players and the virtual land?

While operations, functionality, and value distribution in DAOs are still in the early stages of development, teams of individuals with the same goals are working toward the future of the Metaverse and its place in the broader new ecosystem.

What is certain is that investors are entering new areas of network iteration through DAOs, which are also new ways to enter the Metaverse. The development of the Metaverse still has a long way to go, and the DAO will be the key for ordinary players to join the Metaverse to invest and build, and to make the Metaverse virtual space more accessible.

Posted by:CoinYuppie,Reprinted with attribution to:https://coinyuppie.com/what-role-will-the-dao-play-between-metaverse-players-and-virtual-land/
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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