Canadian investment company buys $2.5 million worth of virtual real estate in Decentraland

by MK Manoylov

On Tuesday, a Canadian investment firm that focuses on decentralized finance (DeFi) called purchased nearly $2.5 million worth of virtual land in the platform Decentraland.

Specifically, purchased 116 parcels of virtual land for a total of 618,000 MANA, the native currency of Decentraland, according to a company release. The company claimed the purchase represented the largest transaction of its kind to date. purchased the land through the virtual real estate firm Metaverse Group, which offers virtual land development services for clients. The purchase is equivalent to 6,090 square feet of physical land — which is approximately the size of 1.3 basketball courts.

In mid-October, purchased a 50% stake in Metaverse Group for $1.68 million. Metaverse Group also sells and rents virtual land in the virtual world platforms Cryptovoxels, The Sandbox, Upland and Somnium.

The purchased lots are based in Decentraland’s Fashion Street district and will be developed to accommodate the growing demand for fashion brands to showcase digital merchandise in the metaverse.

“Fashion is the next massive area for growth in the metaverse,” said Sam Hamilton, Head of Content at the Decentraland Foundation, in a statement. “So it’s timely, and very exciting, that Metaverse Group has made such a decisive commitment with this land purchase in the heart of Decentraland’s fashion precinct.”

Digital land is valued by the foot traffic it receives and its proximity to brands located within the metaverse, as The Block previously reported.