Blockchain will become the foundation of the metaverse because the technology allows users to securely own digital assets by moving them between different platforms, Business Insider has reposted citing an analytical note by Goldman Sachs.
The investment bank experts have called blockchain “one of the most destructive technological trends” since the advent of the Internet. They claim the distributed ledger will form the basis of the metaverse, since it allows users to eliminate the central intermediary. They said:
“We believe the metaverse is likely to be an amalgamation of various 3D spaces that users regularly move between. If goods or services fail to follow their beneficiaries, their value will be more limited.”
According to Goldman Sachs, blockchain is the only technology that can uniquely identify any virtual object, regardless of the central operator. Per the report:
“This ability to identify objects and then track property rights will be critical to the functioning of the metaverse when it finally materializes.”
In general, the analysts have expressed optimism about the future of blockchain technology, but stressed it is too early to build any investment strategies around it.