Famous billionaire and crypto investor Mark Cuban recently appeared in an interview on the Altcoin Daily YouTube channel. However, it was one of his statements that surprised everyone.
Taking a dig at metaverse, he revealed that the idea of investing in digital land is no better than draining down money for anyone.
“it’s dumbest, dumbest, dumbest decision ever,” says Cuban.
But that doesn’t mean Cuban is against Crypto or Blockchain. He himself devotes 80% of his investment to cryptocurrencies and DAOs (Decentralised Autonomous Organisations) but is entirely against purchasing digital land sold by any organization.
He backed his statement with two facts: Scarcity and Location.
He has a strong justification behind the strong views against digital real estate buying on metaverse. And to a certain extent, his views against it make sense as well.
Physically exitsing land is a scarce resource in the real world; you cannot create more of it, but a similar concept doesn’t apply in the metaverse. Companies can create a new piece of land as and when required. Similarly, location majorly impacts the price but not in the metaverse.
A few instances like P-Ape purchasing a virtual plot near Snoop Dogg’s digital mansion for $450,000 in 2021 have displayed the importance of location in the metaverse. Still, the people never accepted it in a general sense.