JPMorgan became the first bank to recently jump into the world of the metaverse. The New York-based financial service company unveiled its virtual-reality lounge in Decentraland.
Having said that, the investment also revealed its ETH-based Onyx lounge. From here, the firm looks forward to the possibilities on how it could incorporate businesses into the digital world.
JPMorgan Leaps to Metaverse Trend
In an email, the company's head of crypto and metaverse Christine Moy said that the clients have been growing interested in what JPMorgan can do inside the metaverse.
"We put together our white paper to help clients cut through the noise and highlight what the current reality is, and what needs to be built next in technology, commercial infrastructure, privacy/identity, and workforce, in order to maximize the full potential of our lives in the metaverse," Moy said as Coindesk mentioned in its report on Wednesday, Feb. 16.
The surging popularity of metaverse over the previous year comes with the growth of non-fungible tokens or NFTs in the blockchain space. These digital coins have become well-known not only in the field of business but also in the gaming and entertainment industry.
Earlier this year, South Korean electronics giant Samsung revealed its virtual New York store in Decentraland.
Barbados did the same thing back in November 2021 when it constructed a VR-based embassy in the metaverse world specifically in Decentraland, as well.
For JPMorgan, making business regarding 'metanomics" is vast, considering that it takes place across Decentraland, Cryptovoxels, Somnium Space, and The Sandbox.
In addition, it pinpointed that the price of virtual land suddenly spiked in late 2021. The bank said that its value leaped to $12,000 in December from $6,000 in June of the same year.
In its own report, JPMorgan said that it could soon launch services that are currently existing in the physical world. These include rental agreements, mortgages, and credit.
Moreover, the company also highlighted that it could incorporate decentralized finance or DeFi management in the process through the decentralized autonomous organizations or DAOs.
Related Article: Metaverse Group Buys Digital Land 'Decentraland' For a Whopping $2.43 Million
JPMorgan Expects Metaverse Investment to be 'Gainful'
In a similar report, JPMorgan said that its work inside the virtual space will be "gainful." By gainful, this means that it could collaborate with other providers in the metaverse industry like in the case of Nike's acquisition of RTFKT NFT studio.
Most importantly, the firm projects that it would push through ad-spending. The bank said that its expenditure for advertisements could reach around $18.41 billion in 2027.
Virtual Land Sold For $63,954
Recently, Benzinga spotted that a metaverse land has been purchased at $63,954 or 20,900 MANA. It was mentioned in the article that the value of these lands started to increase after Facebook's rebranding into Meta.
With that, most investors took the opportunity to sell their parcel of lands at a desirable price during that time.
Meanwhile, Tech Times reported that entertainment giant Disney appears to be interested in jumping to metaverse based on its latest patent. If that happens, we could finally see the virtual versions of Disneyworld and Disneyland in the virtual space.
Read Also: Metaverse: Already Existing in Video Games? MMORPGs Resemble the Digital World; What's Different?
This article is owned by Tech Times
Written by Joseph Henry
