Several Metaverse-related projects have put in double-digit gains.
Key Takeaways
- Facebook (NASDAQ:FB) is now called Meta, Mark Zuckerberg announced Thursday. The Big Tech giant has rebranded to focus on the Metaverse.
- Metaverse tokens like Decentraland's MANA and Axie Infinity's AXS have reacted positively to the news.
- The Metaverse is popularly used to refer to the next iteration of the Internet, where users will be able to interact, play games, socialize, and exchange value with others within virtual worlds. It's often used interchangeably with the term "Web3."
The Metaverse-related crypto projects Decentraland and Axie Infinity were rallying after Facebook revealed that it would be rebranding and turning its focus to virtual reality worlds yesterday.
Metaverse Tokens Rise
Crypto investors were rushing to buy into the Metaverse.
Several Metaverse-focused crypto projects have rallied following Facebook’s rebranding announcement. The Big Tech giant revealed it would be changing its name to “Meta” Thursday, explaining that it will switch its focus from traditional social media towards building out the Metaverse.
“Our mission remains the same, it’s still about bringing people together,” Facebook CEO Mark Zuckerberg said in a 90-minute presentation on the company’s future. “We are still the company that designs technology around people. But now we have a new North Star: to help bring the Metaverse to life.”
While several projects have rallied on the news, the virtual world Decentraland is currently leading the charge, with the game’s MANA token rising more than 46% since the announcement.
Other Metaverse and NFT gaming projects have also put in significant gains. Axie Infinity, the play-to-earn blockchain game that took the crypto space by storm this summer, initially rose over 17% before a slight cool-off.
Another NFT gaming project, Enjin, has also experienced a bump, gaining over 11%. Enjin is a play-to-earn gaming platform that lets users mint their in-game items on Ethereum and transfer them between the platform’s games in what the company calls the “multiverse.”
The Sandbox, a Minecraft-style mobile Metaverse game, has also benefited from Facebook’s announcement. The game’s SAND token was up 23% on Friday, extending its week-long rally.
The Metaverse refers to a future iteration of the Internet, where shared virtual spaces are linked together, forming a perceived virtual universe where users can meet, play games, and socialize.
Zuckerberg stated that he believes the Metaverse will be the “successor of the mobile Internet,” allowing users to create digital worlds using VR technology and augmented reality. As part of last week's announcement, he also teased that his firm would support NFTs in the future. Earlier this week, the company revealed that it would invest $10 billion into building for the Metaverse this year.
Prominent figures in the crypto space have also shared similar views to Zuckerberg. Former hedge fund manager and outspoken crypto enthusiast Raoul Pal has frequently spoken about his belief that the Metaverse and social tokens like Decentraland’s MANA token will become increasingly prevalent over the coming years.