The 2022 bear market somewhat dampened the euphoria surrounding emerging crypto sub-ecosystems like non-fungible tokens (NFTs), but the Metaverse is still well-positioned for long-term disruption.
A McKinsey & Company analysis underlines the technology’s potential to generate up to $5 trillion in value by 2030, taking into account the many consumer and business-centric use cases it may cater to.
McKinsey & Company is a global management consulting firm that serves diverse clients, including corporations, governments, and nonprofit organizations. McKinsey consultants are known for their analytical skills, business acumen, and ability to solve complex problems. The firm’s work spans a wide range of industries, including finance, healthcare, technology, and energy.
The paper emphasized the necessity of four technological enablers for the Metaverse to realize its full potential: devices (AR/VR, sensors, haptics, and peripherals, interoperability and open standards, facilitating platforms, and development tools.
However, the consulting firm said that the industry should focus on maximizing the human experience to create excellent experiences for consumers, end users, and citizens and that these factors will determine the success of Metaverse.
The most widespread adoption of metaverse projects across many businesses has, to date, been in the areas of marketing, learning, and virtual meetings. However, a McKinsey poll of senior executives taken in April 2022 revealed that the majority of Metaverse-related initiatives had low-medium adoption rates.
The study focused on the effects it can have on both personal and professional lives. By 2030, more than half of live events, with a potential value of $5 trillion, might take place in the Metaverse, according to a prediction by McKinsey.
“The metaverse is simply too big to be ignored,” said the report.
Many large banks, including Standard Chartered, opened their shop in the Metaverse in 2022. Its Hong Kong subsidiary collaborated with The Sandbox, a blockchain-based virtual gaming platform incredibly well-liked in the cryptocurrency industry. The goal of this partnership is to give its Hong Kong customers a metaverse experience.
According to Citibank estimates, there could be up to 5 billion users in the Metaverse by 2030, representing a $13 trillion opportunity. On the other hand, estimates from other institutions like Morgan Stanley and Goldman Sachs say it can potentially be valued at nearly $8 trillion by 2030.