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Decentraland’s Virtual Reality Can Lead to Higher Values for MANA Crypto

Decentraland (CCC:MANA-USD) is a crypto-powered virtual reality game. It’s a virtual living platform written on an Ethereum (CCC:ETH-USD) blockchain platform. Land, outfits, scenes and a host of other virtual assets can be bought using MANA crypto tokens. And, just like in real life, they can appreciate in value based on supply and demand.

Now trading at $3.20 per token, MANA crypto has a market value of $5.821 billion and has a rank as the 38th largest crypto. Facebook’s AKA Meta Platforms’ (NASDAQ:FB) move to virtual reality and the metaverse has sparked huge interest in Decentraland and its associated reality.

For example, recently in late October, the site held the first-ever Metaverse Festival from Oct. 21 to Oct. 24.

Everything in Decentraland is based on parcels of land. Some parcels also have themed communities or Districts with common interests and uses.

The sponsors of Decentraland are still developing the space. As it grows in popularity, expect to see MANA crypto tokens rise in value.

Where This Leaves Decentraland

Some early investors in metaverse cryptos like Decentraland are now reaping the rewards of their early vision. For example, Grayscale set up a trust called the Grayscale Decentraland Trust, as an ETF to be traded on the NYSE.

The ETF is one of the first securities solely invested in and deriving value from the price of MANA, according to the company. The ETF is solely and passively invested in MANA crypto tokens. This allows investors to invest in MANA crypto “while avoiding the challenges of buying, storing, and safekeeping MANA directly.”

So here we have an ETF whose only asset is the Decentraland Mana crypto token. It’s not like there is any diversification or even a purchase of Decentraland virtual assets. It simply holds MANA crypto on behalf of investors who don’t want the hassle of the simple task of learning how to buy this crypto.

This is very perplexing to me. One reason is that MANA crypto can be easily bought on the Coinbase Global (NASDAQ:COIN) exchange. This is the largest crypto exchange in the world. There are only a limited number of cryptos in which Coinbase allows trading.

So, this ETF, whose sole asset is MANA crypto on the NYSE, shows that the desire for this crypto is very high.

What to Do With MANA Crypto

The move by Facebook to rebrand itself as a metaverse stock, even though it does not have any crypto assets, has clearly boosted MANA crypto. Decentraland is its own virtual universe with its own economy.

Not only does the MANA crypto represent the sudden interest in metaverses, but it can purchase avatars and real estate assets in the Decentraland universe. This makes it a real virtual currency and metaverse crypto. People recognize this as now having value after Facebook’s move.

Real estate assets in Decentraland now have real value. Cointelegraph has an article about a parcel of land that sold for $913K. This gives it an average value for a house in Brooklyn, NY.

The way this is done is through an NFT (non-fungible token) in Decentraland called LAND. The real estate in question represented 259 parcels of land in the game. They sold for 1.295 million MANA tokens. However, at today’s price of $3.20 per MANA token, the parcels are now worth $4.144 million. So the group that bought the LAND NFTs already has a huge unrealized gain in the virtual real estate gain.

This shows the appeal of Decentraland for many investors. It’s a way for them to start over in life and gain an advantage, of sorts. Not only can they make money holding MANA crypto tokens, but they can use them to invest in appreciating assets in Decentraland.

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