Metaverse real estate isn’t really land — it’s a ‘risky’ crypto asset that’s nothing like the physical thing

Metaverse real estate isn’t really land — it’s a ‘risky’ crypto asset that’s nothing like the physical thing

If you've been following the batch of buzzwords taking over the tech world recently, you will have almost certainly heard of the metaverse. And if you've heard of that, then you might know some people are buying up real estate using nonfungible tokens (NFTs) in the digital universe. From plots of land worth $450,000 in to video game giant in Decentraland — where — over $100 million has been poured into buying metaverse real estate, according to the predictive analysis firm But there's a problem with equating digital real estate to the physical: the primary sources of value that apply to real-world properties don't apply in the metaverse, meaning your virtual land plot may not rise in value. Experts told Insider these purchases are more of a crypto asset than anything, one that is speculative and "risky" to buy, as is anything currently relating to the metaverse — or anything blockchain-based for that matter. "I'm sure that there are people who will make a lot of money in the short term," Louis Rosenberg, a 30-year veteran of AR development and the CEO of Unanimous AI, told Insider. "But long-term, it doesn't make any sense." A major factor driving people to