The metaverse (Decentraland especially) has a lot of hype behind it but the utility aspects of it is still underbuilt in its current form. Will it eventually get there? A look at a few things being worked on in the background during this bear market.
The thing that I find interesting about all this is that with an increasingly digital world, attention is worth dollars - if people are spending time in decentraland, then owning visual real estate or renting it out to people who want to create experiences on top of it could be worth some serious coin. This all assumes that decentraland is "the" place - which...who knows. Highly interesting tho
RyanTanaka
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@wolneyyy, yeah the value prop isn't there unless people want to be there. In some ways, it might be helpful to think of the metaverse as a form of social media too. Decentraland is appealing because a lot of the big name brands are there already, directly working on it.
MaureenRovitaSwanston
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@wolneyyy good words
joeace1
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The bubble has popped. People realize this thing is generations old graphics and gameplay and is no where near what people really want.
mashare1210
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@joeace1 yo spot on - Minecraft is better and don’t cost 16 eth to play lol
RyanTanaka
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@joeace1, we're starting to see a slowdown in the economy as a whole as a result of interest rates rising in the last few months. I have different videos about this too, but if the housing market experiences a similar slowdown (likely once the official numbers come out) we might be in new territory.
It's all relative at the end of the day. All crypto has to do is not go down *as much* as stocks and real-estate for it to be considered a success. Some people get caught up in the absolute numbers but money but that's what's going to make or break crypto in the long run as a long-term investment.
If traditional investments start to show signs of weakness (which is already is) a lot of people may liquidate and look to alternative assets like crypto in order to hedge their bets. Will it turn out that way? We don't know yet, but it's still a possibility, especially given how outsized trad-fi is compared to crypto.
joeace1
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@RyanTanaka, I've been in crypto for about 3 years now. I've seen the mini hype cycles many times. i knew that crypto gaming would be the next bubble. With that being said i watched the whole thing unfold. People bought into the narrative that is the metaverse and all the possibilities it could bring(not actually implemented mind you) and made the pump. once the blow off top happened you see people slowly realize that this very poorly made and not ready for any kind of mass adoption. i mean come on you see someone in your video begging and pleading people not to sell, that speaks for itself.
your comment on the economy and interest rates is not quite as strong as the argument of people leaving risk assets(crypto/meme stocks) and moving into safer assets. the average person is not thinking in your way, they see crypto as a risk, its dropped faster and harder than stocks. the bubble has popped, this is the result. that does not mean the bubble will not become inflated again. ill be trading crypto in the meantime.
RyanTanaka
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@joeace1, I've been in crypto since 2014 - I've seen a lot of ups and downs, trust me. I still remember when ETH went from 100 to 1400, then back down to 100 and stayed that way for several years. People who lost faith in the 2017 crash lost a lot, those who held did very, very well.
Most people don't have a tolerance for risk - I understand that. But again, it's relative to how strong the USD and other traditional assets look in comparison to crypto. It only takes a small % of trad-fi defects for crypto to do very well because the market size is much smaller in the latter. And if you've been paying attention to the news, it should be obvious by now that the economics of the USD isn't on a good path, either. (Why even a lot of Wall Street firms are getting into it as a hedge.)
We don't know how it's going to turn out in practice, but I do think that most people are underestimating how fragile the USD is right now, given everything that's happened in the last decade or so.