I doubt you will be reading this post and not be aware of the metaverse. Nor could you be ignorant of the hype surrounding this utopian digital world we are all going to be blissfully living within. And yet, if you’ll forgive me, I have just a question. I’ll make this quick, and perhaps the answer will be simple.

I constantly watch the fluctuating “floor price” (the cheapest price for which I can purchase something) for these various metaverse NFT’s representing a different amounts of digital $LAND; and I am burdened with this perpetual question…

In the physical world there is a very definite and clear “limit” to the availability and quantity of LAND. 🙃 This, combined with location (the age old realtor’s battle cry) creates demand, desirability, and dictates the value. Now, in a digital metaverse with infinite “space” in which to work the “demand” can ALWAYS be satiated. There will never be scarcity as new “worlds” can always be created.

Thus all metaverse real estate value is temporally tied into the current social pressures of the “hot neighborhood” (“location”) and there exists no long-term asset appreciation as you might find in traditional real estate simply on the value of scarcity.

I doubt you will be reading this post and not be aware of the metaverse. Nor could you be ignorant of the hype surrounding this utopian digital world we are all going to be blissfully living within. And yet, if you’ll forgive me, I have just a question. I’ll make this quick, and perhaps the answer will be simple.

I constantly watch the fluctuating “floor price” (the cheapest price for which I can purchase something) for these various metaverse NFT’s representing a different amounts of digital $LAND; and I am burdened with this perpetual question…

In the physical world there is a very definite and clear “limit” to the availability and quantity of LAND. 🙃 This, combined with location (the age old realtor’s battle cry) creates demand, desirability, and dictates the value. Now, in a digital metaverse with infinite “space” in which to work the “demand” can ALWAYS be satiated. There will never be scarcity as new “worlds” can always be created.

Thus all metaverse real estate value is temporally tied into the current social pressures of the “hot neighborhood” (“location”) and there exists no long-term asset appreciation as you might find in traditional real estate simply on the value of scarcity.