Metaverse future looks bright with venture capital funding of $707 million pouring into Metaverse startups.
The year 2022 started with the global recession and crypto prices slumping down. Though we were hopeful of some recovery in 2023, the year witnessed a major metaverse market downturn. Even the metaverse land values started to drop.
However, the recent venture capital investment of $707 million into metaverse startups has given new hope to the industry. The investment proves that the metaverse market is not dead.
Amid the AI (Artificial Intelligence) hype, many anticipated that the metaverse market would go down. But the critical point to note is that AI and machine learning will support the development of advanced and smart virtual worlds.
A report by DappRadar states that metaverse investments constitute 43.68% of total Web3 investments.
While the sector sees a 66% drop in investments from 2022, it’s still an impressive number for an industry which is predicted to reach $3409.29 billion by 2027. Last year metaverse industry received an investment of $7.6 billion.
The metaverse seemed lost amid the AI and generative AI hype. The tech industry is receiving enormous funding for AI projects.
But one major leap by Apple reversed the whole situation in the virtual world sector.
The recent launch of Apple Vision Pro will encourage transformative growth in virtual reality.
Based on the current tech market scenario, DappRadar has come up with a detailed market report on the metaverse.
Here are some highlights from the report.
Key Insights From Metaverse Market Report
- The first quarter of 2023 saw a significant rise in the metaverse land values.
- Virtual land trading volume skyrocketed by a whopping 277%.
- The total trading volume was $311 million.
- It was the best quarter for Metaverse real estate trading.
- However, the second quarter saw an 81% decrease in trading volume.
- Nevertheless, the market dynamics shifted with the launch of Apple Vision Pro.
- Unity game development platform saw a 17% increase in its shares.
- Metaverse projects like Decentraland and Sandbox also saw a rise in their share values.
- SAND and MANA token prices were up by 4% and 6.1% respectively.
- Within just 90 days of its launch, the Bitcoin Sats Name System garnered an impressive 250,000 .sats names registered and achieved a remarkable sales volume of $1.3 million.
- ADA Handle has also witnessed an increase in trading volume by 452.67%.
- The average price of ADA Handle is up by 355.02%, further validating the market’s interest in decentralized identity solutions.
- With the continuous evolution of technology, the metaverse is anticipated to have a substantial influence on Asia’s GDP.
- Projections indicate that by 2035, the metaverse’s economic contribution could range from $800 billion to an impressive $1.4 trillion per year.
- This potential growth highlights the transformative power of the metaverse on the region’s economy.
Conclusion
The ongoing evolution of digital technologies, particularly Virtual Reality (VR) and the metaverse, is causing a profound shift in our world and economy.
With Apple’s introduction of the Apple VR Pro, there is a promising potential for VR technology to become mainstream.
The innovative features integrated into this product aim to elevate user interaction and immersion in the virtual world.
Additionally, the emergence of decentralized identity solutions and AI technology brings with it a new era of digital security and efficient, user-friendly digital environments. These advancements pave the way for safer and more seamless experiences in the digital realm.
I am the CEO and founder of Blocktech Brew, a team of blockchain and Web 3.0 experts who are helping businesses adopt, implement and integrate blockchain solutions to achieve business excellence. Having successfully delivered 1000+ projects to clients across 150+ countries, our team is dedicated to designing and developing smart solutions to scale your business growth. We are focused on harnessing the power of Web 3.0 technologies to offer world-class blockchain, NFT, Metaverse, Defi, and Crypto development services to businesses to help them achieve their goals.
