Should you buy Decentraland (MANA)? Investing in the metaverse
- Decentraland is a software that runs on Ethereum and has built a shared virtual world.
- LAND is the non-fungible token used to define the ownership of land parcels within that world.
- MANA is a cryptocurrency that facilitates the purchases of land and virtual goods and services.
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MANA MANA/USD plays an important role in Decentraland’s virtual world due to the fact that it can be used for transactions within the ecosystem to participate in the management of its software.
Owning MANA allows users to interact with the platform and customize their avatars, interact with other users, and explore the metaverse as a whole. Owning MANA will also give any user the ability to vote on any of the policy updates, participate in LAND auctions and subsidies to improve the platform.
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Embracing the Metaverse
On May 24, eToro, one of the leading cryptocurrency brokerages, added support for the buying, selling and trading of Decentraland.
On June 4, the 277-year old, British auction house Sotheby’s announced that it opened a virtual replica of its London Galleries within Decentraland. The virtual gallery is located in Decentraland’s Voltaire Art District and can be found using the map coordinates 52,83.
On June 4, Boson Paid a record $704k for Decentraland Plot in order to create a Virtual Mall. This retail space is intended to allow players of Decentraland’s browser-based game to purchase digital assets that they can exchange for physical goods and services.
With MANA, the native cryptocurrency for Decentraland being added on many new brokerages and exchanges, we can see how users have increased options when it comes to trading it. You can learn how to buy Decentraland (MANA) here.
Furthermore, with attractions such as Sotheby’s auction house, we can see a lot more players being interested in exploring Decentraland’s world, and with Boson implementing this metaverse with its real-world goods and services, we can see a fuse of the metaverse and our reality.
This has the potential to drive the value of MANA up, which potentially makes it a worthwhile investment.
Should you buy Decentraland?
On May 24, once eToro announced its support for MANA, the price went to $0.88. On June 4, after the British auction house Sotheby’s announced their virtual replica, its price remained at $0.88.
But by mid-June, MANA we saw its value trade at around $0.70.
This means that we can see a consistent stream of value at the $0.70 to $0.80 mark. Historically, it has gone up as high as $1.60 on May 7. In any case, its value is vastly superior to it was throughout early 2021 where it had a value of $0.08 starting out. It has had a bullish run and increased up to $1.60 before dropping yet again to $0.70.
Through the further implementation of real-world things into the metaverse as well as support from companies going forward and an increased interest in digital goods, we can reasonably expect the $0.70 level to provide strong support and it would be surprising to see the price fall further.
While we may not see MANA re-test the $1.60 level in 2021, a reasonable outlook would be for Decentraland to at least trade above the $1 level before the end of the year.