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HSBC to Enter Metaverse by Purchasing a Plot of Land in Sandbox
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Amid expectations that the metaverse will represent some trillion-dollar market opportunity in the coming years, HSBC Holdings plc (HSBC - Free Report) said that it would partner with the Sandbox platform, making its entry into the metaverse. HSBC will buy a plot of digital land in the virtual world and use it for sports, e-sports and gaming. No further details have been provided yet.
Notably, virtual worlds in the metaverse have their population, gross domestic product and currencies.
The Sandbox is a decentralized gaming virtual world, wherein players can build, own and monetize their gaming experiences in the Ethereum blockchain.
Suresh Balaji, HSBC’s chief marketing officer for the Asia-Pacific region, stated, “The metaverse is how people will experience Web3, the next generation of the internet—using immersive technologies like augmented reality, virtual reality and extended reality. At HSBC, we see great potential to create new experiences through emerging platforms, opening up a world of opportunity for our current and future customers and for the communities we serve.”
Balaji added, “Through our partnership with The Sandbox we are making our foray into the metaverse, allowing us to create innovative brand experiences for new and existing customers. We’re excited to be working with our sports partners, brand ambassadors, and Animoca Brands to co-create experiences that are educational, inclusive and accessible.”
The move by HSBC comes almost a month after JPMorgan (JPM - Free Report) announced that it is opening a virtual lounge named “Onyx lounge” in Decentraland.
Christine Moy, JPMorgan’s head of cryptocurrency and the metaverse, stated, “There is a lot of client interest to learn more about the metaverse. We put together our white paper to help clients cut through the noise and highlight what the current reality is, and what needs to be built next in technology, commercial infrastructure, privacy/identity and workforce, in order to maximize the full potential of our lives in the metaverse.”
Like Sandbox, Decentraland is a virtual world based on blockchain technology.
The difference between the two is that the Sandbox is focused more on gaming, whereas Decentraland is focused on experiences and socializing. Also, while Decentraland is already up and running, the Sandbox is still beta testing, although it is open to all.
Till now, JPM and HSBC are the only two banks that have announced their entry into the Metaverse.
The Digital Asset Space & Rising Competition
Until July 2020, the Office of the Comptroller of the Currency did not grant permission to banks in the United States to hold cryptocurrencies. The amendment post-July gave banks the go-ahead to begin exploring cryptocurrency operations.
A few years ago, banks were not that interested in the crypto and digital asset space. But now, after witnessing an increase in demand for the emerging market, banks and financial institutions are embracing cryptocurrencies.
In July 2021, JPM became the first major bank in the United States to allow its financial advisors to give all its wealth-management clients access to cryptocurrency funds.
In an effort to strengthen and enhance its presence in the digital asset space, Citigroup (C - Free Report) announced in November 2021 that it would hire 100 additional people in its blockchain and digital assets division.
Citigroup, which has long been planning to enter the crypto space, began offering digital asset services for its wealthy clients with the launch of the business offshoot — Digital Assets Group. The division, part of Citigroup’s wealth management division, focuses on cryptocurrencies, non-fungible tokens, stablecoins and central bank digital currencies.
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HSBC to Enter Metaverse by Purchasing a Plot of Land in Sandbox
Amid expectations that the metaverse will represent some trillion-dollar market opportunity in the coming years, HSBC Holdings plc (HSBC - Free Report) said that it would partner with the Sandbox platform, making its entry into the metaverse. HSBC will buy a plot of digital land in the virtual world and use it for sports, e-sports and gaming. No further details have been provided yet.
Notably, virtual worlds in the metaverse have their population, gross domestic product and currencies.
The Sandbox is a decentralized gaming virtual world, wherein players can build, own and monetize their gaming experiences in the Ethereum blockchain.
Suresh Balaji, HSBC’s chief marketing officer for the Asia-Pacific region, stated, “The metaverse is how people will experience Web3, the next generation of the internet—using immersive technologies like augmented reality, virtual reality and extended reality. At HSBC, we see great potential to create new experiences through emerging platforms, opening up a world of opportunity for our current and future customers and for the communities we serve.”
Balaji added, “Through our partnership with The Sandbox we are making our foray into the metaverse, allowing us to create innovative brand experiences for new and existing customers. We’re excited to be working with our sports partners, brand ambassadors, and Animoca Brands to co-create experiences that are educational, inclusive and accessible.”
The move by HSBC comes almost a month after JPMorgan (JPM - Free Report) announced that it is opening a virtual lounge named “Onyx lounge” in Decentraland.
Christine Moy, JPMorgan’s head of cryptocurrency and the metaverse, stated, “There is a lot of client interest to learn more about the metaverse. We put together our white paper to help clients cut through the noise and highlight what the current reality is, and what needs to be built next in technology, commercial infrastructure, privacy/identity and workforce, in order to maximize the full potential of our lives in the metaverse.”
Like Sandbox, Decentraland is a virtual world based on blockchain technology.
The difference between the two is that the Sandbox is focused more on gaming, whereas Decentraland is focused on experiences and socializing. Also, while Decentraland is already up and running, the Sandbox is still beta testing, although it is open to all.
Till now, JPM and HSBC are the only two banks that have announced their entry into the Metaverse.
The Digital Asset Space & Rising Competition
Until July 2020, the Office of the Comptroller of the Currency did not grant permission to banks in the United States to hold cryptocurrencies. The amendment post-July gave banks the go-ahead to begin exploring cryptocurrency operations.
A few years ago, banks were not that interested in the crypto and digital asset space. But now, after witnessing an increase in demand for the emerging market, banks and financial institutions are embracing cryptocurrencies.
In July 2021, JPM became the first major bank in the United States to allow its financial advisors to give all its wealth-management clients access to cryptocurrency funds.
In an effort to strengthen and enhance its presence in the digital asset space, Citigroup (C - Free Report) announced in November 2021 that it would hire 100 additional people in its blockchain and digital assets division.
Citigroup, which has long been planning to enter the crypto space, began offering digital asset services for its wealthy clients with the launch of the business offshoot — Digital Assets Group. The division, part of Citigroup’s wealth management division, focuses on cryptocurrencies, non-fungible tokens, stablecoins and central bank digital currencies.