Following where the money goes is a well-known concept in the world of finance. If you are already investing, it is most probable that you know about the idea that it’s worth investing in assets that are already popular amongst others.
An intelligent investor knows that you have to think strategically if you want an advantage. Because the Metaverse has been one of the hottest topics of the last few months, let’s take a look at a compiled list of assets that make the Metaverse possible.
What does it mean to have a strategic investment mindset?
It’s simple. Analyze the trend you are interested in, then go backward on the chain and invest in the companies that make that trend work. In the case of the Metaverse, investing in Meta (the new parent company of Facebook) is not enough. As an investor, you must consider all the other companies involved if you want complete capital exposure.
Let’s start with strategic investment thinking. For the Metaverse to work in the way we are experimenting with it now, we need:
● chips
● chip-building machines
● internet connections
● streaming platforms
● payment processors
Starting from this structure, we can focus on the following companies:
Companies working on chips:
Everyone invested in the markets knows about Nvidia and AMD. Less well known is the Dutch company ASML, a supplier of chip machines. They collaborate with several manufacturers and also have a monopoly on that market. No wonder ASML shares have risen eight times in the last five years, and, given the growing demand for chips, the price value is still expected to expand.
Companies that offer infrastructure for the Metaverse:
A stable infrastructure for internet access is needed for Metaverse to work. T-Mobile seems to be almost everyone’s choice. However, what stands out is the wireless access infrastructure. Companies like American Tower Corp and Castle International Corporation provide communications towers and high-speed Internet access infrastructure. If Metaverse successfully deploys, the conservative projected growth for these three companies will be around 15%.
Companies that provide streaming services:
It is of imperative importance for the new developing services to be able to transmit the data to the meta. For this, we need a system of content delivery management. Fastly Inc is positioned to grow at a CAGR of 15% to 20% over the next ten years as the Metaverse becomes a more tangible reality for many of us.
Companies that are developing platforms:
Facebook and Roblox are most likely the platforms on which Metaverse will operate. As the meta grows, stock prices for both Facebook and Roblox could rise, considering that they are the most notorious companies in their sector.
Companies that offer payment processing services:
Last but not least, we will have to shop and trade in the Metaverse while interacting with each other. To do this, we need a payment processing platform that is reliable and secure. Crypto exchanges like IXFI will play an important role in the Metaverse, as it’s going to be a decentralized environment. What currency could be more suitable for this than crypto?
Investing in a reliable and secure crypto exchange, as well as just keeping your digital assets on one would be a good idea if you want to partake in the opportunities created by the Metaverse.
The point is that established companies will also grow with the new trend that is developing based on metaverse concepts, even if the immediate attention is oriented to cryptocurrency companies. Everybody interested needs to do their research before investing. This is a good overview of how a portfolio manager thinks, which can be helpful for investors looking to find some clarity in the process.
Quality information needs to reach as many people as possible as the world of finance is open to anyone willing to put their money to work for them.
For more Metaverse-related information, continue reading our Medium blog to find out the most recent developments. If you’re also looking to put your money to work for you, trading on Your Friendly Crypto Exchange might be the easiest way to do that. Join IXFI to see what a truly secure and reliable crypto exchange can do for you.
Disclaimer: The content of this article is not investment advice and does not constitute an offer or solicitation to offer or recommendation of any investment product. It is for general purposes only and does not take into account your individual needs, investment objectives and specific financial and fiscal circumstances.
Although the material contained in this article was prepared based on information from public and private sources that IXFI believes to be reliable, no representation, warranty or undertaking, stated or implied, is given as to the accuracy of the information contained herein, and IXFI expressly disclaims any liability for the accuracy and completeness of the information contained in this article.
Investment involves risk; any ideas or strategies discussed herein should therefore not be undertaken by any individual without prior consultation with a financial professional for the purpose of assessing whether the ideas or strategies that are discussed are suitable to you based on your own personal financial and fiscal objectives, needs and risk tolerance. IXFI expressly disclaims any liability or loss incurred by any person who acts on the information, ideas or strategies discussed herein.
