The metaverse and cryptocurrencies have been two of the hottest topics during the past year. In the hopes of generating a lot of money, investors have rushed to both. But there is no conflict between these two fields. With the aptly titled “metaverse cryptocurrencies,” you can invest in both cryptocurrencies and the metaverse simultaneously.
However, not all digital tokens having a metaverse connection are worth attention. Here are the top three metaverse cryptocurrencies by market cap, along with a recommendation for when to acquire each.
With a market worth of $5.6 billion, Decentraland (MANA) ranks as the largest metaverse coin at the moment. The value of its MANA digital currency has more than doubled in the last 12 months, despite a sizable decline since December.
Decentraland is the first entirely decentralized virtual environment and the largest coin in the metaverse. The LAND contract, which enables users to buy and sell virtual land, is one of the major smart contracts that power the Decentraland metaverse and is owned by its Decentralized Autonomous Organization (DAO).
By creating interactive games, enabling advertising, and other methods, users can make money off of their LAND. The metaverse’s official money is the MANA token, which is unique to Decentraland. Naturally, MANA may be used to purchase LAND, but it can also be used to buy wearables, names, avatars, and other stuff from the Decentraland marketplace.
Decentraland is not far behind The Sandbox (SAND). The market valuation of the second-ranked cryptocurrency in the metaverse is currently $4.5 billion. But The Sandbox, with its native SAND token surging close to 1,670% over the previous 12 months, has been a significantly larger winner than Decentraland.
The Sandbox is a virtual world that employs a DAO paradigm, similar to Decentraland. It is constructed on the Ethereum blockchain, just like Decentraland. The purchase of virtual land and other assets is supported via smart contracts on this blockchain.
These two metaverses do, however, differ in some ways. The Sandbox’s adoption of the SAND digital token as its official money is the most visible. Additionally, The Sandbox is switching to Polygon’s layer-2 solution, which will result in cheaper transaction costs and faster processing.
With a market cap of $3.7 billion, Axie infinity (AXS) ranks third among cryptocurrencies used in the metaverse. With a gain of more than 2,840% over the last 12 months, its AXS token has outperformed the top three.
Axie Infinity and the two major crypto metaverses have a lot in common. Built on top of the Ethereum blockchain is Axie Infinity. Axie Infinity has its own native token (in this case, AXS), which is utilized as money in its virtual world, similar to Decentraland and The Sandbox.
However, Axie Infinity is more gaming-focused than its two major rivals. The “Axies” that players purchase can be bred, used in combat, and sold. Even kingdoms can be constructed for their Axies.
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