J.P. Morgan is first American bank to enter Metaverse world know as J P Morgan Metaverse, forecasting a revenue opportunity of $1 trillion and eyeing virtual reality real estate.J P Morgan Metaverse report and white paper predict the metaverse could be huge opportunity for all.
JP Morgan Metaverse opens Metaverse Lounge
JP Morgan became the first banking institution to enter the metaverse, opening a café within the popular blockchain-based world Decentraland – a highly popular metaverse. This makes J P Morgan the first bank to explore the metaverse’s potential for financial gains.
The metaverse is a kind of world where people can interact, attend events, and explore, using avatars of themselves.
The Onyx Lounge at the bank refers to an institution’s set of experimental Ethereum-based services, many of which offer businesses and institutions the opportunity to participate in the metaverse.
The leading multinational conglomerate opened the Onyx Lounge in Metjuku mall, a virtual version of Harajuku district in Tokyo. The the latest bout of patrons at the Onyx Lounge described it as the pinnacle of digital luxury.
J P Morgan Metaverse lounge
There’s even an animated tiger at the entryway of the virtual lounge, in addition to a digital picture of J P Morgan Chase CEO, Jamie Dimon. In addition, you may watch the virtual presentation concerning cryptocurrencies.
In the Onyx Lounge at the Metaiuku franchise of Tokyo’s Harajuku shopping district, an artificial Tokyo-like shopping district can be seen, here replete with a tiger wandering about during the first floor, overlooking the portrait of bank proprietor Jamie Dimon. On the next floor, an avatar can view a group of experts explaining the crypto banking and finance.
J P Morgan’s metaverse report|J P Morgan’s Metaverse White paper.
J P Morgan’s metaverse report confirmed that J.P. Morgan’s investment aligned with the findings of their study. Based on a 18-page analysis, the value of a virtual piece of land more than quadrupled over the course of half a year. J P Morgan noted that this growth is due to the large brands purchasing virtual land to establish their web-based virtual storefronts and other components. As a result, prices increased from $6,000 in June to $12,000 by December.
Based on a recent analysis by J P Morgan, the economics of metaverse is predicted to offer business opportunities in almost every market, with a market opportunity of approximately US$1 trillion.
The report continues, “This is where our long-standing core competencies in cross-border payments; foreign exchange; financial assets creation; trading and safekeeping; and our at-scale consumer foothold can play a major role in the metaverse.”
So, what opportunities does the bank see? According to JP Morgan’s report, the metaverse offers opportunities to:
Financial Transaction Potential:-This year, nearly 60 billion dollars are spent on virtual items, more than double the amount spent on purchasing music.
Social Potential:-60 Billion messages are sent by user daily on Roblox platform
Creators Potential:- it was projected that the GDP for Second Life would be $650 million in ‘League of Legends’ creators would receive payment of around $80 million.
NFT :-NFT Market Valuation is around 87$ Million
The virtual real estate market could see services parallel to those in the physical world, including credit, mortgage payments, and rental agreements. J P Morgan predicted that decentralized finance (DeFi) collateral management could play a role, rather than traditional loans being done by financial institutions.
Work in the metaverse will also be gainful, said the report, pointing to a range of entertainment providers, as well as apps like RTFKT, a virtual shoe designer recently acquire by Nike. Another big spend will likely be on advertising, the bank said, citing a prediction that in-game ad spending is set to reach $18.41 billion by 2027.
“We believe that from an existing virtual gaming landscape (each virtual world with its own population, GDP, in-game currency, and digital assets), there are elements that parallel the existing global economy. This is where our long-standing core competencies in cross-border payments, foreign exchange, financial assets creation, trading, and safekeeping are applicable.
The developing of the metaverse economy has counterbalanced online and offline work. The financial sector has valued companies as much for virtual work as they are over standard assets. J P Morgan foresees that, in the near future, many individuals could become the “gig workers” of the metaverse; they will engage in virtual assistant tasks in the metaverse.
JPMorgan has been focused on developing its blockchain and crypto knowledge and infrastructure. In a recent Bloomberg interview, Onyx’s global head, Christine Moy, noted that it was focused on “providing infrastructure” like blockchain and payments tech to its clients, which includes game publishers.
Goldman Sachs foresees the marketplace value of the metaverse reaching $8 trillion in the next few years. J.P. Morgan is not the only financial institution OS X in favor of this big opportunity.
Where is J P Morgan’s lounge is located in Metaverse?
J P Morgan’s lounge is located into the Metajuku shopping district on Decentraland Platform
Which is the First Major Bank to enter into Metaverse?
J P Morgan is First Bank to enter into metaverse and it has introduce metaverse lounge for customers