Challenges

Absence of DeFi infrastructure in the metaverse

Due to the lack of a robust DeFi infrastructure it's difficult for many projects to provide staking and farming options in their project. This makes the projects difficult to get integrated into the metaverse completely. Lack of platforms that provide seamless staking, yield farming and lending features also causes a major drawback in finding an entrance to the metaverse for new projects.

Play-To-Earn platforms becoming more expensive

Play-to-earn platforms built on blockchain play a major role in accelerating metaverse development. With the rising cost of metaverse tokens and NFTs, it's largely inaccessible to new players. Early adopters, receiving rewards and privileges, have a clear edge against the newly joined players who enter the game in later phases. This results in the platforms failing to cater the gamers with small investments for a long run.

Another problem that holds back players from P2E is the lack of interoperability in the space. Supporters of a certain chain may not prefer interacting with platforms that run on other blockchain ecosystems.Amateur players find it difficult to get a grasp of the platforms and how they work owing to limited sources of training. Apart from this, most of the video gamers are unaware of the huge opportunities in the metaverse. Awareness and training programs are prerequisites to making P2E platforms mainstream.

Existing marketplaces failing to make an impact

Apart from hosting a place for buying and selling NFTs, most NFT marketplaces fail to address the real needs of its users. When it comes to user experience and innovative features, they are still to keep pace with time. Current marketplaces lack immersive features and are unfit to provide scalability to current metaverse projects.

Fundraising and Scope for growth

The metaverse industry calls for intense research and development to manifest the way we imagine it today. Although there are many emerging projects with ambitious visions and business plans, not all of them can afford the massive capital requirements to run a successful project for a longer time. There is a lack of scope for growth and a huge need for fundraising frameworks like incubators and accelerators that extend support to early startups through initial grants which help to grow stronger and build a robust platform with a thriving ecosystem.