Mar 17, 2023 | 5 min read
decentraland Meta3Verse Industry Deep Dive
Decentraland is an online game that allows users to explore and help build a decentralized virtual world. It is accessible via any Chromium-based browser and Firefox, with a downloadable desktop app also available. Decentraland also offers total immersion into the game via a VR headset.
In addition to exploring Decentraland's map and participating in community events, users can participate in the in-game economy by purchasing and exchanging digital art and tracking LAND parcels, which are real estate parcels that can be bought and sold by users. The game's community votes on the development direction, enabling players to make money from playing Decentraland and enjoy the game's play-to-earn potential. Decentraland also offers a political aspect, adding to its economic, social, and creative value.
One of the most common ways to earn money in Decentraland is by operating within its economy as a virtual merchant. Many users sell their creations on the Decentraland Marketplace, and developers and users have also fashioned games to play within Decentraland that are P2E experiences unto themselves.
Decentraland has raised a total of $25.5M in funding over four rounds, with Krenex Capital and Digital Currency Group as the most recent investors. Its native currency is MANA, with a total supply of 2.19 billion, out of which 70% is in circulation. The average cost of a parcel in Decentraland is around $3000, with the highest sale ever being $2,000,000. There are 90,000 parcels of LAND in existence, with several thousand privately owned by the game's developers to function as roads and other public utilities.
Decentraland's team consists of 162 employees, including 55 in engineering, 9 board members, 10 in operations and HR, 45 in product and design, and 25 in sales and marketing.
Decentraland's technical model is built on the Ethereum blockchain, with a system consisting of three different layers: the first layer records and tracks ownership through smart contracts, the second layer hosts LAND content and every type of data uploaded to Decentraland virtual parcels, and the third layer is the P2P network where the entire world is rendered in real-time. Security is facilitated through the support of Ethereum, with users' ownership over LAND secured through the first layer of the system as the system tracks and records LAND purchases and ownership of VR parcels on the Decentraland VR platform.
Decentraland's growth model focuses on building strong communities and advertising events/updates with dynamic, eye-catching content, as well as explaining the concepts without going too far into confusing jargon. The company has 118K followers on Instagram, 636k on Twitter, and 65k on LinkedIn.
The main driver of Decentraland's success with users is its differentiation from other virtual world games by being decentralized. In-game content is created almost entirely by its community, giving users power, authority, and limitless opportunities. Decentraland offers users not only a place of escape and entertainment, but also an opportunity to create businesses, earn money, and make their own world with their own unique traits and rules. It brings in the physical world by allowing users to attend concerts from real-world performers, attend fashion shows, visit galleries, and do many other things they normally needed to participate in the real world for.
Decentraland has sold 204,000 NFTs, with a $230M volume and DAO revenue of $3.5M. The number of daily users is unclear, with estimates ranging from 9000 to 40k.
Decentraland, the open-source blockchain-based metaverse, has garnered significant attention and user interest in recent years. The platform's technical model, growth model, and delight model are key drivers of its success with users.
Decentraland is built on the Ethereum blockchain and consists of three layers: the first layer records and tracks ownership through smart contracts; the second layer hosts LAND content and every type of data uploaded to Decentraland virtual parcels; and the third layer is the P2P network where the entire world is rendered in real-time. Security is facilitated through TypeScript coding and Ethereum support. Users' ownership over LAND is secured through the first layer of the system.
Decentraland offers demos, tutorials, and extensive documentation on its website for players, content creators, and contributors. The platform's documentation is comprehensive and explains all necessary information for its users.
Growth Model (SM)
Decentraland's social media strategy focuses on building strong communities, advertising events/updates with dynamic, eye-catching content, and explaining the concepts without going too far into confusing jargon. The platform is active on Instagram, Twitter, LinkedIn, and has a blog section.
Decentraland's differentiation lies in its decentralized nature, where in-game content is created almost entirely by its community. Decentraland offers users power, authority, and limitless opportunities to create and control their own virtual world. This gives users the ability to create businesses, earn money, and establish their own unique traits and rules. The platform brings in the physical world, allowing users to attend real-world concerts, fashion shows, and visit galleries in a virtual space.
Volumes of Users/Money
Decentraland has sold over 204,000 NFTs, with a volume of $230M, and its DAO revenue is $3.5M. The daily user count on Decentraland ranges from 9,000 to 40,000, although data is unclear.
Overall, Decentraland's technical model, growth model, and delight model have played a significant role in its success and user engagement. Its decentralized nature and limitless opportunities for user creation and control are key differentiators that set it apart from other metaverses in the market.