All You Need to Know About the Metaverse and NFTs

If a time-traveler from the 19th century landed in your living room, you’d likely have a hard time explaining the way our world works – especially the way we deal with finances. Your visitor can watch as you hold an oblong object in your hands and proceed to order a full summer wardrobe, new bedroom furniture or maybe even airline tickets. Who would have imagined we’d be able to do all that and more or without ever touching a dollar bill, coin or even a credit card?

But the changes to the way we handle our money continue, and the world of finance evolves along with technology in the most incredible ways. Let’s take a look at two major innovations in the world of technology and finance, as well as how they may affect us in the very near future: the metaverse and NFTs. 

The Metaverse

What is the metaverse?

The term “metaverse” has generated many curious Google searches since Facebook rebranded itself as Meta in October of 2021. In short, the metaverse is a scaled, interoperable network of real-time rendered 3D virtual worlds that can be experienced simultaneously by an infinite number of users. In addition, the metaverse has continuity of data, which includes identity, objects, communications and payments. In simple English, the metaverse is an all-immersive digital universe where users can live, connect and even make financial transactions through virtual reality and augmented reality. If you played “Second Life,” you’ve already had a taste of this.

Does the metaverse exist?

While some forms of the metaverse already exist, the full experience that tech giants envision likely won’t be ready for consumer use for another five to 10 years. However small aspects of the metaverse, including ultra-fast broadband speeds, online worlds that are always “on” and virtual reality headsets to bring the user into another world are already quite common across the internet and gaming world. 

What are some examples of the metaverse?

Here’s where you can get a feel for what the metaverse is actually about: 

  • Meta. Formerly known as Facebook, the platform’s CEO speaks openly and often about the metaverse and the role Facebook will play in its rollout. 

“The next platform and medium will be even more immersive and embodied than the internet, where you’re in the experience, not just looking at it, and we call this the metaverse,” Zuckerberg said after the company’s rebranding. 

  • Microsoft. Similarly, the software giant has made no secret about where it believes the future of technology lies. Microsoft is already developing mixed and extended reality applications through its Microsoft Mesh platform, which blends the real world with augmented reality and virtual reality. Of course, Xbox Live already connects millions of gamers across the globe in a small-scale metaverse. 

 How will the metaverse affect the world of finance?

Experts envision a world where a consumer can enter a massive virtual shopping mall, purchase a unique digital item and sell that item in a different virtual world, such as on Twitter or eBay. In addition, the expected meteoric rise in popularity of the metaverse creates a unique investment opportunity for the savvy investor. 

NFTs

What are NFTs?

NFTs (non-fungible tokens) are a kind of crypto asset in which each token has a unique value. This is as opposed to “fungible” assets like Bitcoin and dollar bills, which all have exactly the same value. Because every NFT is unique, they can be used to authenticate ownership of digital assets including artworks, recordings and virtual real estate or pets.

How do NFTs work?

NFTs are part of the Ethereum blockchain. Ethereum is a cryptocurrency, like Bitcoin, but its blockchain can support NFTs as well. It’s important to note that other blockchains can easily implement their own versions of NFTs. 

NFTs can be anything digital, like music, videos or drawings, but digital art has been monopolizing NFT trading since its inception. NFT art collecting is not unlike fine art collecting in the real world: Millions of people can buy a Monet print, but only one person can own the original – and pay for it. Similarly, while anyone can own a copy of a digital piece of art, the original can sell for hundreds of thousands of dollars, or in some cases, even millions. The irony here is that while the owner of an authentic Monet has a genuine piece of art, there is no real difference between owning a copy of a digital artwork and owning the original.

As bizarre as it may sound, NFTs are gaining popularity at record speed. A 50-second video by Grimes sold for $390,000, a tweet by the founder of Twitter sold for just under $3 million, and a video by Beeple sold for $6.6 million.

What’s the purpose of NFTs?

NFTs present a world of financial possibilities for artists and collectors alike. 

Digital artists with real talent can earn a pretty penny through NFTs. Instead of posting a creative meme they designed on their Facebook page, digital artists can now try selling their work as an NFT. The good news is the artist will continue enjoying dividends of their work far beyond its sale. Every time the NFT changes hands, the artist gets paid a percentage of the profits. This way, if the work only becomes popular a while after it’s created, the artist can still pocket their share of its ultimate value. 

Collectors can use NFTs to purchase unique digital artwork as a financial asset. A work of art always carries with it the possibility of becoming wildly popular and spiking in value. Digital artwork is no exception. In addition, owning an NFT comes with some basic rights, which include being able to post the image online or use it as a profile picture.

The world of finance is constantly evolving as technology races to stay ahead of current trends and futuristic visions. The metaverse and NFTs are just two mediums that can change the way we handle our finances in the near future. Use the primer here to learn all about these technological wonders so you are better prepared to participate in and invest in the future. 

Your Turn: Do you think the metaverse and NFTs will play a major role in our finances? Why, or why not? Share in the comments. 

Paychecks & Balances

Rich Jones and Marcus Garrett are a dynamic duo on a mission to help struggling millennials learn to manage their money and pay off debt. Together, the pair launched Paychecks & Balances, a podcast with more than 5K followers where they share insightful tips and advice on all things financial.

Jones brings his background in human resources to the P&B community, but it’s his journey toward a debt-free life that enables him to really connect with his audience. Likewise, Garrett has paid down $30,000 in debt and understands the financial challenges facing millennials.

The finfluencers’ interview-based podcast is super popular with millennials looking to learn more about money and/or seeking actionable tips on improving their finances.

Here are the core beliefs of Paychecks & Balances:

  • Money does not have to be complicated — or boring. When Jones wanted to broaden his financial knowledge, he found the podcasts and blogs available online to be incredibly boring. He’s therefore determined to keep his own podcast jargon-free and entertaining while still providing the audience with valuable information.
  • Freedom looks different to everybody. We each have our own version of freedom. To some, it can mean being excited to go to work. To others, it can mean having the ability to travel anywhere on a whim. At P&B, no one is shamed for having a day job and answering to a boss, so long as it brings them personal fulfillment.
  • Mental health matters. Jones and Garrett are big believers in mental wellness. They freely sprinkle conversations about mental health throughout their content.
  • Diversity isn’t just a buzzword. The duo believe that diversity is key to financial inspiration and education. The P&B podcasts feature a range of guest speakers from all kinds of backgrounds and demographics.
  • Good career decisions lead to good financial outcomes. You’ll find lots of advice on acing interviews, negotiating salary and choosing the best career path on P&B.

You can tune into the P&B podcast episodes on a broad range of financial topics, check out their blog  for easy-to-read articles that pack a real punch and follow the duo on Twitter , Instagram and/or Facebook.

Your Turn: Are you a P&B follower? Tell us about it in the comments.

Learn More:
paychecksandbalances.com
izea.com

Six Figures Under – Dig Out From Your Mounting Debts

Six Figures Under personal finance made publicWhen Stephanie and her husband found themselves looking at a six-figure student loan debt load in 2009, they didn’t know how to start freeing themselves. Their small family’s budget was just barely making it to the end of each month. How would they possibly pay off such an overwhelming amount of debt?

Fast forward to the end of 2016 and that huge, monstrous debt was completely gone.

How did they do it?
On her blog, Six Figures Under (SixFiguresUnder.com), Stephanie shares her family’s ongoing story, detailing the steps she’s taken and the changes she’s made in her family’s lifestyle for paying down their debt while continuing to live financially responsibly. She is brutally honest about her struggles and successes, sharing the mistakes she’s made along the way and the triumphs she’s celebrated. She also offers readers complete transparency into her family’s finances, posting actual numbers about the income her family earns, their fixed expenses, investments and the way they choose to spend their money on non-fixed expenses.

But Six Figures Under is not just about Stephanie’s story. Stop by the blog and you’ll find a large community of active followers joining in on a mission to pay down their debts and live a more financially conscious life.

For 2019, Six Figures Under is on a Debt Smash-athon charge. The blog’s community is invited to share the amounts of debt they’ve paid down each month. The numbers are then tallied and posted on the blog with the big wins singled out with special mentions. In March 2019, the Six Figures Under community paid down a total of $149,866.53 of debt, invested $31,202.12 toward retirement and put away $39,151.21 for big savings goals. The feeling of togetherness motivates members to boost their efforts in paying off their debts.

There’s more than numbers to Six Figures Under. Check out the blog for the following categories and topics:

  • Frugal Living Ideas – Here, you’ll find tips and tricks for saving money on everything from family road trips to grocery bills. Posts are always engaging and packed with actionable tips you can apply to your own life today.
  • Budgeting and Finance –  The blog advocates living on last month’s income—and shows readers how to live this way, plus creating a manageable and realistic monthly budget.
  • Debt – Read up on tips for increasing your debt payments and common mistakes people make when handling their debt.
  • Ideas for Increasing Income – These posts cover a broad range of money-making ideas, from running a killer yard sale to starting a thriving business on Etsy.

Members of the blog get friendly monthly reminders inviting them to share their progress with the rest of the community, as well as frugal living tips and ideas delivered directly to their inbox.

The Six Figures Under blog is an inspirational, friendly place that is packed with money management tips and strategies for doubling down on your debt payments. Check it out today and join the debt-smashing fun!

Your Turn:
Do you have a target date for paying down all debt? Or are you just chipping away at it, month by month? Share your debt-paying strategy with us in the comments.


SOURCES:

https://www.sixfiguresunder.com/

https://www.sixfiguresunder.com/our-story/

http://www.barebudgetguy.com/six-figures-under/

https://www.sixfiguresunder.com/family-budget-update-march-2019/