VR = Casino

An article at Coindesk points to a jarring dissonance in numbers. A metaverse project called Decentraland has an average of 38 users each day. (Defined as people who log in, not just momentary views.)

Decentraland has a stock “value” of $1.3 billion, meaning that idiot venture capitalists have used it as a toilet to throw away 1.3 billion dollars for tax dodge purposes.

Just for fun, let’s compare with this blog. The old and new together typically have 4 active users as marked by Statcounter. (Some non-bot readers are still reading the old, even though it hasn’t changed in 10 months.) My stock value is zero, and my budget is $100 a year for WordPress service, plus about 30 minutes per day for writing. Longer when I’m putting together a tech history piece, but the ratio is zero for those because nobody ever reads the tech history pieces.

If we take the $100 as “investment”, I’m spending $25 per reader. Decentraland’s investors are spending $3 million per reader. Seems like I’m getting better mileage.

The article at Coindesk makes a far more meaningful comparison between Decentraland and the PROFITABLE metaverse projects:

Despite low user metrics, Decentraland and The Sandbox have high valuations. According to data from Messari, Decentraland and The Sandbox both have market caps of around $1.3 billion each. While the play-to-earn game Axie Infinity has a $1.16 billion market cap, its nearly 22,000 daily users reported on DappRadar suggest that open-ended metaverses that don’t provide incentives to stay, such as gaming or trading, may not see regular returning users at this point.

In other words, Metaverse is meant to be a casino. The VR surroundings are just a cheap version of the flashing lights and rich-looking interiors of Vegas.

Come to think of it, the “scenery” in Zuck’s legless magnum opus includes replicas of the Eiffel Tower and the Taj Mahal, just like Vegas.

%d bloggers like this: