metaverse

A point configured in my mind is why anyone would give preference to digital real estate instead of physical real estate, especially those who are experts in physical real estate and traditional investment. Let us discuss the difference between digital and physical land investment criteria. Traditional investors may take advantage of bitcoin current but they never thought about digital land. If you are new to the Bitcoin world, you should know the different types of cloud mining.

Advantages of Physical Real Estate:

A person invests in something only to make personal assets like owning a house and its payment is done after a leap. If I think about this financial goal, it would be the best choice for most people and the best scenario is after purchasing the house, people lend it for rent purposes. Therefore, on one side, their income is serving the locker and their property-making purpose is also resolved. In countries like Switzerland and Zermatt, people preferred to rent their houses instead of owning them.

But as per experiences shared by people, real estate is not always a favourable option because physical assets’ value if they rise quickly might drop significantly. For example, in the 2008 financial crisis, the real estate business is not going well in some countries. For some people, having physical real estate is a good idea where they can build their home and can live there. it also presents as security proof for themselves. So having a home as an investment purpose is good before investing in digital property.

Advantages of Digital Real Estate:

In a situation where a person is not able to buy a physically present house to make it a property, in that case, the virtual property will be the best option because it would be possible in case of less money available, to try to buy virtual land and get monthly income from it. The most essential factor is whenever someone tries to buy a property, its availability must be sure. But in the case of virtual property, the non-availability of the asset will not be an issue. If you are on the Bitcoin side, you would understand its superiority over fiat money due to the following points given below:

  1. The portability percentage of bitcoin is higher than gold or fiat currency.
  2. The uniformity and divisibility of Bitcoin are constant over fiat currency.
  3. Bitcoin currency is more secure than fiat currency.
  4. Bitcoin currency can be transferred over the world anywhere within minutes using the internet only, which is not possible in the case of gold or fiat currency.

These points are basic principles when comparing digital and fiat currency.

Now let us explain the above comparison

  • Durability factor: Digital assets are more durable than physical assets. It is because digital property cannot be harmed or destroyed like physical property such as earthquakes, floods, natural disasters etc. Therefore you don’t need to worry about unkeeping maintenance costs in the case of digital property.
  • Portability: Virtual real estate is possible to access from any corner of the world until you have a strong internet connection. For example, if you are not satisfied with the location of your virtual house, you would transplant it anywhere else even in between metaverse.
  • Divisibility:Investors can invest in joint projects and fractionalize NFTs to get involved in joint partnerships of land and real estate in the virtual property. Whereas in traditional real estate business, this would not be possible without completing paperwork, property rights, agreements, regulations etc.
  • Fear of being cheated: in the Digital real estate business, you can freely make decisions to enter into joint ventures into digital investment by using smart contracts. Even you don’t need to become truthful and require permission for all this. Therefore no one can cheat you and no one can be shady with you.

Contradiction to buying metaverses real estate:

The most searchable question is which metaverses are successful for the digital real estate business. Well, these questions can make digital assets riskier and highly speculative in sight of fresh investors in the digital real estate world. But there is no need to worry. Some factors should be kept in mind while investing in digital real estate, for example, good location neighbourhood, network effect, ability to monetise and most important your holding period for the said period. So these are the basic factors to choose the best metaverse real estate.