Real estate speculators get stuck in metaverse

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    (ECNS) — Over the last few years, there have been groups of people who have bought homes and land, collected art, and dived into virtual worlds, but some have gotten nothing. The good times seem fleeting, as in seconds he makes a profit of 3,000 yuan ($436.3) and then loses.

    “Global Island RMB 40,000, Polar Wood House RMB 8,200, Sea View Villa RMB 7,000, Glass Flower House RMB 3,200, Mountain Village Cottage RMB 800”.

    This is the list of properties on the Honnverse app for December 2021. The price corresponds to the quality of the house.

    In December 2021, Ibe (pseudonym) painted an S-level house, a large seaside villa with European-style decorations, a piano, a pool and a garden in Hoonvers. To my surprise, someone offered to buy his account for his 3,000 yuan. Ibe made a net profit of 3,000 yuan at zero cost.

    Honnverse is running fine now, but there were less than 10 people in the main scene and very few people talking on the global chat screen.

    The main scenes, the “office” scene, the palace and the commercial district are also sparsely populated. According to customer service, there are currently no channels for buying and selling real estate on the app.

    Additionally, virtual real estate platforms around the world are mostly unmanned. A year ago, he had over 1,200 daily active users on the metaverse platform Decentraland, and over 8,800 on The Sandbox. Currently, he has only about 100 daily active users on both platforms.

    “Metaverse real estate prices are essentially a disguised sale of computing power, and computing power prices are related to costs.

    However, some have speculated about the price of virtual spaces built with computing power, which will inevitably lead to crashes,” an interview with Qianjiang Evening News.

    When the Metaverse took off in April last year, internet companies invested heavily in related products, and digital collection platforms emerged one after another.

    On the digital collectibles platform Chin Verse, an image of a cartoon Rubik’s Cube with colored patterns on each side was sold for 199 yuan. I said yes and recommended that he buy it.

    However, in early May, the lion painting Mr. Zhang bought plummeted from over 1,000 yuan to 400 yuan, and within a few days it was worth less than 100 yuan. Some say the platform has launched new products and old ones are no longer popular, while others speculate that it is the manipulation of market makers behind the scenes.

    The Chin Verse app is no longer available for download and the latest announcement on the website was updated to June 2022, stating that all forms of speculation are strictly prohibited and no matching or ongoing trading takes place. I’m here.

    This year, several players went to the southeastern Chinese city of Xiamen to seek legal remedies, only to find that the operating company of Chin Verse has disappeared.

    “The door is closed and the database may have been deleted. We have no evidence,” said Zhang Gui. “Don’t speculate about these photos or you’ll be unhappy,” said Zhang.

    According to incomplete statistics by the Qianjiang Evening News, at least 15 domestic digital collection platforms have experienced crashes or are struggling to survive. The collection has either lost all value or been refunded at its sale price.

    “Most of them are junk platforms. The platforms just wanted to make money by selling photos without considering how to properly operate their digital collections. No,” said the person who ran the digital collection. platform.

    Meanwhile, many previously ambitious large companies have chosen to cut back on their projects.

    However, some are more positive about the long-term prospects of the Metaverse. McKinsey reports that global annual spending related to the Metaverse could reach up to $5 trillion by 2030. There are still many places, both nationally and internationally, that are implementing policies related to the Metaverse and investing in technology research and development.

    “In many ways, the distortion of the metaverse is because it ties tools and finance together,” says Pan Helin. In his view, venture capital and speculation are not the same thing.

    Chinese regulators take a very tough stance on speculative trading of various commodities. China’s digital collection platform’s regulatory policies on trading and operating rules include real-name authentication of transactions, prohibition of secondary market transactions, prohibition or conditional restrictions on gifts, prohibition of off-exchange transactions, etc. to prevent speculative risks. contains many restrictions. These measures are aimed at preventing various forms of speculative behavior and maintaining the healthy development of the industry ecosystem.


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