What Can You Use Decentraland (MANA) For?
Decentraland is an online virtual metropolis where anyone can create, experience, and monetize content and applications.
You can create your 3D avatar and explore a fully-programmable landscape that exists in the Metaverse. This is a great place to learn to code, build a community, or even meet new people. Projects such as Crypto Kitties, a virtual kitten game fueled by LAND, the digital asset that powers Decentraland, proved successful. By providing users the ability to create their digital objects and curate them in this shared online space, developers can turn their creations into revenue streams; Decentraland blockchain is currently being used as a platform for selling CryptoKitties kittens. Here are a few ways to use Decentraland (MANA) with your cryptocurrency portfolio.
Partner with a digital currency wallet
A landowner in Decentraland can create an application to be installed within the digital world. Bitcoin and Ethereum smart contracts run on the Ethereum blockchain. With these applications, users can download their wallets holding their cryptocurrency. When you buy MANA, your wallet sends the digital currency to a Decentraland account created as part of the application. Users can then trade their digital assets on an exchange and withdraw the corresponding MANA to their wallet once satisfied with the purchase.
Create a game.
Partnerships with gaming companies have created economic activity in the virtual world through in-game purchases. The developers of the Crypto mentioned above Kitties game successfully created a platform that allowed users to trade unique digital kittens across the globe while teaching them how to program. By partnering with online gaming companies, you can create an economy within your Decentraland world where users can purchase and trade unique items in exchange. Since Decentraland allows for the creation of smart contracts, you will own all the items once purchased.
Create a virtual event
Events in Decentraland can be paid for. A real-life event such as a concert could be hosted in your simulated world, and you could charge admission to those who want to attend. Once attendance is guaranteed, you can offer sponsors the opportunity to buy advertising spots that can be displayed on your digital billboards. For example, when you buy MANA, you own a digital token that can be exchanged for LAND on the Decentraland blockchain. You can also spend this LAND on billboards to advertise your product or service and create an interactive experience where users can interact with your branded billboard by placing virtual items such as virtual pets or virtual toys.
If you have users buying and selling MANA on exchanges, you can watch the price rise by purchasing MANA on an exchange and immediately convert it to your wallet. This can be very profitable if you have several accounts or are trading manually in a sequence of small trades. This is not possible in every cryptocurrency, and transaction fees may apply when trading on exchanges, so this is best done with medium to high-value cryptocurrencies. For instance, when you purchase MANA with bitcoin, you will receive 0.0001 bitcoin and 0.00005 bitcoin, the equivalent of USD 0.02 and USD 0.04, respectively (based on the current conversion rate). That said, it is an excellent way to make money when trading MANA for Bitcoin or other cryptocurrencies without having to deal with the low fees of exchanges.
Purchase digital assets
Users can purchase virtual assets from the Decentraland marketplace. This model is similar to how physical real estate is bought and sold in a market called real estate on the blockchain. By creating a digital asset or legal agreement, you can sell it repeatedly at an outrageous price. For example, you can create a digital diamond ring that costs 1 MANA in the marketplace and re-sell it at 10 MANA because you made it rarer than other items. All transactions are recorded on the blockchain, so you can trust that no one else can buy your ring or any item you create in Decentraland.
Entertain the virtual world
Virtual reality is the next big thing, and people are already creating virtual worlds in Decentraland. You can go inside Decentraland and create a virtual world that only you can access. Your home, a digital representation of your physical world, could be made with the LAND that you bought on the blockchain for MANA. Like any other smart contract, you can set rules for what happens when certain conditions are met within your virtual world. You could create your world and use it as a digital canvas to paint beautiful art.
Store your digital assets on Decentraland
Your digital assets can be stored within Decentraland. If you want to protect the value of the MANA you purchased on exchanges; then you can store it in your Decentraland wallet on the blockchain for free. Once there, you will have more control over your cryptocurrency portfolio and can even use it to store physical art if that is your thing. On the other hand, if you want to sell your MANA for BTC, you will have to transfer it back to a public address associated with an exchange. For instance, when you send your MANA to a Decentraland account, you will transfer it to an address on the Ethereum blockchain. Once it reaches its destination, it will be converted into bitcoin at a value of 0.0001 BTC. Since the price of MANA can fluctuate greatly, you may have to wait until they are close before converting the digital currency back into fiat currency.
Decentraland (MANA) has less flexibility than other cryptocurrencies in the market because of its limited use cases. However, it has more unique features than most cryptocurrencies because of its partnerships and integration with creative minds like those who created Crypto Kitties. As more people purchase MANA, digital currency should gain value based on supply and demand.