The Metaverse has become the next big trend, and so are the cryptocurrencies within it. This makes them enjoyable prospects to read about, and worthwhile discussion points for increasing your wealth in 2021 and beyond.
Imagine some point in time when you live in a world that frees you from the physical limitations you live in. In this alternate reality, it is easier for you to connect with people from distant countries, relax, and even work remotely alongside others. You can gain wealth and create art remotely. All this is summarized in one word – the Metaverse. To join it and access its benefits, you will need cryptocurrency.
The blockchain technology that makes up the Metaverse is still a work in progress, but it is also true to say that the concepts are already well developed, and looking at the best cryptocurrencies to use alongside it is among the best investment choices you can make. In this review, we will look at the best five choices on the market, basing it on the pros and cons of each coin to help you make an informed choice.
Best Metaverse Crypto – Comparison Table
Best Metaverse Crypto The ecosystem you use it in AXS Axie Infinity MANA Decentraland SAND The Sandbox (as well as associated games) TLM Alien Worlds ENJ Enjin
Reviews of the Best Metaverse Crypto
Axie Infinity (AXS) – Best Potential Metaverse Currency
This is already among the top cryptocurrencies of the year, and has seen gains surpassing 20,000% in 2021 alone, as well as inspiring numerous similar games. When you purchase it, you can make purchases within the game and trade your items for more coins. It is built on the Ethereum blockchain network, and its structure works on a play-to-earn functionality, while Ronin helps to reduce network latency, transaction delays, and the transaction fees you pay.
Among its most exciting and fascinating features is that all the items within the game are represented on-chain in form of NFTs (non-fungible tokens), and this allows you to easily monetize your gameplay as well as maximizing on NFT trades with other players. You can link the tokens with the Axie monsters and the land plots within the game.
However, what makes its approach different from the usual in-game items is that it gives you ownership of the NFT, which provides you with on-chain ownership proof, and allows you to trade in-game assets with other players.
The ecosystem uses a 2-token model consisting of SLP (smooth love potion) and AXS (Axie Infinity Standard), which lets all active holders form the decentralized organization of the game and shape its development – like the management of the ecosystem fund.
Pros
- Available on both mobile and desktop
- It has major potential to earn large amounts of crypto
- Allows you to contribute to game changes once you own tokens
- You can trade in-game items through it
Cons
- High cost of the coins can be a deterrent for new players
- The game only accepts AXS and Ethereum as valid payment methods
MANA (from Decentraland) – Best for Creation and Monetizing of In-Game Content
Decentraland is a platform that uses virtual reality to manage, sell, and purchase your virtual properties, conveniently called LAND. You can also develop the plots you own in the game in any way you prefer, and join the game through your VR headset, computer, or smartphone. All you will need to start is the game’s cryptocurrency, the Decentraland MANA, which will give you the access to more investment properties, paying for items within the game, or accessing interactive apps.
Decentraland itself has three layers – a real time layer, a land content layer, and a consensus layer. MANA is also Ethereum based, and you cannot purchase it directly – instead, you will trade Ethereum or Bitcoin coins and get MANA in exchange. Since it is also an Ethereum-based coin, you can store it in a wide range of software or hardware wallets, which include Trust Wallet, Trezor or Ledger, Atomic Wallet, any Exchanges that support MANA, and MyEtherWallet that stores all ERC20 coins.
Pros
- Gives you unique property rights for your digital possessions
- It had a very strong momentum in 2021
- Very high prices for investors, which can give you plenty of profit when selling the tokens
- It is backed by prominent institutions
- It has plenty of room to grow in the future
Cons
- Very high gas fees, as it is based on the Ethereum blockchain
- Very stiff competition in the virtual world spaces and from other NFTs
SAND (from Sandbox) – Best for Trading NFTs Within Sandbox Games
From its beginnings in 2011, The Sandbox is a world building game that allows you to construct, customize, and monetize your gaming experiences. The gaming platform and the token are built on the Ethereum network, and the aim of the token is changing gaming dynamics by rewarding players for the value you produce in the game.
The Sandbox game has a circular economy structure between different user levels that include landowners, curators, creators, and players. LAND is a representative of the real estate you own digitally, while SAND is the token you use for all your transactions. Each LAND unit is also an NFT that is on the public Ethereum blockchain, and you can purchase each unit to allow for further in-game purchases.
Additionally, you can also create ASSETs, which are user-generated tokens who assemble UGC, or user-generated content. You can use SAND tokens to trade these ASSETs, then incorporate them into your LAND units. When you want to earn more SAND tokens, you can participate in staking activities, which allow you to obtain an automatic allocation of 2.5% of the stacking pool.
Pros
- Allows you to generate income from LAND and other NFTs
- Easy to monetize your work, especially as a content generator
- Decentralizes the use and control of NFTs in the gaming industry
Cons
- It has economic restrictions, as it is not a fully-fledged cryptocurrency
- The target audience is very small, as it is only limited to game developers and gamers
- It lacks a solid and reliable transaction authentication system
TLM (from Alien Worlds) – Best for In-Game and Outside Use
This is among the newer token projects that is a work in progress, but it is also rising exponentially in popularity despite the undervaluation of the Alien Worlds project. Alien Worlds heavily relies on NFTs and was created in 2020 – the currency is very useful in-game, and also has extended DeFi functionality.
The Alien Worlds game allows you to explore a colorful virtual world, and it also includes the unique aspect of a completely decentralized economy with numerous DeFi features such as staking. Unlike most games that have a basic in-game economy, Alien Worlds is highly advanced. Due to this, many NFT and crypto enthusiasts also agree that it will be among the largest blockchain-based games in years to come.
The TLM token is very useful within the game, and it is also usable outside the game, which is why it is on this list. Its main use is as a governance asset, as holding it allows you to vote in DAOs (Decentralized Autonomous Organizations) and influence game development in a small way. You can also use the token to buy other NFTs.
Pros
- Easy to mine, as long as you have a suitable set of NFTs
- Allows you to gain governance rights when you own it
- Useful both within and outside Alien Worlds
- Allows for mass investment through its low upfront costs
Cons
- Some users may find its interface too simplistic
Enjin (ENJ) – Best for Purchasing Nfts in Other Games
This is a rapidly growing blockchain that feature a 19-million registered gaming community, and allows its users to create a website for your guild and clan, add wikis about the game, create forums, and many more functionalities that enhance your gaming experience.
Similar to the other tokens on this list, the Enjin coin is based on the Ethereum blockchain, which allows you to benefit from smart contracts as well as blockchain technology. Its biggest project that it is setting out to achieve is centering its token around the trading of virtual goods. Through the tools you get within the game, you can generate unique coins that are specific to your community, then Enjin backs the coins to ensure the benefits are included in any transaction your community makes.
The coin features its unique wallet that promises to boost your security, with its Secure Keyboard functionality being specially made for use with the Enjin wallet. It also includes a security feature that encrypts your tokens through cryptography layers – the software is customized according to the specific wallet you use, while the hardware uses AES encryption (Advanced Encryption Standard).
Pros
- Through its use, you can integrate NFTs with your website, application, or game
- It uses a native wallet with dual encryption capabilities, and can handle both NFT and crypto trades
- Allows its users to trade unique NFTs
- Offers a cross-chain, decentralized, and scalable blockchain network
Cons
- The Enjin crypto wallet is not an open-source wallet, so it lacks proper vetting
- It lacks physical backing in its commodities, profits, or assets
Is a Cryptocurrency Important in the Metaverse?
In many ways, crypto and NFTs are essential to unlocking and understanding the potential of the Metaverse, because they allow you to trade digital items that range from clothing and assets to digital media. Through the Metaverse blockchain, your NFTs will remain secure and have low vulnerability to hacking or duplication.
Blockchain technology is already well established, but the Metaverse is continually evolving due to the changing value of NFTs. Ultimately though, the real value will be with you as the user and what you can do with them within the Metaverse games you play, as well as outside the games.
The Criteria For Choosing a Metaverse Cryptocurrency to Invest In
Investing is confusing, and crypto investments are even harder to predict because of the quick changes in their value over time. To avoid making mistakes, here are some criteria you should use when choosing a Metaverse crypto:
The community
The following of a cryptocurrency determines its success rate in a major way, so ensure the token has a strong community backing as it shows there is genuine interest behind it.
If the coin is confusing to you, you can visit user forums on Reddit and other platforms, as they will answer all the questions you may have.
Fundamental analysis findings
The ‘fundamental analysis’ data means the investment foundations – this refers to the team behind the token and their ambitions. This will be as helpful as technical analysis, since it will assist you to make better choices about your investment.
To do a fundamental analysis, make sure to examine:
- The team behind the tokens
- The technology the token is based on, such as Ethereum
- The coin’s white paper; this will tell you the coin’s purpose and overall vision
Pricing history
This will indicate the coin’s history, and let you know if it is a solid future investment. Some questions to ask are:
- What is the coin’s volatility?
- Is the coin resilient even with market changes?
- Is the pricing at an all-time high? If this is the case, it is better to wait until its price drops before investing in it.
FAQs
Which Metaverse tokens can I get on Coinbase?
Considering all Coinbase assets, the best tokens to get in terms of market value are MicroPets, Fatcom, Stafi, Pundi X NEM, MAPS, Electra Protocol, EOS Force, and FairGame.
Are Metaverse NFTs a good investment to make?
NFTs in general are a fast-growing space and have plenty of growth potential, although some NFTs are better investment choices than others.
Conclusion
Regardless of the information we present to you in this review, keep in mind that you need to be careful about investing your money in Metaverse tokens. At the end of the day, cryptocurrencies are high-risk, so always invest in them if you are ready to lose your money, especially with trending tokens. Additionally, ensure you understand the risks involved and the virtual worlds you will use them in, to understand their continuous evolution.
