Have you noticed when someone comes across a new word or idea and cannot stop speaking about it? Well, this new word, for now, is Metaverse and Digital Assets, which is the talk of the town not just for someone but everyone.
What is the Metaverse?
The credits for the idea go to Author Neal Stephenson who came up with the word Metaverse in 1992 in a science fiction novel better known as ‘Snow Crash.’
Here, he imagined the meeting of lifelike avatars in virtual reality settings and realistic 3d structures.
This has been a topic of research and study from then till now. Metaverse is being understood as a virtual world that brings together various elements and aspects of technology like virtual reality, augmented reality, machine learning, artificial intelligence, video, 3D holographic avatars, and other communication mediums as a virtual place where people can live and coexist in. They can work, play, enjoy, talk, shop, do anything and everything possible but virtually with the essence of physical reality.
Major brands like Facebook, Fortnite, Microsoft, etc., give this concept even more credibility by taking an interest in this parallel virtual universe and working on it. You might already know that Facebook has changed its company name to Meta.
What are Digital Assets?
We understand the meaning of digital and assets individually, but what about when these two words are brought together?
A digital asset simply means data or content ( in the form of photos, videos, images, textual files, presentations, spreadsheets, etc.) owned by the individual/ company existing and stored digitally, not physically, and are of definite value to the end-user of these assets.
Thus, The main characteristics that make an asset a digital asset are:
- First, it exists and is stored through digital means.
- It can be identified as a unique item.
- Finally, it is valuable to the company or end-user.
As discussed earlier, digital assets can be in the form of the following file types:
- Design files
- 3D files
- Cryptographic tokens
What could be a digital asset, and how is it valued?
The value of a digital asset is very often not just determined by the physical hard cost and buying cost, unlike land and building but factors like:
- Is it unique enough that it cannot be reproduced by anyone else?
- The time, effort, and planning to create the digital asset.
Examples: media ( photoshoot pictures and videos) specially created for posting on the company’s social media handle.
To sum this all up, as we move ahead with internet importance increasing leaps and bounds and covid 19 as well, virtual or digital is becoming the new normal. Of course, there are multiple concepts gaining importance, but people are getting interested in learning more and experimenting in these areas.
All that should be remembered is to experiment and move forward with the growing world but only live in the virtual world and have, buy or sell digital assets only after properly researching the same.