JPMorgan, the United States’ largest bank, has entered the Metaverse in a big way, constructing a virtual lounge in the famous blockchain-based world Decentraland while calling the sector a “$1 trillion opportunity.”
A roaming tiger and a digitized portrait of JPMorgan CEO Jamie Dimon will greet customers to the lounge, which is located in Decentraland’s Metajuku mall. Players can watch an exec’s presentation on cryptocurrency economics if they go upstairs.
JPMorgan also brings blockchain payments system “onyx lounge”
Alongside a JPMorgan report outlining the kinds of business opportunities that can be found in the Metaverse, the company’s in-house blockchain payments system, “onyx lounge,” was also unveiled.
” The Metaverse will likely infiltrate every sector in some way in the coming years, with the market opportunity estimated at over $1 trillion in yearly revenues,” says the report, which also mentions that $54 billion is spent on digital products each year, which is more than twice the amount spent on music.
JPMorgan identifies a surge of independent creators using Web3 to sell their work in innovative ways as a key driver behind Metaverse’s new economy.
“This democratic ownership economy coupled with the possibility of interoperability could unlock immense economic opportunities, whereby digital goods and services are no longer captive to a singular gaming platform or brand.”
According to JPMorgan, large brands are driving increased mainstream adoption of the Metaverse, citing Adidas and Nike’s moves to develop NFT-based products and shopfronts, as well as Samsung’s opening of a Metaverse store, as examples.
As if to emphasize the point, NYSE has also filed a trademark application for blockchain and crypto-related products.
However, the JPMorgan assessment was not all positive. “Despite much excitement about the possibilities of the Metaverse, in order to enable its full potential for engagement, community building, self-expression, and commerce, key areas need to be further developed and matured,” the report stated in a section titled “Navigating hype vs. reality,” attempting to point to flaws in the user experience, poor avatar performance, and problems with commercial infrastructure.