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How to Invest in the Metaverse from Liechtenstein


  1. Select the Asset you want to acquire. You may invest in Stocks, Cryptos or NFTs. We detail your alternatives furtherly.

  2. Set your investment goals. Whether a long-term investor or a day trader, your plan should detail your profit expectation and the stop-loss level at which you will liquidate the trade.

  3. Choose the Broker that best fits your strategy. The Broker will allow you to buy and sell the asset. This step is vital; if you open an account with a Broker that you end up unsatisfied with, it will be problematic. Although you may open an account with another, it's better to pick the right Broker straight from scratch.

  4. Open a Trading Account with the Broker. Most Brokers will ask you to upload an ID (ID Card or Passport) and proof of residence.

  5. Deposit Funds. Funding alternatives range from credit cards to bank transfers and e-wallets. The available options will depend on each platform.

  6. Buy the chosen asset and Apply your Investment Strategy. Once the Broker confirms that your account is funded and ready to trade, it's time to buy the asset and apply your trading strategy.

  7. Review your performance and calibrate the strategy as needed. You can't expect to get it right from the beginning. When investing, especially while you are starting, you will make mistakes. That's a given. Learn from them, improve and twitch your strategy as needed.


However, before you proceed, you must take into account that:


  • Past performance doesn't mean future returns. You will hear stories about that "Trader from Vaduz that made a fortune". Don't assume an investment will continue to do well in the future simply because it's done well in the past.

  • Only invest what you can afford to lose. Never leave your Franc balance at 0 due to a big trade. There is no certainty that it will go well.

  • Don't blindly trust what you read online. People are biased, and even the top financial gurus make mistakes. Learn, investigate and reach your conclusions. Reading financial media will help you take more informed decisions, but do not take it as proven truth.

  • Stay Calm. Financial market volatility is scary, and it is easier to say than to do, but remember that it is hard to take good decisions while anxious. If you are getting too worried about your investments, then you should invest a smaller amount of money.



Initial Metaverse Concepts


It probably sounds like science fiction to you, but think about it: when you wake up, first thing, you check your mobile phone, right? Then, we have breakfast, turn on the computer, meet by video call with colleagues, and play online with people from other countries. So, aren't you already living in a hybrid Metaverse?


The Metaverse seeks to bring all these experiences into one profile, your avatar. You may access an alternative, immersive world through virtual reality, which is why the metaverse growth has been linked first to video games.


The first investor to conceptualise the Metaverse was venture capital Matthew Ball in January 2020. He proposed some features for the Metaverse:


  • It should be continuous and synchronous, in other words, alive.

  • It's accessible to everybody, and you may have a personalised presence.

  • Have a fully functioning economy.

  • It should enable new experiences in an interoperable way. A multitude of creators will develop it.


The Metaverse is a concept that grows and mutates daily, and also, there are many of them. It will depend on what you wish to do or achieve. You may watch an NBA game live on Horizon (from Meta, A.K.A., Facebook), meet friends at a concert like Travis Scott's in Fortnite, invest in virtual Real Estate in Decentraland or play and, at the same time, trade cryptos with programs like Axie. A PC or phone won't give you an immersive experience, but they are an option to enter the digital universe for now.


You will, then, need to choose:


  • Which Metaverse platform will you enter,

  • an eWallet to carry out transactions and also,

  • a means of communication.


As you may imagine, there has been an outbreak of companies that began offering Multiverse platforms. Among the options that we have named, there are two that stand out for their development, tenure and number of users:


  • Decentraland: It was released in 2017. It is a 3D virtual space that players walk through using customisable avatars. Decentraland's currency is called MANA; it is used to buy parcels of LAND, clothes for your avatar, and other items. Its main feature is that users can create their objects and works of art, sell them and buy them.

  • The SandBox: It started as a 2D construction game and was reimagined as a Multiverse experience. It focuses more on video games created and monetised by the platform's users, for example, in Dungeon of Dum-Yz, where you become a warrior. Many brands like Adidas are already involved in The Sandbox.

  • Other Alternatives: Try Axie Infinity, Star Atlas, Horizon Worlds, Zepeto, Roblox, Fortnite, and other games. The list goes on and is constantly updated.


MetaMask is the most popular eWallet in the Metaverse since it installs an extension to your browser and allows apps to interact directly with your devices based on the Ethereum blockchain. Other eWallet options are Exodus, Trust Wallet, CoinBaset, and Enjin. Of course, it will depend on the Multiverse you choose and your country of residence.


We recommend creating a profile on Discord. It is the most powerful communication channel in the Gamer and Metaverse communities to talk about any topic and share files. You may interact as if it was a radio with your friends or enter specific content organised by topic, for example, how to win a game of The SandBox.



Metaverse hardware


If you really want an authentic experience at the Metaverse, you will need virtual reality glasses and controllers. Some of the companies that are leading the production of this hardware are the following:


  • The Oculus Quest by Meta is an excellent price/quality alternative. It is a standalone device that can run games and software wirelessly through an App on any device.

  • Although a bit pricey, HTC has developed the most advanced model, their VR set has a tracking and mapping system that includes hand movements.

  • Sony was one of the first companies to get into VR in 2016 with the PlayStation headset. Launching new models every year, it differs from other consoles and is always at the forefront for the Metaverse.



Metaverse Assets: Your Alternatives


Why would you want to go into this chaos? Bloomberg estimates an 800 billion dollar market opportunity by 2024 in the Metaverse, and investors don't want to miss this opportunity. There are 5 basic ways to invest in financial assets related to the Metaverse:


  • Buy Shares of companies related to the Metaverse

  • Invest in an ETF of shares of related companies

  • Buy Cryptocurrencies focused on developing the Metaverse

  • Native Metaverse Cryptocurrencies

  • Invest in NFTs, the Metaverse 'stuff'


Below we present the different alternatives.



Metaverse Stocks


Many participants are developing the Metaverse, and each company is looking to jump on the bandwagon. Therefore, investing in their shares may be suitable if you are looking for a passive, medium-term investment.


In just five steps, you can start trading stocks; here, we present them according to their sector:


eCommerce companies


Social Media companies


Virtual Reality companies


Circuit and computing technology companies


Companies that create Metaverse content


Video game developers and distributors


Games and virtual spaces



Metaverse ETFs


If you want to diversify your portfolio with exposure to the Metaverse, you can trade Exchange Traded Funds or ETFs. It is an effortless way of investing in a basket of stocks, and you can do it in just a few steps. There are endless ETFs focused on technology; among others is the Invesco QQQ Trust ETF (QQQ): one of the most representative ETFs of the technology industry listed on Nasdaq.


There are also specific options, such as the Roundhill Ball Metaverse ETF (METV ETF). It was the first one to track this new industry's performance, with exposure to companies developing essential infrastructure (such as Cloudflare), game engines (such as Unity and Roblox), and content pioneers for Meta.


Additionally, brokers like eToro feature Smart Portfolios dedicated to the Metaverse. For example, MetaverseLife is a portfolio of financial assets (Stocks, Cryptos, NFTs) selected by the Broker.



Metaverse Cryptos


The Metaverse needs its own economic environment, and at this point is where structural cryptocurrencies appear. They are called 'structural' because many games and cryptos in the Metaverse are based on a blockchain. For example, Decentraland, The SandBox and Axie Infinity do it on Ethereum as a base, whilst Star Atlas transacts on Solana. These blockchains are on the boil, and you will find new ones every week. Following, we mention the most stable projects:


  • Ethereum – Unlike Bitcoin, Ethereum was not created as a digital currency. It is a complete platform; to simplify, let's say it has its Internet browser, coding language and even its independent payment system. It is a decentralised network and has become the most used to develop applications (dapps) and transact non-fungible tokens (NFTs).

  • Solana is also a platform for decentralised finance applications and other smart contracts. Solana is Ether's biggest competitor since its transactions are faster and cheaper. We will not go into the technical details of its process, but this crypto is among the '20s most traded and continues to grow. SOL has a higher market capitalisation than other altcoins and is a top choice for buying NTFs.

  • Cardano is a public and Open Source platform and is also decentralised. It is one of the most innovative technologies in this industry and has a significant supporting community. For all this, its native cryptocurrency (ADA) is another top alternative.

  • Avalanche, equivalent to Cardano and Solana, it has the advantage that it can host apps developed in Ethereum, and several projects have considered migrating here due to its more affordable costs. As a result, its cryptocurrency (AVAX) grew tremendously.

  • Tetha is another decentralised network with a focus on video streaming. It wishes to become YouTube's primary competitor with blockchain technology. It uses a P2P system to take advantage of users' bandwidth and storage space.



Native Metaverse Cryptocurrencies


A Metaverse would be like a country with its currency, rules, laws, etc. Thus, each country/App needs a specific cryptocurrency. We can acquire them through an eWallet such as Binance. The most attractive due to their potential and market capitalisation is the following:


  • Mana: Native token of Decentraland, which, if you didn't know about it, is the closest project to a sci-fi idea of a metaverse. It is an entire world built on the Ethereum network, which allows you to emulate all real-world activities. For example, you may buy properties, create objects, organise a concert and even vote in the community. Decentraland is one of the most solid virtual universes today.

  • Sand: Token of The SandBox. It is a play-to-earn mobile game that works with user creations. You can design an avatar, goods, and different games within it and exchange them. In this way, the users' products are monetised NFTs, and Arena is the currency that allows these transactions. Along with Decentraland, they are the most popular Metaverses. US Hip Hop Superstar Snoop Dogg has stepped up his investments in the Metaverse in this environment after launching the sale of his LAND digital real estate. The rap icon opened sales of 122 LANDs and 67 premium LANDs plots on the Metaverse platform, along with an auction for three OpenSea 3×3 ESTATES. Premium LANDs will include three Snoop Dogg NFTs in the exclusive real estate sale.

  • AXS: Axie Infinity is a Pokemon-type game where you collect Axies. To improve them or compete with them against other players, you need to earn rewards or buy AXS. You can invest in these game tokens and earn money by playing their daily quests or story mode.

  • Atlas: From the Star Atlas platform. Unlike the previous ones, it was developed open-source under the Solana network. Although the game has yet to be released, it's already possible to trade spaceships and land NFTs.



Metaverse NFTs


NFTs or Non-Fungible-Tokens are digital assets. You had a photo on your computer, copied and pasted it, and with a change of name, it was impossible to distinguish which was the original. The NFTs have come to change that, they are digital tokens (like a cryptocurrency), but it certifies that something is unique and unrepeatable. Thus, a photo but also a design, an avatar or a weapon in a video game can be an NFT. Do you know where we are going with the NFT fuss?


NFTs are revolutionising the world of art collecting. Quantum was the first digital work of art certified as an NFT to be auctioned online in 2021. But this technology opens new horizons: the CEO of Twitter, for example, sold the first tweet in history for 2.9 million dollars. In addition, to buying the elements of each Multiverse, you can also trade NFTS on platforms such as:


  • eToro: eToro.Art is eToro's NFT collection. eToro.Art is one of the most valuable NFT collections and includes pieces from Bored Ape Yacht Club, CryptoPunks, World of Women, Beeple, Damien Hirst, and NFTs from up-and-coming artists and projects.

  • Open Sea: It is the first NFT marketplace and the largest one. Here you can buy works of art, original music, Formula 1 cards and almost every form of NFT. You transact with ETH through your eWallet.

  • Rarible: It is a decentralised market which allows direct dealing. It charges 5% to each side of the transaction (the bid and ask). In addition, it enables the creation of NFTs.

  • Ethernity: an App focused on sports, where you will find exclusive pieces by Leo Messi or Luis Suárez.

  • Valuables: An exclusive platform for buying and selling tweet NFTs. Would you like to own that viral? It's here.

If you want to diversify your portfolio with exposure to the Metaverse, you can trade a variety of assets, Stocks, ETFs, Cryptos, and the newest asset class out there, NFTs.

If you want to diversify your portfolio with exposure to the Metaverse, you can trade a variety of assets, Stocks, ETFs, Cryptos, and the newest asset class out there, NFTs.

Facebook went All-In the Metaverse

Mark Zuckerberg claimed that Facebook should transition from social media to a Metaverse company in five years; he believes that the Metaverse will be the evolution of the social media industry. His commitment is such that he even changed Facebook's name to Meta, its stock listing and logo. The new stock ticker is MVRS, which trades on the Nasdaq Exchange. The CEO also announced a $10 billion annual investment to develop Metaverse technology.


Reality Lab is its new development department devoted to producing virtual reality software and hardware. They make the Oculus Quest headsets and metaverse platforms like Horizon Worlds. With the latter's launch in the United States, Meta's Metaverse (sorry about the redundancy) finally took shape. It is his first social experience game, where you can create your avatar, inhabit different worlds and even develop games within the same platform.


Why so much interest in the Metaverse? During Meta's launch, Zuckerberg stated that Facebook emerged in the same years as mobile phones, which is why the company did not intervene in the development of smartphones. Now he would seek to redeem himself and grow, shaping the Metaverse.



Conclusions


Besides Meta's moves, many companies are developing apps and hardware to jump into the virtual world. Furthermore, conceptually, the Metaverse is conceived in a decentralised manner. It does not belong to a company but implies the creation of different interconnected platforms that allow users to move from one to another, regardless of who has developed it. As with the internet, the Metaverse won't be something that a company can create independently.


As much as Metaverse companies want to speed up their development, the Metaverse is still an infant. Current virtual reality tech cannot yet duplicate the physics of real life, among many other technological barriers: A development and adoption horizon of 10 to 15 years is fair. So, be prepared to keep your investments for a while if you want to achieve real, tangible growth. With regards to the tech barriers, here's a list:


  1. Emulate the five human senses. The aim is to combine touch, hearing and sight stimuli to generate a credible effect for users through the available devices. The next step is haptic gloves, replicating the Metaverse's texture, hardness, and weight sensations. Its goal is to make us believe that we are actually doing it when we raise a glass in the virtual environment. Some startups like Hi5, HaptX, Manus and SenseGlove have already presented their advances. Also, Meta's Reality Lab has been working on this type of glove for several years and has developed a prototype that promises to outperform them.

  2. Inclusion and connectivity. Imagine the gigabytes required by virtual reality if we often cannot have a video call by zoom without losing the connection.

  3. The last barrier concerns access to the necessary devices and the use of personal data: what will happen to the thousands of new cameras and sensors? Which company will handle that sensitive information, and how will you ensure that users have control? What will happen to people who can't afford to buy the devices?


As you can see, there is still a long way to go.

A metaverse is a technological environment that attempts to replicate the real world (or a portion of it) in the virtual one. Large leading technology companies, social media companies and game creators are working on this concept. This article details how you may invest and become an avatar.

METAVERSE CONCEPTS AND INVESTMENTS FOR TRADERS IN LIECHTENSTEIN

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