MetaMetric Options has discovered that many LAND parcels on The Sandbox metaverse are being sold at a loss lately. In light of this, the information provider concluded that it is now the appropriate time to add or bid on undervalued The Sandbox properties. Nonetheless, why would individuals sell The Sandbox LAND plots for a loss?
The Sandbox Metaverse is a virtual world created by a team of innovators and developers. This metaverse aims to provide users with an immersive, fully-realized digital environment in which they can explore, create, and interact with other players from around the globe. Within The Sandbox Metaverse, users can customize their avatar’s appearance and build structures using various tools and resources.
The virtual landscape includes everything from bustling cities to peaceful forests, offering a wide array of environments for players to explore as they engage with one another across multiple platforms. Whether you’re a gamer looking for thrilling new challenges or an artist looking for creative inspiration.
With this news of The Sandbox users selling their land at a loss, is this something that we should be worried about, or is this a chance that we shouldn’t miss? Lets find out!
The Sandbox Token (SAND) Has Declined in its Value
The Sandbox cryptocurrency, SAND, has been in a downward trend recently. While the price of SAND has increased by 16% over the previous 24 hours, its present value of $2.16 is far less than the coin’s all-time high of $8.40.
Furthermore, SAND volumes have been steadily declining since the token’s peak in late 2021. This might be why so many people want to sell their property, regardless of whether or not they make a profit.
Past the initial hype
According to Messari, “The Sandbox LAND secondary sales volume dropped by 54% in Q1 2022 compared to the previous quarter. To put this into perspective, secondary sales volume in Q1 2022 is still up 865 percent compared to Q3 2021.”
The fall in Q1’s number is because, after peaking at an all-time high during Facebook’s rebranding announcement, the hype surrounding the metaverse has died down. While demand was lower than in the fourth quarter of 2021, it is still very robust. As a result, the market is regaining its equilibrium.
Owners may also sell LAND, as digital land is still in its early phases to create experiences. It is now not possible for creators to share LAND adventures with other Sandbox users.
Finally, the existing experiences don’t include many P2E features, which incentivizes participation. As a result, LAND owners may be perplexed about what they can do with their investment if they do not know how to monetize it, influencing their decision to sell it.
The problem is thus only a passing one, especially for high-profile investors. The billionaire Lo family of Regal Hotels Group in Hong Kong recently acquired real estate in The Sandbox. This implies that metaverse site tracts are a long-term investment for those people.