If 2020 was a breakthrough year for decentralised finance (DeFi), 2021 established DeFi as the hottest sphere in the crypto space. Yes, non-fungible tokens [(NFTs)](/news/category/nft-news/) and metaverse & gaming tokens have a charm of their own but DeFi is the only hero of this story. 

To put it into perspective, at the start of last year, DeFi protocols had a total-value locked (TVL) of $18.71 billion – this grew to an astonishing $250 billion by the end of the year and currently stands at $235.81 billion. The essence of technology is evolution and this year, we will see DeFi take the next step in its unprecedented rise.

Instrumental Finance is DeFi’s solution to a cross-layer, cross-chain future.

## The future of DeFi is in the hands of Instrumental Finance

Incubated by Composable Labs, [Instrumental Finance will correct a fundamental flaw](https://www.instrumental.finance/) in the DeFi industry – siloing due to a lack of interoperability between layer 2 ecosystems and the applications that use them. Yield farmers look for the best opportunities to maximize returns on provided liquidity. 

At the moment, a lack of interoperability between layer 2 protocols translates to several inefficiencies, including high costs and complexities. A cross-layer, cross-chain solution could help liquidity providers (LPs) tap into the potential for yield across different layers and chains. 

## How it works

Instrumental Finance provides a chain- and layer-agnostic solution for LPs that are looking to maximize returns on the liquidity they provide on various layer one and layer two protocols. The protocol streamlines the process of liquidity provision and yield generation. All you have to do is deposit funds into the Instrumental Vault.

Your funds will be deposited into the highest yield-generating pool available, irrespective of the layer or protocol it is on. It is as simple as that. If we dive into more detail, the protocol leverages Composable Finance’s cross-layer asset swapping tool, the Mosaic Bridge. 

The Mosaic Bridge integrates several chains and layer two solutions to provide users the flexibility to freely transfer assets and maximize returns on their liquidity. STRM, Instrumental Finance’s native token, powers the platform. 

## Staking

Currently, you can participate in the staking program. If you stake ETH-STRM LP tokens for a locking period of 3 months, you will receive an annual percentage yield (APY) of 217.53%. Over $1.13 million has been locked already – you are definitely not late!

If you partook in the Instrumental Liquidity Rush Program (ended on Dec. 31), you can lock your STRM rewards to receive veSTRM tokens and revenue share.

Instrumental Finance: the next DeFi generation

Since Mark Zuckerberg moved to rebrand Facebook, and everything under his company’s control, into a new entity called “Meta,” much of the mainstream public was introduced to the term _metaverse_. But what is the metaverse?

Quite simply, a metaverse is a _virtual_ world.  It’s an online environment where people adopt the form of avatars to play games, build things, or just socialise.  The important takeaway is there is not _just one_ metaverse like there _is one_ Internet.  Facebook is only one of _many_ companies planning to offer users the ultimate “virtual world” in hopes of enticing them to bring their digital avatars and come live in _their_ world.

While the mainstream public decides whether the metaverse is something they need to take seriously, a large segment of the cryptocurrency investment community already has. 

The real value of blockchain technology is becoming more evident as cryptocurrencies play an increasingly more prominent role in the metaverse, serving as the medium used for the transactions that occur in these virtual worlds.  Metaverses that use cryptocurrencies such as Decentraland and The Sandbox have gone gangbusters lately in terms of popularity.

## Virtual Real Estate

There is even an emerging _virtual_ real estate market, and people are beginning to snatch up virtual plots of digital land in these electronic environments for substantial amounts of money.  One plot of land sold for a jaw-dropping $2.4 million on Decentraland’s platform.  Every kind of social activity from virtual performances to browsing shopping malls will have a presence in the metaverse.  As more and more people begin “living” in these virtual worlds it is anticipated that digital property owners may even begin to work with recognisable brands that want to build up a presence in the metaverse.

While traditionalists and curmudgeons still think investing in the metaverse is janky at best, the health-care industry is already adopting the same technologies, like virtual reality and artificial intelligence, to power their medical devices.  In other words, this technology is proving to be applicable to more than just gaming.

In the last analysis, there are some very influential people who are driving the adoption of the metaverse by suggesting they _truly will_ change the world in much the same way the internet did when it began in 1995.  If they prove to be right, the following three cryptocurrencies stand to gain significantly in the months to come:

### Decentraland (MANA)

[Decentraland](https://decentraland.org/):  MANA, the cryptocurrency of Decentraland’s platform, reached an insane market cap of over $10 billion in November but has cooled a bit in the last few days, along with the rest of the market, settling at a market cap of just over $6 billion.  MANA is considered _the_ digital coin to watch as the metaverse wars heat up.

### Sandbox (SAND)

The Sandbox: In this writer’s opinion, the cryptocurrency SAND is in the strongest position to benefit from mainstream adoption of the metaverse.  It is the cryptocurrency of the “The Sandbox,” a hugely popular platform gaining more users by the day.  Though falling more than 25% in the last seven days, SAND skyrocketed more than 300% in the month of November alone.

### Axie Infinity (AXS)

[Axie Infinity](https://axieinfinity.com/): The blockchain name of the very popular online crypto game that lets users play to collect in-game (AXS) currencies.  The AXS market cap is currently just over $6 billion but reached a high of nearly $10 billion last month.  Pundits suggest that AXS could double in the near term if mainstream adoption of the metaverse continues.

Bitcoin is still the largest cryptocurrency by market value, though its dominance has steadily declined as other cryptocurrencies draw the attention of investment communities.  Bitcoin now accounts for around 40% of total market value, down from 70% in January 2021.

The Popularity of Metaverse Crypto Continues to Grow

What an incredible year for the value of altcoins and lesser known digital assets. It would seem that all that is needed for them to go from complete obscurity to front page news is the connection to the right meme or to benefit from a well-timed tweet from some quirky and eccentric billionaire.

A cryptocurrency called Omicron is currently enjoying such notoriety, if only momentarily.

## Beast Mode

While treading water for much of the past week, the popularity of Omicron went into full ‘beast’ mode once the media announced a coronavirus variant that had been discovered in southern Africa and was given the same name as the coin.

From what we can determine, Omicron was launched on or around November 8th but already it’s identifiable by much of the mainstream public. The coin shot up 10 times in value from last week Friday till Monday as the news of the virus permeated all the major news outlets.

‘Experts’ said the rapid rise in popularity was likely attributable to the fact that both the new coronavirus variant and the coin share the same name. Good guess.

### There are other coins, once relatively obscure, that have quickly risen in popularity as well:

**SAND** – A digital asset that’s being mega-hyped by metaverse enthusiasts. SAND are tokens that can be traded or earned upon completion of certain adventures within the popular virtual gaming world called Sandbox. The digital coins recently traded at around $7 and have enjoyed an eye-popping 80%+ increase in value in the past week alone.

The metaverse, which is a combination of multiple technologies, including virtual reality and augmented reality where users can hypothetically ‘live’ within the technical platform, is gaining attention from some very big, highly recognisable companies that are considered industry leaders. According to a recent statement from one such company, Adidas, they are keenly focused on how the metaverse develops saying that it is ‘…currently one of the most exciting developments in digital, making it an interesting platform for Adidas’.

**MANA** – Another coin that’s riding the Metaverse wave of popularity. The MANA coin is associated with the [_Decentraland_](https://decentraland.org/) Metaverse and rose from $2.81 to $4.67 during the month of November. If metaverse environments pique your curiosity, Decentraland is an interesting story. There were many headlines that mentioned Decentraland last month which has a tendency to happen when a nation like Barbados starts to make remarks that it is taking steps to setup a virtual embassy in Decentraland’s metaverse.

The increase in value of altcoins mentioned above seem to have been initiated by Facebook’s announcement in October that the company would be adopting a new name - Meta, a new mission that hopes to ‘bring the metaverse to life’.

Overall, the cryptocurrency market demonstrated mixed results this week.

As we close out 2021, Bitcoin was projected to reach a year-end value of $100,000, but in terms of reaching that value, the market’s key digital asset would need to stage more than a 75% rally in the next four weeks.

BTC Set to Miss Expectations; Altcoin News

Step aside NFTs, the metaverse and GameFi token craze is real. In what has been a dismal week for major cryptocurrencies like Bitcoin and Cardano, largely due to the signing of the US Infrastructure Bill, the rejection of a US spot Bitcoin ETF, crazy Bitcoin profit bookings, further Chinese crypto sanctions and news of the possibility of crypto being banned in India, many metaverse and gaming tokens have experienced considerable growth.

MANA, SAND and GALA in particular have witnessed substantial growth. Public sentiment is so bullish at the moment that a Decentraland patch of real estate [sold for nearly $2.43 million](https://www.reuters.com/markets/currencies/virtual-real-estate-plot-sells-record-24-million-2021-11-23/) on 23rd November! Following Facebook's rebranding to Meta last month, the world is looking at such projects with keen interest. GALA is a gaming asset worth looking at closely.

## What is GALA and should you buy it?

I am not giving you investment advice but wow, GALA sure is a fascinating investment prospect. In the past year, GALA has surged 200,000+% and reached an all-time high of nearly $0.06 on 25th November. GALA powers the Gala Games ecosystem, an Ethereum-based gaming network.

Gala Games currently offers 2 blockchain-based games and is developing 3 more. The decentralized ecosystem is controlled by its users – all decisions are taken by node holders and players, be it related to the development of a new game or what should be funded by the ecosystem.

Node holders can run nodes (Gala Nodes) via their computer systems and earn rewards such as GALA, limited edition NFTs and much more. You can purchase a Gala Node license for the same. All items that you win in-game are yours and are verifiable assets on the blockchain. GALA represents a long-term investment option, so explore its underlying project at your convenience.



Metaverse tokens and GameFi – a new trend

[Niantic Wayfarer](https://wayfarer.nianticlabs.com/new/), the creators of popular augmented reality game Pokemon Go, is planning to build a metaverse with £300 million funding from cryptocurrency investor, Coatue.

Niantic already has one of the most popular apps on mobile devices, with over 50 million players each month. The developer released an Apple Watch version of the game in its latest update, letting players catch Pokemon with a tap of the wrist.

The developers have promised more updates in the coming months, building on their experience creating Pokemon Go and Ingress - another augmented reality game that asks players to visit real-world locations to unlock special powers within the game.

## Investor Partners With Niantic

Coatue is a well-known crypto and blockchain investor which has previously helped to set up companies such as Fireblocks and MoonPay.

Coatue general partner, Matt Mazzeo told [CoinMarketCap](https://cointelegraph.com/news/valued-at-9b-pokemon-go-creator-to-build-metaverse-with-fresh-funding). “We are excited to partner with Niantic because we see this infrastructure supporting a metaverse for the real world and helping to power the next evolution of the internet."

He added; “Niantic is building a platform for AR based on a 3D map of the world that we believe will play a critical role in the next transition in computing".

Niantic is reportedly hoping to develop a real-world metaverse that will utilise technology to improve humans' experience of the world.

More [Metaverse news](/news/category/metaverse-news)

Niantic Wayfarer to Build Metaverse

M,Cryptocurrency exchange platform [Gemini](https://www.gemini.com/) has raised $400 million in outside funding with the intention of developing increased access to ‘the metaverse’ for its of users.

The announcement highlights Gemini’s continued commitment to providing access to a variety of metaverses directly via its platform. The significant capital outlay has been raised from a variety of sources, including Morgan Creek Digital, Parafi Capital, 10T, Newflow Partners and Marcy Ventures.

Additionally, in a first of its kind, the Commonwealth Bank of Australia has also made a significant investment.

## Who are Gemini?

Gemini was formed in June 2013 by American twins Cameron and Tyler Winklevoss and quickly became the first licensed Ethereum exchange in the USA.

The Winklevoss twins are perhaps best known for bringing a lawsuit against Facebook ‘founder’ Mark Zuckerberg for stealing intellectual property related to the social media concept. The case was settled by Zuckerberg in an out of court settlement for $65 million in 2011.

### Gemini $7.1 Billion Valuation

The $400 million ‘growth equity funding’ investment brings the value of the Gemini group to roughly $7.1 billion and is the first time the platform has sought outside investment.

The Winklevoss twins are set to retain 75% ownership of the company with Morgan Creek Digital partner Sachin Jailty joining the board of directors as part of the $75 million investment from the firm.

## Crypto Market Sentiment

The cryptocurrency market reflected the increased confidence in metaverse development this week with massive price gains for Sandbox, Decentraland and Enjin among others. Indeed, Gemini released details earlier this week of a significant purchase of Sandbox which may have led to the 60% price rally witnessed in the last seven days.

## Decentralisation is a Spectrum

Cameron Winklevoss was keen to emphasise Gemini’s decentralised approach to the metaverse in stark contrast to centralised ownership from firms ‘like Facebook or Fortnite’.

Winklevoss went on to say: ‘There is another path, which is the decentralised metaverse and that is the metaverse where we believe there’s greater choice, independence and opportunity, and there is technology that protects the rights and dignity of the individuals. Decentralisation is a spectrum. We want to continue to move down the spectrum towards empowerment.’ 

  More [Metaverse news](/news/category/metaverse-news).


Gemini Crypto Exchange Looks to Metaverse

Multiple Metaverses. Yes, you read that right. But what is the meaning of the Metaverse?

There is no one metaverse out there. Facebook's rebranding to Meta doesn't change the fact that there are multiple metaverses in existence, in multiple shapes and forms.

From Meta's (Facebook's) three-dimensional (3D) vision of the internet to [Decentraland's](https://decentraland.org/) decentralised 3D virtual reality (VR) platform, to the numerous gaming worlds in existence (like World of Warcraft and NFT-based Axie Infinity), there are several metaverse concepts around.

Global powerhouses like Microsoft and Nike are venturing into the metaverse space as well. Let's make things clearer by defining a metaverse.

## Multiple Metaverses? What's a Metaverse Any Way?

A metaverse is a virtual universe in which users can interact with one another as avatars in shared spaces to socialise, work and play games. Millennials have been playing games in which users can purchase in-game items like skins and weapons for many, many years.

They are familiar with the concept of in-game purchases and understand NFTs better than most. Companies venturing into the metaverse space are targeting the younger generation (those born in the 1990s and after) and should try to leverage the power of NFTs as well.

## Using NFT Technology

Using NFT technology in the metaverse sphere may enable users to move digital assets from one metaverse to another – how cool is that? It is safe to say NFTs will underpin the metaverse sphere and enable users to claim ownership of digital assets like art and music.

That said, there is much more to the sphere than just digital asset ownership. As a 3D vision of the internet, the metaverse will enable you to attend meetings, concerts and other events of importance in the virtual form (as a hologram).

Of course, this concept is one for the future and for now we must enjoy the many metaverses that are currently at our disposal.

More [Metaverse news](/news/category/metaverse-news).



Welcome to the Era of Metaverse Crypto

Facebook, and parent company, Meta, have been in the media a lot lately.  While not all of the headlines have been good, a recent one that announced Mark Zuckerberg's company’s mega-investment of $10 billion into creating “the metaverse” should pique the curiosity of crypto communities around the world. 

Metaverse is more than a new buzzword, and it is _not_ unique to Facebook.  Microsoft is another industry titan trying to lay its own claim to this so-called metaverse. They may, in fact, be _leading_ the charge considering how Microsoft has already adapted several technologies currently used in these environments.

## What _is_ a metaverse? 

The term was first used in Neal Stephenson’s 1992 science fiction novel, "Snow Crash."  In it, Stephenson hatched the term when he described avatars who would connect and congregate in 3D buildings and other virtual reality environments.  In our world, metaverses are best defined as digital universes that people access with a virtual reality headset. This allows them to work and play in an imaginary, digital realm.  It’s virtual reality at its finest.

Here’s where it gets interesting – the leading members of the technology brain trust are convinced that the metaverse represents _the future of the internet_, and it’s rapidly evolving.  With metaverses making more strides into becoming a reality, we are learning that to truly become _fully_ immersive worlds with their own economies, they need to have a form of currency.

That’s where digital assets come into play as they are often paired with blockchain VR social platforms. This is so that people can buy items within the game, such as land, weapons, or other items that can be traded with other players. 

## Top 3 Cryptocurrencies for Metaverses

Here are three of the top cryptocurrencies well positioned to serve as the economic backbone of future metaverses:

### **SAND**

The Sandbox is a virtual world (metaverse) where players can build, own, and monetise their gaming experiences in the Ethereum blockchain using the platform’s token, (SAND).  SAND has a current market cap of over $2 billion and the Hong Kong-based gaming platform very recently raised $93 million from SoftBank. SoftBank is apparently committed to watching Sandbox further expand its digital world.

### [**Decentraland**](https://decentraland.org/)

Decentraland is another blockchain-based metaverse powered by the ETH blockchain.  Here, users can purchase plots of digital real estate called "LAND.”  Users are then able to buy plots of LAND using the metaverse’s in-game cryptocurrency token, (MANA).  Users can both purchase LAND in this metaverse as well as use their MANA tokens to pay for in-world goods and services.  At present, MANA has a market cap of over $4 billion and since trading at around $0.08 this past January, MANA has shot up to $3.18 today.

### [**Enjin**](https://enjin.io/) 

The self-proclaimed “largest gaming community platform” currently boasts more than 250,000 gaming communities and more than 18 million registered players.  The Enjin Coin (ENJ) is an Ethereum-based coin with a market cap of almost $3 billion.  The main use case for Enjin is creating ENJ backed assets that can be accessed in games.  For example, developers can create items such as weapons, and back them with a certain amount of ENJ coins. 



Metaverse from Facebook has Begun- 3 Coins to Watch

Crypto exchange [KuCoin](https://www.kucoin.com/) has launched a 'virtual skyscraper' in the Bloktopia metaverse.

KuCoin will be housed in the tower’s 5th floor. The virtual building will have 21 levels and will hope to house other content creators, including Polygon and Avalanche.

The company is set to join an already well-known spread of blockchain companies based within the virtual skyscraper, including its parent company High Fidelity, Everdragons and Black Bull Capital.

## A Dynamic Environment

Black Bull Capital’s CEO, Trevor Koverko, described the building as a “dynamic environment” for blockchain companies.

He told [Cointelegraph](https://cointelegraph.com/): "I think it's going to be really unique and different, and it's going to be so cool."

"What we've done with this project is create something where you'll have people from all different walks of life and you'll have a very interesting cross-section of people that companies can go to, to service their needs."

People will be able to virtually communicate with eachother and interact within the space.

The space is host to various virtual and augmented reality activities.



KuCoin Crypto Launches Metaverse Space

Facebook (FB) announced Friday that it has formed a new company called ‘Meta’. The news comes as the Senate is set to vote on stronger privacy protections for Facebook users, following significant scrutiny of the social network’s data practices. The metaverse will be a 3D virtual world that will be 'more immersive'.

The House passed new privacy legislation this week. It will require companies like Facebook to get their users' permission before they can share their personal information with advertisers.

The new company is led by Meron Gribetz, who has been described as a "reality visionary." When asked about what its business strategy will be, Facebook said it's focusing on hardware and software development through the lens of augmented reality (AR). CEO Mark Zuckerberg announced that the 3D world would include NFTs.

"It’s going to take ecosystem building, norm setting, and new forms of governance and this is something that we’re really going to focus on,” Zuckerberg said.

Pundi X has been building out a network of retail devices over the past couple years. The company has a goal of enabling "any store to buy, sell and accept cryptocurrency as payment." The company's initial plan was for consumers to spend their digital tokens on everyday items from groceries to transportation. Now it seems Facebook is pushing NFTs into that same physical, real-world realm.

**Privacy will be built in Facebook Metaverse from "day one"**
--------------------------------------------------------------

Zuckerberg assured the public that privacy and safety will be built into the metaverse along with interoperability.

He reiterated; "Privacy and safety need to be built into the metaverse from day one.”

And so we've gone from a world of isolated VR headsets, to one where we will have our own token economy that locks us into an all-encompassing social metaverse. This isn't science fiction anymore. What used to feel like the distant future is now just around the corner.



Facebook Metaverse Will Feature NFTs