• Morgan Stanley predicts that cryptocurrency will be the next big investment theme

  • The bull run in the crypto market has followed an investment pattern in which one theme of tokens surges together, and Morgan Stanely believes the big investment theme will come from the decentralized virtual world aka Metaverse. The Metaverse concept revolves around living a parallel virtual life, much like one of the episodes of the popular Netflix show Black Mirror. Morgan Stanley and other major investment banks now see it as the next big investment opportunity.

    The investment giant predicted that Metaverse projects would dominate the majority of investment in the coming years in a note shared with investors, and it also pointed to the surging stocks of companies involved in Metaverse development. Metaverse’s concept is to create a parallel virtual world that is very similar to the physical one, but instead of playing a specific game, users will play “real-life” in the virtual world. The note stated,

    “The metaverse concept has received a lot of attention recently, and businesses are embracing it in increasing numbers.” Companies and analysts are currently more interested in the metaverse than any other major theme.”

    The investor’s note also mentioned the surging stock prices of tech and gaming companies that have built a miniature metaverse, which have seen a massive increase in the past month since Facebook rebranded itself to Meta.

    Facebook Wants to Be at the Front of the Metaverse Race

    Following the failure of its Libra project due to government and regulatory scrutiny, Facebook has changed its crypto plans. They now want to lead the Metaverse race because the hype surrounding the technology is just catching up and they are early on the scene. However, given Facebook’s history with data handling and privacy, Meta may face similar regulatory issues.

    Metaverse as a concept is quickly catching up with the decentralized community, much like the rise in popularity of NFTs. Now that investment banks have begun to issue investor notes on the subject, it is almost certain that it will define the investment theme for investors.

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