© Reuters
Investing.com – In a report released yesterday, Citi Bank posted a very positive view on the future of the metaverse concept, estimating that virtual worlds could represent a $13 trillion revenue opportunity.
The report explains that the total addressable market (TAM) of the metaverse should be calculated by adding all Internet-related revenues to those from physical world activities that are moved.
Thus, Citi has identified investment opportunities in 5 different areas:
- Operating systems connecting people and content
- The blockchain that decentralizes economic systems and the ownership of digital assets
- Natural user interfaces, e.g. voice control and gestures, for greater user immersion
- Extended reality (XR) headsets
- Cloud network infrastructure
As for the stocks best positioned to take advantage of these opportunities, Citi mentioned names such as Meta Platforms Inc (NASDAQ:), Apple Inc (NASDAQ:), NVIDIA Corporation (NASDAQ:) and Intel Corporation (NASDAQ:) , but also telecommunications companies, in particular Verizon Communications Inc (NYSE:), T-Mobile US Inc (NASDAQ:) and AT&T Inc (NYSE:).
The bank, however, made it clear that given the young age of this market, there are many risks that need to be considered at this stage, in terms of technology, regulation, privacy and crypto that must be overcome before widespread adoption.
Metaverse cryptocurrencies largely outperform in 2022
When it comes to cryptocurrencies related to the metaverse concept, the past year has already been largely positive, as a report by Kraken published yesterday showed.
The exchange’s study, in partnership with Coingecko, has indeed shown that the metaverse cryptocurrency category vastly outperforms all other crypto categories, up nearly 400% year-over-year.
Leading the gains are , up 41%, , up 470%, , up 511%, and , up 746%, according to the report data.