July 21, 2024

Technavio: Metaverse real estate sales will reach $5 billion by 2026

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Technavio: Metaverse real estate sales will reach $5 billion by 2026

The real estate market in virtual worlds will fluctuate greatly due to its connection to the cryptocurrency market, according to analysts at the international research company Technavio.

In its report, Technavio predictedexponential growth of the real estate market in metaverses by 2026. It is reported that the volume of this market will reach $5.36 billion. Two factors will contribute to growth. First: users will be able not only to have fun in virtual reality, but also to work and do other useful things for themselves. The second is due to the popularity of cryptocurrencies, which will make virtual real estate more accessible and easier to buy, sell or rent. In short, the situation will allow digital property owners to earn passive income. However, not everything is as rosy as it may seem, the report says. The virtual real estate industry is still very different from real estate:

“The price of virtual land does not correspondpricing models in the physical world. The value of digital assets, including virtual real estate, will therefore depend largely on how buyers perceive price. This usually results in significant fluctuations.”

Fluctuations in quotes may negatively affectinvestments from companies and users interested in a new area for investment. Currently, the most interested companies are based in North America. The region accounts for 41% of investments made in expanding adoption of metaverse applications.

Earlier, the American magazine Time published an article in which the authors told their readers that the penetration of metaverses into everyday life and public consciousness will change the world.