You've probably heard all kinds of things about the metaverse by now, like that it's going to change how the internet works for everyone, forever, or that Snoop Dogg has a place there. A lot of investors are becoming increasingly curious about how they can create an income stream using the metaverse, and for good reason.
Metaverse real estate has attracted a lot of interest, with brands across the spectrum looking for places to call their own, and even small businesses trying to get in ahead of the rush. There are just as many types of real estate opportunities in the metaverse as there are in the real world, and an investor like you can see returns if you take the time to properly plan your metaverse journey.
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A busy metaverse platform is a profitable one
First, it's important to understand that while there may be some money left in land speculation in various metaverse platforms, it's rarely your best bet. Buying and holding land is a strategy that can still pay off, but the biggest thing that brings value to a metaverse platform is how much activity there is in it.
If you buy and hold a piece of land and your friend does the same, and suddenly you've got a bunch of investors who just buy and hold land, that platform isn't going to grow or become more interesting. And if it's not interesting, no one will want to be there, and your investment risks becoming nearly worthless.
So while buy-and-hold is an important component of metaverse real estate investment strategies, you're going to need to take it a step further and actually invest in your community if you want to see maximum gains. A metaverse platform is only as valuable as its community, and if your community is bored, you won't have one for long because the users are going to go elsewhere.
Consider becoming a metaverse landlord
A lot of companies are metaverse-curious. They want to see what various platforms hold for them, but they're not certain enough yet to fully invest in a real estate parcel. For these shy capitalists, the help of a metaverse landlord can be invaluable. You can provide an already-designed structure that they can simply place their branded wares in, or you can allow them to custom-design their own virtual building.
For many tenants, being close to popular attractions or well-traveled roads, depending on the platform, can be an additional boost to visibility. On the other hand, if they're driving their own traffic in or setting up a short-term event that will be advertised widely, a plot of land in a more distant area can provide more privacy as everything starts to come together.
Open your own venue
Because a metaverse-based business often requires a great deal less of everything than one in the real world, some metaverse investors are trying their hand at providing event spaces or experiences for potential visitors. Metaverse casinos are one such type of business, and although the initial investment can be high, they can pay off impressively. Decentral Game's (CRYPTO: DG) ICE Poker brought in $7 million in revenue in April 2022, from 183,000 visitors.
If poker isn't your thing, don't worry. Other events, like live concerts, games, and movies, are other potential income streams. You can sell tickets and digital (or real-world) swag or offer non-fungible tokens that grant purchasers access to special events or clubs along with the metaverse experience as a little boost. After all, you don't have employees to pay and there's no light bill, so the more ways you can find to bring in revenue from your metaverse real estate, the better.
Billboards and kiosks are still in demand
Some metaverse landowners aren't ready to build big structures, but have the time and interest to put together interesting displays for the advertisements of other companies. These billboards and kiosks can be as wild or as typical as you please -- creativity is encouraged in the metaverse. You'll have to find your own tenants and upload their art and other elements, but otherwise, billboard companies are pretty hands-off operations.
When working with billboards, it's very important to be aware of the particular world you're in. If your metaverse world doesn't show the neighborhood around your plot, the odds are good that no one will see your billboard, either. Some worlds will render everything, and others will display only the items that exist on the specific plot where a user is interacting. Make sure you go into the world you're interested in buying in, and have a long look around before you stake your digital claim.
There are plenty of ways to make money in the metaverse
Making money in the metaverse is a matter of choosing the right lot for your project, letting your real estate investment grow, and building the community around you while you do it. Remember, the more that people are interested in a metaverse platform, the better the odds are that it will have a long and useful future. And since virtual real estate plots in these worlds are often limited, the more interest there is in a world, the more demand there will be for that limited real estate and the higher its value will climb. Long term, it's all very win-win.
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