From Virtual Real Estate to Digital Art: The Complete Guide to NFT and Metaverse Investment

Have you ever imagined owning your own property and showcasing exclusive digital collectibles in a virtual world? This is no longer science fiction—today’s investors are turning imagination into reality through NFTs and the Metaverse.

But before diving into this opportunity-filled field, you must first clarify a fundamental question: What exactly are NFTs, and why are they crucial to the Metaverse?

NFT: The “Ownership Certificate” of the Metaverse

In traditional games, you spend 60 yuan to buy animated stickers or virtual treasures. These assets are actually stored on the game company’s servers—once the platform shuts down or updates policies, your investment could instantly disappear.

Non-fungible tokens (NFTs) change all that.

NFTs are digital assets based on blockchain technology, with each token having a unique identity. Unlike traditional digital assets, NFTs provide genuine ownership certification, free trading, and cross-platform liquidity.

In simple terms:

  • Traditional game treasures = platform-controlled virtual assets
  • NFT assets = digital property you truly own and can freely trade

What is the Metaverse? Why Do We Need NFTs?

The concept of the Metaverse originated from the 1992 sci-fi novel Snow Crash, and today it has evolved into a persistent online virtual world where users can work, entertain, socialize, and conduct business.

This may seem simple, but for the virtual world to truly operate, NFTs play a core role—they solve key issues of virtual assets:

Without NFTs, the Metaverse would face:

  • Virtual real estate being delisted at any time, assets becoming worthless
  • Creative designs unable to be commercialized
  • Inability to transfer assets across different platforms
  • Asset values not being truly market-priced

Because of this, venture capitalist Matthew Ball calls the Metaverse “the fourth wave of computing after mainframes, personal computers, and mobile computing.”

The Relationship Between the Metaverse Boom and the Crypto Market

In recent years, Metaverse projects like Decentraland and The Sandbox have sparked a frenzy of investment, driving the entire crypto market.

Data proves the strength of this enthusiasm:

  • MANA tokens surged by 4,100% during the 2021 bull market, far outperforming Bitcoin’s performance in the same period
  • The Sandbox virtual land prices soared from 1,000 to 45,000, with gains even surpassing Taipei real estate

However, when the crypto market retraced, NFTs related to the Metaverse also declined. Many projects’ floor prices kept hitting new lows, with 50% or more drops becoming common, and some niche projects facing neglect.

How to Participate in Metaverse Investment? Complete Operational Steps

For ordinary investors, creating a Metaverse project directly is too difficult. Buying and trading NFTs is the most practical way to participate. Here are the detailed steps:

Step 1: Choose an NFT Trading Platform

OpenSea is the world’s most mainstream NFT marketplace, where digital assets across various blockchains can be traded. Other platforms have similar functions, but OpenSea offers the most comprehensive options.

Step 2: Set Up a Digital Wallet

Use MetaMask (the “little fox” wallet) to connect to the trading platform. This is necessary for buying, selling, and transferring. The first connection will require accepting terms and creating an account (no registration fee needed).

Step 3: Purchase Cryptocurrency

Buy ETH (Ethereum) through an exchange and transfer it into your wallet. This is your “purchasing power” for NFT transactions.

Step 4: Buy NFTs

Enter OpenSea and select the NFT projects you’re interested in. You can buy directly or participate in auctions. If the floor price seems high, you can try bidding—sometimes you can snag a bargain below market price, but be aware that assets with obvious undervaluation often revert to normal prices.

Step 5: Sell NFTs

In your profile, find the NFTs you hold. You can list them directly or participate in auctions. Set the price and duration, then list. When a buyer purchases, you earn the profit.

3 “Don’ts” for Investing in the Metaverse

  • Don’t input your private key on unfamiliar platforms (private key is like your bank password—if leaked, assets are lost)
  • Don’t use the same password for multiple accounts (reduces single-point failure risk)
  • Don’t believe “guaranteed profit” NFT airdrop ads (90% are scams)

Essential Risk Warnings for Beginners

Investing in the Metaverse/NFTs has obvious liquidity issues—well-known projects have high prices, while lesser-known ones risk being unpurchased.

More importantly, many projects claiming to be “Metaverse” are essentially air projects, relying solely on market hype. Once enthusiasm wanes, these assets can experience sharp crashes.

Therefore, new investors should:

  • Start with small funds to understand the market
  • Invest only in projects with real applications and reputation
  • Stay away from unfamiliar, non-utility Metaverse concept coins

Comparison with other investment methods:

  • Metaverse/NFTs: high volatility, low liquidity, flexible trading, no leverage limits
  • Cryptocurrencies: frequent trading, two-way transactions, support leverage, but project quality varies
  • Futures/CFDs: high leverage, limited profit space
  • Stocks: most regulated, limited profit potential, most restrictions

The Real Outlook for the Metaverse and NFTs

Although currently facing a cooling-off period, the long-term potential of the Metaverse remains promising. Tech giants like Meta, Microsoft, and Google continue investing, indicating this is not just a passing trend.

From a technological perspective, the integration of virtual reality and artificial intelligence will deepen the user experience. Economically, the share and influence of virtual economies in the global economy will continue to grow, with new business models gradually emerging.

In the future, the Metaverse ecosystem will become more complete, and the development of relevant laws and regulations will lower entry barriers and reduce scam risks. This means NFTs and the Metaverse are not scams but are maturing as a new asset class.

Common Investment FAQs

Q: Is the risk of investing in the Metaverse really high?

A: All investments carry risks. The main risk in Metaverse investments comes from insufficient understanding of project fundamentals. But since there is no leverage involved, as long as you follow trading discipline and ensure sufficient liquidity, you can manage your entries and exits relatively calmly.

Q: How do I determine if an NFT project is worth investing in?

A: The key is whether the project has real applications. Projects with an operational team, ongoing development, and active user base are relatively safer. Avoid those relying solely on marketing and hype.

Q: Is it still okay to enter the Metaverse/NFT space now?

A: It depends on your investment philosophy. Short-term, there may be volatility, but long-term, the Metaverse as an emerging field is still in early stages, offering both opportunities and risks. The key is to test with small funds and a high risk tolerance.

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