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The collapse of the crypto exchange platform FTX is sending shockwaves into the metaverse. The cryptocurrency exchange was once thought of as a stable and responsible leader in an industry which is often fast-changing and unregulated. In the wake of its failure, many wonder what the implications will be on the metaverse.
While this moment for FTX will likely be viewed as a learning moment for crypto, metaverse and Web3 organizations and projects, it will also probably be seen as a huge opportunity that some saw for what it was while others missed it entirely. It’s essential to recognize that this is a great time to consider what’s possible in the metaverse and how you can best take advantage of it through your personal brand.
Related: Metaverse: A Game-changing Innovation For Entrepreneurs
Seize the moment
The metaverse is only just beginning to take shape. As exciting as the VR and AR experiences offered today are, these are only the embryonic stages of what’s to come. A recent survey showed that 54% of experts expect the metaverse to be a refined and immersive aspect of daily life for a half billion or more people globally by 2040. This would be a cultural shift similar to the rise of the internet.
As the metaverse develops, AR and VR experiences will be better able to reach and serve consumers than current technologies can. These new technologies will become a more significant part of our lives and offer users opportunities to purchase virtual and physical goods, travel and even receive healthcare. The metaverse will be an expansion of our daily lives.
In this post-FTX moment, it’s possible that users will spend less in metaverse contexts because of FTX’s challenges on many cryptocurrency holders. This isn’t much different from the effects of an economic downturn, and it isn’t permanent. There will be an impact that’s widely felt, but it won’t last forever, and this momentary setback shouldn’t cloud our vision of what the metaverse will become.
Now is the time to gain positioning in the metaverse. This technology will be a massive part of the future and offers unique opportunities to shape your brand and connect with consumers. Our lives are increasingly happening in a hybrid of on- and offline spaces. Don’t let fear prevent you from getting a foothold in this important space.
Related: Why Your Business Needs to Prepare for the Metaverse
Be real in the metaverse
A lack of clarity on many levels made the end of FTX particularly shocking to many. The lack of clarity makes it seem like this came out of nowhere. An important lesson to learn here is that clarity is vital to the success of CEOs in metaverse and crypto spaces. People want to know what’s going on. They also need to have things explained to them in a way they can understand.
The metaverse creates new opportunities to garner connections with customers and clients. Much like social media, the metaverse blends social connection and commerce in a way that allows people to connect with your brand on a human-to-human level. These connections can generate value for you and your customers and clients in new ways through the metaverse.
Because the metaverse technology is so new, it’s easy to get caught up in the spectacle of the metaverse itself. Keep in mind, however, that customers value quality, authenticity and clarity in the virtual world just as much as they do offline. These things should be central to your brand –– they will help your customers to ease into the new world of the metaverse.
Now is the perfect time for a reboot. Valuing clarity means being honest with users and customers about your business’s operations and values. This moment is an opportunity to show how things work behind the scenes. 58% of Americans say they do not understand the metaverse and NFTs –– you can be the one to guide them through this new world and get them excited about it.
Be clear, simple and engaging when it comes to the metaverse. Go off the beaten path when communicating about crypto, NFTs and the metaverse. Emphasize user experience, and get people excited about what you’re doing in the metaverse. Don’t get overly technical; show users and customers that these spaces can be fun and easy to understand.
Related: Your Brand Can Become Part of the Metaverse. Here’s How.
Rebuilding trust will take time
The fall of FTX will certainly have an economic impact within the metaverse since crypto is central to the financial functions of most metaverse platforms. These impacts won’t last forever, though –– economic recovery will occur over time. That being said, this is only one that we will see in the metaverse.
It will take time to build back trust with investors. The days when the metaverse was seen almost as a get-rich-quick investment by venture capitalists are likely over. Investors will be pickier and more careful about the NFT, crypto and metaverse-based companies and products they choose to invest in.
Clarity will be necessary to build back trust. Branding that emphasizes authenticity, transparency and clarity will connect with investors who feel less trustworthy of the metaverse. Investors will want to take advantage of the lower investment price in the metaverse we’re seeing right now. The opportunity is there; you just have to be willing and able to close the gap in trust.
Crypto got its start in the wake of the financial crisis of 2009. It originates in people’s desire for decentralization, clarity and trust. Crypto is fundamentally adaptable, and it is still growing. Recovery is already happening. Remember where crypto came from and what its purpose is. Remain calm, emphasize clarity and trust and connectivity will continue to grow.
