Metaverse Will Cease to Exist Without These Technologies

• There’s still no clear definition to what exactly the metaverse is.
• Metaverse economy may be a boon to freelancers.

Since the advent of metaverse craze, users have started to flock into the space to explore the many possibilities it holds. The metaverse mania got a major push in 2021 when Mark Zuckerberg announced that he is retitling the company from Facebook to Meta. A mainstream company adopting an unknown realm was indeed a brave step. But people are still unaware of definition as well as what core technologies enable it.

Blockchain to Act as Metaverse Enabler

A McKinsey and Company report, Value Creation in The Metaverse, released in June 2022 sheds light on these technologies. A particular segment of the report focuses on blockchain, digital assets and smart contracts as enablers of the metaverse.

Blockchain is a distributed ledger serving as a single source of truth. The technology will allow the users to maintain ownership of their assets in the metaverse preventing them from any skilled hack. However, they are still not entirely safe from malicious activities as the attackers can trick them into an act leading to financial loss.

Several mainstream organizations are either exploring or using the technology in their operations. International Business Machine (IBM) has its own blockchain platform for the supply chain. A user can trace all the activities, from manufacturing to delivering, associated with the product. The fact that it’s unalterable, makes it indispensable for the metaverse.

Digital assets will enable the so-called metanomics, the metaverse economy. The cryptocurrency was first brought into the light by Satoshi Nakamoto in January 2009. He released Bitcoin as a deflationary measure after the great recession of 2008. Meanwhile, the concept of blockchain was delivered to the public alongside this event.

The world saw a major boom in the crypto assets in 2021 with a majority of assets reaching their all-time high. Bitcoin (BTC) reached close to $70,000, leaving many jaws dropped. Similarly, Ethereum (ETH), the second biggest crypto asset surpassed the $4,000 mark.

Users cannot walk into a physical store with a physical wallet or currency. This is where the crypto wallets will come into play. Metaverse is more than just a game, it’s a reality. People need real money to execute transactions there unlike the COD Points (CP) to purchase a battle pass in Call of Duty: Warzone which do not hold IRL value.

Self-executing smart contracts will be a game changer in the metaverse economy. It opens up a pandora of possibilities in virtual spaces. Users can simply create a smart contract where if the condition is met, it will automatically deliver the expected outcome. The technology will empower freelancers the most. Many of them face difficulty while collecting the fees after delivering a client’s work.

The metaverse is still an infant space waiting to go mainstream. With major companies like Meta, Nvidia and more exploring possible use cases of virtual spaces, users may see it becoming the new normal in near future.

Disclaimer

The views and opinions stated by the author, or any people named in this article, are for informational purposes only, and they do not establish financial, investment, or other advice. Investing in or trading crypto assets comes with a risk of financial loss.

Anurag is working as a fundamental writer for The Coin Republic since 2021. He likes to exercise his curious muscles and research deep into a topic. Though he covers various aspects of the crypto industry, he is quite passionate about the Web3, NFTs, Gaming, and Metaverse, and envisions them as the future of the (digital) economy. A reader & writer at heart, he calls himself an “average guitar player” and a fun footballer.