What is Metaverse?
Metaverse is an online, 3D universe that combines multiple different virtual spaces. It is just a concept for now, but the way it is growing it is difficult to say that it would remain a concept in the coming future. Metaverse would include all the things that are available in reality. Everything would be accessible in this 3D universe.
Metaverse is the easiest way to create your own Augmented Reality Experiences.
How to access Metaverse?
A major discussion is ongoing if the Metaverse would be accessible without paying any real money or it would be only accessible after some amount is paid to the owners of the Metaverse.
However, currently, the video game companies and similar Metaverse companies are not charging their customers a penny, so we are still inclined that the judgment shall be towards not paying and free access to the online 3D universe.
Why is Metaverse gaining popularity?
Since the novel coronavirus pandemic has introduced virtual meetings and events across the globe, and funnily, everyone eventually made peace with virtually attending meetings and gatherings, virtual gatherings are being welcomed in daily lives. From top management to blue-collar jobs, everyone is getting comfortable using the online services and online platforms in times of need because they have turned out to be fruitful and rarely disappointing.
When globally virtual services are being recognized and are being voluntarily opted for even the tiniest need, owners of Metaverse identified the opportunity and introduced the Metaverse.
The Metaverse will allow users to work, meet, game, and socialize together in these 3D spaces.
Currently, we meet virtually but things are not up to the mark. The satisfaction of getting ready while going to an office cannot be fulfilled in an online virtual meeting. This thing can be solved with the help of Metaverse. In Metaverse, you can get ready and as per your choice, do the required activity with your avatar and find a little satisfaction, not exactly as much as going to the office but more than virtual meeting.
How does the Finance sector fit in Metaverse?
We pay for everything we own in real life, similarly, we might have to pay for everything we want to own and buy in the Metaverse. This is where the finance-technology (FinTech) companies will play a major role.
Cryptocurrencies, a digital currency in which transactions are verified and records maintained by a decentralized system using cryptography, rather than by a centralized authority can help with paying in the Metaverse. The world-famous cryptocurrencies can be used on the Metaverse as a 3D replacement of cash and money.
Cryptocurrencies help in creating a digital economy with different types of utility tokens and virtual collectibles (NFTs). Crypto wallets will be of huge benefit in the Metaverse.
The financial, virtual, and physical world is not more independent. They are all interlinked with each other and are mostly dependent on each other.
Our mobile phones are the easiest form of linking the entire three worlds together. Mobile phones have already managed to gain confidence in many aspects, with just at the touch of a button. The finance sector has also benefitted from this device and will continue to benefit.
One of the major examples is that you can now access NFTs, blockchain games, and crypto payments easily on the Metaverse using your device. They are now all easily available as part of a developing Metaverse.
Human beings have certain basic needs. We must have food, water, air, and shelter to survive. If any one of these basic needs is not met, then humans cannot survive. Finance is the aspect that lets us have food, water, and shelter and after some point, it will play a role for air.
Similarly, to survive in the Metaverse finance sector will play an essential role in fulfilling the basic survival demands and definitely, the reason for Metaverse entertainment will not be free forever. This will boost the finance sector in the future.
Recently, JP Morgan has become the first bank to enter the Metaverse, opening a lounge in the popular blockchain-based world, Decentraland – one of the most popular Metaverse. This marks the banking giant’s entry into the Metaverse, as it eyes the potential financial gains.
What do I Conclude?
I would like to conclude by saying that the finance sector is now considered as the major aspect of basic living. Metaverse being an online 3D universe, a completely different world altogether would need the finance sector for safe and confident transactions.
Finance sectors will gain the confidence of their customers by entering the Metaverse and Metaverse will gain customers through finance sectors. A win-win situation for both and profits to both.
The finance sector will perfectly fit in the Metaverse and indulge people by gaining the trust in money transactions, thus making Metaverse a confident world.
Blackcoffer Insights 39: Meghashree Agadi, Dassault Systemes
