Virtual land sales take a step in a broader crypto decline

Virtual real estate is seeing a crash of its own as prices of land in various metaverses, as well as sales volumes, have plunged to their lowest levels in months — amid a broader crypto slump that has seen around $2 billion wiped from the crypto market cap.

According to a dashboard tracking metaverse sales of Dune Analyticsan open source data provider, almost all projects have seen a significant drop in the sales volume and average prices of their virtual lands.

Decentralized country, The sandboxand NFT Worldsthree of the largest projects, marked their worst performance so far this year in July.

The average price of virtual land in Decentraland fell to its lowest level in the last 24 months, plunging to around USD 4,006 in the last month. By comparison, the average price of land here was around 17,736 dollars in July 2020.

Similarly, the average price of land in The Sandbox has fallen significantly compared to January 2022’s high of US$6,291, plunging to US$3,377 in July. NFT Worlds has been hit even harder, with the average price falling to $2,328 in July this year, down from a March high of $18,095.

These projects have also seen a significant drop in sales volume. In July, Decentraland recorded around 1.6 million USD in sales, the lowest in the last 24 months. In comparison, metaverse reported more than USD 10 million in sales volume in the first month of the year.

Sandbox also had its worst sales in more than 16 months, falling to around $2.86 million in July, compared to its November 2021 peak of over $65 million.

The decline comes after a major boom in virtual land prices that began in late 2020 and continued until earlier this year. According to a report by CNBC, sales of virtual land exceeded USD 500 million last year, and topped USD 85 million in January 2022 alone.

The virtual earth price meltdown in the metaverse should not come as a surprise given that the broader crypto market, as well as the real economy, has been hit due to the war in Ukraine and skyrocketing inflation, among other reasons.

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