The child in me has always wondered what it would be like to own a personal virtual property. My virtual mansion may have services not possible in the real world, a neighborhood full of other players, and a whole new world to interact with. This is no longer a fantasy, but has become a reality thanks to the metaverse The Sandbox.
Cryptocurrency gaming has the power to invade the electronic gaming industry. Whether this interest stems from a broader interest around the metaverse, or the functionality that is provided via platforms like The Sandbox, there is a lot to like about these blockchain-based metaverse tokens right now.
That said, interest in this area of explosive growth has waned a bit recently. The Sandbox has dropped materially from its all-time high last November.
1. The Sandbox is a unique product in a competitive market
The Sandbox is far from being the only metaverse offering on the market. However, owners of The Sandbox note that the platform is unique in its breadth of offerings.
Specifically, The Sandbox has three main product offerings: VoxEdit, a marketplace and a game creator. The platform's VoxEdit software allows users to create their own non-fungible tokens (NFTs), or digital ownership rights to art, videos, and collectibles, and import them into the game. They can then sell these assets on the market. In addition, the game creation software allows users to create mini games using community-created 3D voxel art. These games can be shared and are free. This level of integration between user-generated content, gaming, and a vibrant economy doesn't yet exist anywhere else in the metaverse industry.
2. The Sandbox has celebrity-generated hype
Hype can be a good thing and a bad thing. In particular, the hype tends to exacerbate otherwise already volatile movements. In the cryptocurrency market, this is the kind of double-edged sword that has led to some volatility in SAND tokens recently.
That said, the amount of celebrity interest behind The Sandbox is intriguing. Iconic names like hip-hop legend Snoop Dogg have acquired virtual real estate on The Sandbox platform. Other celebrities have spoken of this project as one of the best in space. DJ Steve Aoki recently bought land in the metaverse, creating what he calls “Aoki's Playhouse,” allowing The Sandbox users to participate in virtual concerts.
Invest with caution
Cryptocurrencies are inherently volatile and risky investments, but with good planning, they can form a part of a well-balanced portfolio. Said this, invest with caution is always important. Given the nascent nature of the metaverse, this is perhaps even more true with a token like The Sandbox.
Whether it's regulatory oversight, or just the potential for user demand to decline over time, there are a lot of unknowns. Right now, investors have a rather intriguing token to value, from a potential growth perspective. That said, it is the "potential" piece that has some investors unsure whether this token is worth a purchase right now.