## Asset Revolution in the Virtual World: How NFTs Are Redefining the Metaverse Economy

Have you ever wondered where the money spent in online games actually goes? When you spend money in mobile games to buy character skins or virtual houses, those assets are entirely controlled by the game company's servers. But what if there was a way for the virtual items you purchase to truly belong to you, and even be freely traded across different platforms? How would that change the game? This is exactly what NFTs and the metaverse are transforming.

## What Exactly Is the Concept of the Metaverse?

The term "metaverse" originated from Neal Stephenson's 1992 science fiction novel *Snow Crash*, describing a virtual space parallel to the real world where everyone has their own virtual avatar. Today, the metaverse has evolved into a broader concept—**a visually rich, fully functional virtual ecosystem where people can work, play, shop, and socialize**. The foundation of all this relies heavily on blockchain technology and NFTs.

To summarize in one sentence, the viewpoint of venture capitalist Matthew Ball is most accurate: "The metaverse represents the fourth wave of computing, following mainframe, personal computing, and mobile computing." It is not just a gaming concept but an upgrade to the entire digital economy.

## How NFTs Serve as the "Identity Verification System" of the Metaverse

**NFTs (Non-Fungible Tokens) are essentially digital assets based on blockchain technology**, each one unique and non-reproducible. In the metaverse, NFTs play a crucial role—they are proof of ownership of virtual assets.

Imagine what a metaverse without NFTs would look like:

- Items earned in games cannot be resold, with their value permanently locked on the server
- Virtual clothing created by designers can only be worn by the owner, losing all commercial potential
- Carefully managed metaverse properties could be delisted at any time, with assets instantly wiped out

This highlights the fundamental difference between NFTs and traditional digital assets:

| Feature | Traditional Digital Assets | NFT Assets |
|---------|------------------------------|------------|
| Uniqueness | Reproducible (e.g., music, images) | Each one is unique |
| Ownership | Difficult to verify | Clearly proven via blockchain |
| Transferability | Limited to a single platform | Freely tradable across multiple markets |
| Editability | Arbitrary modifications | Immutable once created |
| Copyright Management | Unclear | Set and managed by creators |
| Use Cases | Mainly consumption (viewing/listening) | Collecting, investing, gaming, multi-purpose |

## From an Investor’s Perspective: How to Participate in the Metaverse

For ordinary investors, directly creating metaverse projects is too high a barrier. The most feasible approach is to buy and trade NFTs, which has a low entry barrier and is relatively simple.

**Step 1: Choose a Trading Platform**

OpenSea is currently the most mainstream NFT marketplace, accounting for the majority of trading volume. While other blockchains have their own platforms, their functions and gameplay are similar, so mastering one is sufficient.

**Step 2: Prepare a Digital Wallet**

A wallet is the key to entering the metaverse investment world. MetaMask (the fox icon) is the most commonly used, used for connecting to trading platforms, executing buy/sell transactions, and transfers. After logging into the OpenSea website, click "Connect Wallet" in the top right, accept the terms, and create an account (completely free).

**Step 3: Deposit Necessary Cryptocurrency**

You need to purchase cryptocurrencies like Ethereum (ETH) as a medium of exchange. This can be done through exchanges like OKX, Binance, etc., then transfer the purchased coins into your digital wallet. As long as your wallet has sufficient balance, you can start trading.

**Step 4: Find and Purchase NFT Projects**

Once on OpenSea, select NFT projects you like or are interested in buying. If the market price seems high, you can choose auction mode—auction prices are usually below the floor price, offering opportunities to buy cheap. Note that auctions have time limits, and the highest bidder wins.

**Step 5: Sell Your NFTs**

If you want to sell your owned NFTs, find the asset in your profile, and choose to list it for sale. You have two options: set a fixed price or participate in an auction. After setting the price and duration, list it. Once purchased, you will receive the corresponding virtual currency.

The platform will often display other buyers' offers, usually below the current market floor price. If you need to sell quickly or think the price is reasonable, you can accept offers directly.

**3 "Taboos" to Know Before Entering the Metaverse**

- ⚠️ Never input your private key on unfamiliar platforms (your private key is like a bank password; exposure means total loss)
- ⚠️ Do not use the same password for all metaverse-related accounts
- ⚠️ Never trust "guaranteed profit" NFT airdrop ads—most are scams

## How the Metaverse Boom Affects the Virtual Currency Market

The metaverse and the cryptocurrency market are mutually reinforcing. During the previous bull market, projects like Decentraland and The Sandbox sparked a surge in virtual land purchases. For example, the MANA token surged by 4,100% during the 2021 bull run, even outperforming Bitcoin's performance during the same period. The Sandbox's virtual land prices skyrocketed from 1,000 yuan to 45,000 yuan, surpassing Taipei real estate gains.

However, as the overall crypto market peaked and declined, the floor prices of these metaverse projects continued to hit new lows. Many NFT assets have been halved in value, and some niche projects are now completely abandoned and impossible to sell.

This volatility reflects a core issue: **the rise and fall of the virtual currency market directly determine the popularity of NFTs and metaverse projects**. When market sentiment is high, capital flows in; when confidence wanes, prices often plummet.

## Risks and Opportunities in Metaverse Investment

For new investors entering the metaverse space, several key points must be understood:

**Liquidity Challenges**

Since metaverse/NFT investments are still niche, most projects suffer from severe lack of liquidity. You may face situations where you want to sell but no buyers are available, especially in bear markets. Therefore, it is recommended for beginners to start with small amounts and avoid large capital injections.

**Fraud Risks**

There are many projects claiming to be "metaverse" but are essentially hollow. These projects often lack real application and rely solely on hype and emotional-driven speculation. Once market enthusiasm fades, prices crash. Unless you have advanced speculative skills, it’s best to avoid unfamiliar or unknown metaverse projects.

**Comparison with Other Investment Types**

| Investment Type | Capital Threshold | Advantages | Disadvantages |
|------------------|---------------------|--------------|----------------|
| Metaverse/NFT | Varies, high for well-known projects | Can trade anytime, high volatility | Poor liquidity, no short selling |
| Cryptocurrency | Lower, divisible | Can trade anytime, two-way operations, leverage supported | Many types, quality varies |
| Futures/CFDs | Low, mini lots available | Two-way trading, high leverage | Limited upside, difficult to achieve excess returns |
| Stocks | Higher | Strict regulation, most compliant | Many restrictions, limited profit potential |

## Long-Term Outlook: Does the Metaverse Really Have a Future?

Despite short-term volatility and bubbles, the metaverse still holds significant long-term potential.

Tech giants like Meta (formerly Facebook), Microsoft, and Google are investing heavily in developing metaverse-related technologies, indicating strong capital backing. On the technical side, virtual reality and artificial intelligence will be core supports; economically, virtual economies will continue to expand within the industry.

It is foreseeable that new business models and industry chains will gradually materialize, ultimately building a true bridge between virtual and real worlds. During this process, the improvement of relevant laws and regulations will lower investment barriers and reduce malicious activities. From a macro perspective, **the metaverse has the potential to truly change people's lifestyles, social modes, and economic structures**.

In the NFT field, more diversified forms and supporting models will emerge in the future, gradually aligning with the development trajectory of the metaverse.

## Frequently Asked Questions

**Are the metaverse and NFTs really not scams?**

While fraud cannot be completely ruled out, mainstream and well-known metaverse projects are unlikely to be entirely disconnected from real applications. As a development trend recognized by mainstream capital, the metaverse still points toward technological innovation. The issue lies not in the concept itself but whether certain projects have genuine practical support.

**How risky is metaverse investment?**

All investments carry risks, and the metaverse is no exception. Investors lacking basic understanding who blindly participate in seemingly cheap but fundamentally hollow projects face high risks. However, since NFT investments usually do not involve leverage, maintaining good trading discipline and operating in liquid markets allows for flexible entry and exit.

**Where should I start?**

It is recommended to begin by learning basic concepts, choosing projects with good liquidity and high reputation for small-scale testing, and gradually gaining practical experience. Always remember: **If you don’t understand a project, it’s not worth investing real money**.