The digital economy is spawning a completely new breed of investors. From the adoption of blockchain to the advent of cryptocurrencies, decentralised finance, and NFTs, today’s traders operate in a revolutionised world. Investors are becoming more at ease dealing in internet culture, as the distinction between memes and financial assets becomes increasingly blurred. For example, ‘meme’ cryptocurrencies like Dogecoin (DOGE) and memes stocks like Gamestop have skyrocketed in the last year owing to Generation Z’s ardent backing. With the growth of the metaverse, digital culture will only become more palpable. The metaverse will integrate blockchain technology to build whole new applications, such as games with economies and yield-bearing nonfungible assets like wearables or avatars.
The economic impact of memes in Internet Culture
Generation Z is more interested in being financially savvy than prior generations while functioning under a whole different set of regulations than their parents and grandparents. More than 80% of Gen Z (those born after 1996) rely on family for financial advice, yet owing to the quickly changing nature of the market, older generations’ advice is becoming increasingly out-of-date. Worse, it is frequently inapplicable to market niches such as bitcoin.
Tallo recently reported that 38% of Gen-Zers obtain financial advice via TikTok and that they are likely to resort to the site for advice on long and short term savings. Over the last year, social media networks have proven to be essential sources of financial education for this generation. This resulted in a boom in meme stock investments, such as GameStop and AMC, as well as meme cryptocurrencies, such as Dogecoin and Shiba Inu, last year (SHIB). According to a new survey, young investors’ excitement for meme stocks remains consistent, with their focus shifting to the metaverse.
The Metaverse’s Ascension
The metaverse, an interface layer between the physical and virtual worlds, is shaping up to be another important engine for driving digital expenditures. The Bored Ape Yacht Club is a perfect example. The limited crypto art collection of “ape” NFTs has become a joke in and of itself, with the cheapest starting at USD 200,000. Part collectable, part community, having one allows users to guess on the franchise’s future value delivery. In December, for example, Bored Ape Yacht Club collaborated with Adidas to develop wearable blockchain gaming things. Indeed, blockchain gaming provides another enthralling peek of what is to follow in the metaverse.
The future of digital economies
Youth of today are increasingly interested in internet culture and exploiting digital financial tools than ever before. This tendency is expected to accelerate in the future years as a result of the metaverse and the apps that operate in it. In this new frontier, the sky truly is the limit – from virtual worlds where limited ‘land’ can be acquired, sold, and built on, to markets that match supply and demand for digital goods.
Of course, this isn’t to imply the place isn’t fraught with danger. Because memes come and go, blockchain ventures must provide more than simply buzz. There must be usefulness, especially for collectables and gaming crypto assets, to drive long-term adoption. This is where community leaders must initiate initiatives, implement features, and construct environments in which the meme instrument is essential for operation. Because the metaverse is still in its early stages, the number of verticals and their definitions are subject to change. However, there is little question that new economies and economic possibilities are on the horizon for a generation in the digital transition.