Just lately, MetaMetric Options identified that quite a few LAND parcels on The Sandbox metaverse are being listed at a loss. Given this statistic, the information supplier additionally identified that now could be the best time so as to add or bid undervalued The Sandbox parcels. The massive query, nonetheless, is why are individuals promoting The Sandbox LAND parcels at a loss?
A decline in The Sandbox’s token worth
The Sandbox token, SAND, has skilled a unfavorable pattern in current weeks. Whereas SAND has skilled an upward tick in worth over the previous 24-hours, its present worth – $2.16 – is way lower than the coin’s all-time excessive of $8.40.
Moreover, SAND volumes have been steadily declining for the reason that token’s hype interval in late 2021. This might clarify why many need to promote their land, whether or not they make a revenue or not.
Previous the preliminary hype
In response to a report by Messari: “Because the risky Q1 2022 has come to an in depth, LAND secondary gross sales quantity decreased by 54% in comparison with the earlier quarter. To place this into perspective, the secondary gross sales quantity in Q1 2022 remains to be up 865% relative to Q3 2021.”
This quarter’s lower is expounded to the truth that the metaverse hype is settling down after reaching an all-time excessive with Fb’s rebrand announcement. Due to this fact, the market is discovering a stability. Whereas demand is decrease than within the fourth quarter of 2021, it’s nonetheless fairly wholesome.
Homeowners can also promote LAND, as digital land remains to be within the early days in terms of constructing experiences. Presently, creators can’t make LAND experiences accessible to different The Sandbox customers.
Moreover, the accessible experiences don’t have many P2E parts in them; which clearly capabilities as an incentive for engagement. Because of this, LAND house owners could also be at a loss about what they’ll do with their funding, which may result in their choice to promote it.
Nevertheless, this impediment is barely a brief one, notably for high-profile traders. Just lately, Hong Kong’s billionaire Lo Household of Regal Lodges Group received land in The Sandbox. This exhibits that metaverse land parcels are a long-term funding for such people.