Historically, the methods for accumulating wealth have been well-documented. The majority of entrepreneurs grew up reading investment books like Warren Buffet, Robert Kiyosaki, Charlie Munger, and Benjamin Graham. I certainly did.
Much of this knowledge is timeless and still applicable, particularly in relation to investment psychology, although the technical specifics are not. Furthermore, the context in which the works were written no longer exists, including the time and place in which they were written.
The Web 3.0 age is upon us, with distributed ledgers, virtual reality, metaverses, cryptocurrencies, non-fungible tokens, artificial intelligence, and the internet of things all playing a role.
Here are several strategies for building long-term riches in this brave new metaverse.
Table of Contents
1. Virtual Real Estate
For the wealthy, real estate has traditionally been a sign of long-term riches. The reasons are self-evident: you might gain a lot of money with NFTs and cryptocurrencies one day and lose it the next. However, with real estate, the trend is to make stable profits year after year. Its defining feature is consistency: even if it has a few bad years, the tendency tends to level out over time.
Setting up online periodicals and websites is not considered virtual real estate (some digital marketers refer to this as online real estate, a valid but entirely different concept). Real estate in the metaverse is what is being discussed here. Rather than “property,” this region will be referred to as “space.”
What’s remarkable is that you can put some classic notions like advertising, rent prices, lounges, retail shops, museums, and more into the metaverse. Certain areas will be tailored to a specific VR experience, but without the need for electricity, construction, or maintenance.
This may all seem far-fetched, yet it’s actually occurring. Casinos, lounges, arcades, shopping malls, and pretty much everything else you’d expect to find in a shopping mall can be found at Metamall. Cubes, Cabins, Clubs, Chalets, and Chateaus are among the 6,000 available spaces. A Cube (in the form of an NFT) that resembles a regular fashion or retail store can be purchased. Then there’s the Chateau, which is similar to a multi-story office building or a major government structure.
When commercially accessible VR headsets and a functioning metaverse are likely a few years away, the point is that the firms and architectures are here today, and entrepreneurs who capitalize on trends before they get popular (often while they are mocked by the crowd) make huge profits.
2. Service Businesses
Many established firms are trying to figure out how to get into the metaverse. The majority of non-technical people have heard of blockchain, cryptocurrencies, and NFTs but have no idea what they imply.
This opens up a big market for consultancy and public relations firms who want to bring traditional business methods into the metaverse. This might be accomplished through crypto custodial services, content management, or even the production of tokens and whitepapers. Given smart contract weaknesses, cyber security is another large industry that will only grow. You can start a company that offers these services and represent yourself as a thought leader or domain expert in a specific metaverse area.
Graduates and others just starting out in the business world can contribute in a variety of ways. There have been multiple stories of young people making hundreds of thousands of dollars by selling NFTs, and platforms like as H3RO3S even allow students to earn up to $1,500 per month by executing both local and distant activities with a personalized avatar. Even in an age with geo-restrictions, it provides a way for students to interact and earn money. This decentralized network has the ability to compete with UpWork and TopTal, but it still has a long way to go.
3. Investment Directly
You might just wait for a market fall and invest in a variety of cryptocurrencies with medium- to long-term potential, depending on your financial circumstances. Yes, you’ll lose out on the early stage of spectacular growth (the Polygon token ($MATIC) was up over 4,000% in early 2021), but projects like Polygon, Solana, Ethereum, and Ankr are massive companies with significant backing. They are cross-industry, multi-chain, and interoperable. In other words, even if the initial jump was missed, they have good long-term viability and could be a nice investment in an investor’s arsenal. They also have the right industry connections in place to smartly position themselves for the approaching metaverse age.
These projects could be found for around 33% of their all-time high (ATH) price. From a previous ATH of $260, Sol traded as low as $80 in February 2022. These are likewise proof-of-stake ecosystems, which rely on appropriate rewards to encourage network involvement.
Compounding interest rates are important to long-term investors since they are the true source of wealth. There are also Web3 projects that pay a 1,000 percent annual percentage yield, but this isn’t long-term wealth, and you’ll have to time your leave well to keep your winnings. Fast acquired wealth is frequently lost quickly. This recurring pattern, which has to do with basic human psychology, is hinted to in the writings of many of the world’s best entrepreneurs.
In the metaverse, there are plenty of investment opportunities.
Naturally, there are a variety of ways to invest in the metaverse. You can do so in the above-mentioned architectures (the blockchains from which the metaverse will be built). NFTs can be purchased on a variety of platforms. By going through the whitelisting procedure and hoping that the project tokens climb considerably, you can get in early on several projects.
You can also use a classic concept like Benjamin Graham’s Dollar Cost Averaging to invest a set sum in specified coins at set periods, independent of market conditions.
The argument is that there’s no reason why you can’t combine traditional investment principles with cutting-edge metaverse inventions to make a fortune.