The Metaverse economy could be wort up to $13 trillion by 2030 while what counts as money in this next generation of the internet will look very different from today, according to a new report from Citi.
Since Facebook rebranded as Meta last year, the concept of the Metaverse has taken a giant stride, with firms, including many in financial services, scrambling to understand how the impending move to a more virtual world will impact the economy and their business.
In a 186 page report, called ‘Metaverse and Money, Decrypting the Future‘, Citi has dived into the subject, looking at everything from in-game tokens, to crypto, stablecoins, CBDCs and fiat currency.
A device-agnostic Metaverse that involves use cases such as commerce, art, media, advertising, healthcare and social collaboration could see a total addressable market of between $8 trillion and $13 trillion by 2030, estimates the report.
This huge market will require a different way of looking at money, says Citi: “The definition of what counts as money in the Open Metaverse is also likely to be very different from what counts as money in the real world today.
“Interoperability and seamless exchange between underlying blockchain technology are critical to ensure a frictionless user experience. Different forms of cryptocurrency are expected to dominate, but given the multi-chain trend in the crypto ecosystem, cryptocurrency will likely coexist with fiat currencies, central bank digital currencies (CBDCs), and stablecoins.”