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What is Decentraland (MANA), and what are its implications?

Decentraland is a virtual community and world built on blockchain technology. Users can create and manage their own plots of land, artwork, or Non-Fungible Tokens. The platform’s Decentralized Autonomous Organization, (DAO) is open to all members.

Decentraland is a Decentralized Organization (DAO) that gives its members the ability to take part in the project’s governance. MANA, Decentraland’s native cryptocurrency, and all in-game assets is on the Ethereum blockchain.

Getting into it

Decentraland might interest you if you have ever traded cryptocurrency in Second Life. Decentraland was founded in 2016 and has grown from a simple 2D experiment to a large, 3D world.

Estaban Ordano, Decentraland’s developer, and Ari Meilich, have created a virtual world that contains digital real estate parcels, items, and other customizable assets. These assets can be purchased using MANA, Decentraland’s ERC-20 token.

MANA can be purchased on many exchanges by Decentralanders, for crypto or fiat. ERC-721 tokens that are not fungible represent Decentraland’s unique assets. They include LAND property and other collectibles.

What is Decentraland?

Decentraland is an online platform that combines virtual reality and blockchain technology. The rules of the online game are decided by the players, unlike most other online games. Token holders can vote on organizational and in-game policies through the DAO. This mechanism has many implications, including the type of items that can be purchased and the investments made to the DAO’s Treasury.

Non-fungible tokens are in-game collectibles. These include clothes, items and virtual real estate (LAND). These tokens can be stored in crypto wallets, and then sold to other users via the Decentraland Marketplace. You will need MANA, Decentraland’s native cryptocurrency, to purchase a new facemask.

In addition to trading property and items, players can also fill their space with activities, games, and artwork that others can interact with. You can also monetize your LAND. Each player can decide what to do to their plot.

Decentraland can be used in many ways, including content curation and advertising. The barriers to entry for those who want to start with NFTs are high. Some cosmetic items can be purchased at almost twice the cost of their counterparts with Ethereum gas fees. Some players find ownership prohibitively expensive because of the high land prices.

What is the difference between LAND and MANA

MANA, Decentraland’s native currency, is what we have already mentioned. It is a digital currency that can be used to vote in the Decentraland DAO.

Users convert their MANA into wrapped MANA and then lock it in DAO to take part in governance. Each wMANA is one vote for governance proposals. MANA can be obtained on exchanges and by selling collectible items on Decentraland Marketplace. To fund its operations and decisions, the DAO has its own MANA Treasury.

LAND is a non-fungible token that represents plots of land owned in the community. It is similar to MANA and provides voting power in Decentraland’s governance protocol.

LAND can be stored in the DAO, but it doesn’t have to be. It provides two thousand votes for each LAND token. Players can link multiple plots together to create an Estate token with the same voting power as the plots.

What is the Decentraland DAO and how does it work?

Decentraland’s focus on decentralization is one of its most interesting features. As we have discussed, Decentraland is controlled by a group of players. They also control the digital assets and the development of the land.

The project is a Decentralized Autonomous Organization and uses open-source code for its rules. Anyone can vote and create proposals, regardless of whether they have staked their MANA.

The Decentraland DAO is run on Aragon DAO software. It uses an Agent that can interact and communicate with Ethereum smart contracts.

Use cases of decentralization

Decentraland’s developers kept new uses in mind from the beginning of the platform’s conception. Five main uses are listed in the whitepaper.

  • Applications: Decentraland’s scripting language allows users to create apps and 3D scenes, allowing for richer interaction.
  • Content Curation: Decentraland has developed neighborhoods that attract like-minded people and grow organic communities.
  • Advertising: Advertisers have bought space in the neighborhood and set up billboards.
  • Digital Collectibles – NFT items can be collected, created and traded on the Decentraland Marketplace. Users have ownership rights.
  • Social: These communities can interact with each other on social media platforms and offline groups.

There is a chance to make some money, as with many games that use blockchain economies. Speculation is quite common with some land parcels in high demand selling for large sums of money.

How to store MANA & LAND

To interact fully with Decentraland, you will need a cryptocurrency wallet that integrates with your browser. MetaMask is currently recommended by the development team to store your MANA and LAND tokens (ERC-20).

Closing thoughts

Decentraland is a unique platform for blockchain virtual-reality platforms. You can explore it completely free of charge. Its development team has grown it from a small project into something that is well-respected and matured over the past five years.

Henry Hickshttps://nonfungibletalk.com
NFT and Crypto Enthusiast. Loves Travelling and Exploring the Metaverse!
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