Luck investors who bought Shiba Inu (CRYPTO: SHIB) last year are sitting on a cool pile of winnings. You only need to have invested $2 a year ago to be a millionaire today, after the dog-themed cryptocurrency gained more than 50,000,000% over the past year.
But signs are pointing to Shiba Inu being past its prime, and it's unlikely that it will post similar gains in the future. But have no fear. If you missed out on Shiba Inu, there are other investment instruments that offer high potential for gains. Metaverse cryptos, in particular, are on the rise, and they might power the future of the digital metaverse, which means untold potential sums of money. The Sandbox (SAND -4.27%) and Decentraland (MANA -3.96%) are two of the most popular metaverse cryptos. Let's see why.
Celebrities in The Sandbox
Adria Cimino (The Sandbox): The Sandbox brings the strength of blockchain technology to gaming. In this metaverse play space, you can create or buy assets on the blockchain. Users are considered owners of content they create -- and they can go on to set a price for those assets and sell them at any point. So, players can monetize their experiences over time. How do you play in The Sandbox? You can choose a plot of land from a map -- and build on it.
Celebrities are even getting in on the game. Snoop Dogg is constructing a mansion in The Sandbox. And players are invited to join the Snoopverse and help out. In The Sandbox, players can buy non-fungible tokens (NFT) representing everything from Care Bears to figures from The Walking Dead.
Users make transactions via the token SAND. This cryptocurrency's use is limited to the game. But that doesn't mean its performance will be limited. If The Sandbox continues to gain momentum and players create and buy and sell more and more content, the token's future may be bright. And that means those who invest in it today also will benefit.
Let's look at The Sandbox's performance so far. The crypto player has slipped 43% from a high reached last month. But it is still heading for a 13,100% increase this year. And there's a lot more to come, according to The Sandbox's road map. Among catalysts on the horizon: The Sandbox aims to launch on mobile devices next year. As this newish area develops, the Sandbox and other metaverse players will likely be volatile. But the popularity of gaming may help the strongest metaverse cryptocurrencies to progress. The Sandbox looks like it could be one of those future winners.
The most expensive land in the metaverse?
Jennifer Saibil (Decentraland): Decentraland is a virtual gaming and social platform, but it has implications far beyond that. Users can buy and sell land and set up virtual shops, and some projects include NFT museums and fashion shows. But the ability to buy virtual real estate on its platform may be the most exciting opportunity here -- at least for now -- and the market is heating up.
Just last month, Toronto-based Metaverse Group, which has its digital headquarters in Decentraland's Crypto Valley, bought real estate on the platform for $2.4 million. That was the biggest metaverse deal yet. The property, which covers 116 parcels (about 6,000 square feet), is in the Fashion Street district. The buyer is building relationships with top-tier fashion names who are moving toward having a metaverse presence. It plans on being a "virtual landlord," renting that space to companies for things like selling clothing or creating fashion shows.
That's a pretty penny for virtual real estate, and it reflects the general feeling that people are moving to the metaverse. Decentraland is an important platform for driving real-world engagement with digital assets, and its token, MANA, is rising accordingly. MANA is the currency used for transactions on Decentraland, such as the above deal going through for 618,000 MANA.
As an investment, MANA's been doing pretty well. At the current price of $3.19, it has gained more than 3,500% over the past year. It hit a high of $5.91 in November, but it dropped quickly and remains volatile.
Lots of upside for the metaverse
Metaverse cryptos have seen their prices skyrocket, and it looks like they're far from done. But they are risky plays since they deal with digital assets that experts are still figuring out how to value. If you invest now, you could end up with life-altering gains. Or you could lose it all. At this stage of the game, you may want to invest a small amount and see where the metaverse takes you.