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There is no denying that the global technology landscape has evolved tremendously in recent years. The cryptocurrency sector in particular – particularly the concept underlying the nascent “metaverse” ecosystem – has gained a lot of traction. This is evidenced by the fact that between 2020 and 2021 alone, the total capitalization of the digital asset industry grew from $1 trillion to $3 trillion, albeit briefly.
Before we go any further, it’s best to describe what I think the metaverse is. Simply put, it is a 3D version of the internet that aims to mimic real life in a digital space by taking the immersion factor to a whole new level – Virtual Reality (VR) representing the ultimate experience. The technology has gained so much traction in recent years that conservative estimates suggest the global metaverse market is a cumulative rating of approximately $1.6 trillion in 2030, growing at a compound annual growth rate (CAGR) of 50.74% between 2022 and 2030.
That said, it’s worth pointing out that the world of VR is currently missing several elements of the metaverse that experts believe are key to the growth of this burgeoning market. For example, most VR-centric games today don’t have a blockchain framework; have a poorly designed economic set-up; lack of tangible stimuli; or have bad gameplay mechanics. As a result, they have a small, limited user base, a problem exacerbated by issues of poor graphics, lack of upgradeability, and low scalability.
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The VR industry needs a makeover
While the revolutionary potential of VR technology as a whole is undeniable, its adoption has been somewhat lackluster. This is because the vast majority of content currently available in the VR ecosystem is limited in its scope. VR content has not tangibly evolved over the years. Until now, many gamers are constantly looking for VR adaptations of their favorite titles, which has not materialized due to numerous graphics and hardware limitations.
However, many projects are now helping to solve this conundrum by merging the best aspects of revolutionary games and movies with unique game mechanics, algorithmic solutions and ideas embedded in a realistic VR framework. In short, these projects are designed to envision an unprecedented, new virtual world on a level equal to that of world-class gaming titles – all while blending key aspects of blockchain and crypto technology, such as non-fungible tokens (NFTs). ), native cryptocurrencies and a decentralized asset market.
Finally, since they are built on the blockchain, assets available within these projects can be created directly by their users and registered on the blockchain as NFTs. Simply put, players are given the ability to build, craft and securely trade in-game assets – be they items, characters or tokens – at the touch of a button.
Existing problems are addressed immediately
A major drawback of today’s VR titles is that they are quite limited in their free world expansion. Again, this is a direct reflection of the software and hardware limitations of the technology. Many of today’s emerging projects allow users to work in an environment where anyone can create absolutely anything. The end goal now is to create an ecosystem comparable to some of the most prominent blockchain game titles, with every aspect of the metaverse being fully decentralized and directly owned by the users.
Not only that, upcoming projects leveraging blockchain and VR are packed with future-proof “algorithmic data” systems that enable the creation of in-game events that are usable even when their developers and creators are not online. Essentially, these games harness the full power of VR and imbue several key aspects of the metaverse, creating a parallel universe where users are free to do as they please.
The future will be completely decentralized
As people around the world are increasingly drawn to decentralized technologies, it is obvious that the burgeoning metaverse will only continue to grow. As the use of VR and the metaverse expands into untapped horizons such as education, healthcare, manufacturing, vocational training, communications, and retail, researchers believe the metaverse could contribute $3 trillion (€2.8 trillion) to global GDP over the next ten years.
Analysts also believe that when used in conjunction with VR devices and smartphones, the metaverse could reach uncharted territories. these technologies stand to contribute $440 billion and $1.04 trillion respectively in capital to the economies of Europe and Asia by 2033.
So it will be interesting to see how the future of this rapidly evolving space continues to develop.
Adam Bém is the co-founder of Victoria VRa blockchain expert and VR disseminator with over five years of experience in project management, strategic planning and blockchain technology.
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