What is Decentraland?

Decentraland is a popular choice among investors looking to trade altcoins. However, before you Trade MANA, it is essential that you know what you are investing in. Let's find out what's Decentraland and how it works

Decentraland (MANA) is a blockchain-powered virtual reality platform that lets users create, enjoy, and monetize content and apps. The project employs two tokens: MANA and LAND. To get non-fungible ERC-721 LAND tokens, you will need to burn an ERC-20 token called MANA. MANA tokens may be used to buy a variety of items in the Decentraland marketplace, including avatars, clothing, names, and more.

The Decentraland (MANA) platform is an Ethereum-based decentralized virtual environment where users can build, test, and monetize their original content. To sum up, on the Decentraland platform, users may use MANA tokens to purchase digital parcels of land represented as NFTs. Every step forward in the game is entirely up to the players, their efforts, and their creativity.

All rights to the online service are held by its users. Participants in the Decentraland metaverse can travel the virtual world, buy plots of land that may be monetized, produce and own pieces of art, acquire NFTs, and participate in a decentralized autonomous organization (DAO) of the platform. The DAO empowers users to shape the project's future direction.

Additionally, users may utilize in-world monetary transactions, peer-to-peer communication, and interactive apps. Decentraland's widespread appeal among both gamers and investors is due to the versatility of its 3D environment.

MANA and LAND tokens run Decentraland. They also facilitate communication between users and the system. MANA is Decentraland's legal tender. It is a token built on the ERC-20 standard that fuels the Decentraland network. Users may buy LAND plots and other virtual goods and services using MANA.

With MANA, users get a voice in the governance of the Decentraland DAO. There are two ways to get your hands on MANA: through a cryptocurrency exchange or by selling your collectibles on the Decentraland Marketplace. Tokens are converted to wrapped MANA, or wMANA, by their owner before being committed to the DAO. In this system, one wMANA represents one vote. You may also trade MANA for dollars or other cryptocurrencies.

On the other hand, LAND is an Ethereum-based non-fungible token (NFT). As the name suggests, it is used to keep tabs on who owns which bits of virtual land. LAND, like MANA, is a component of the protocol that grants voting rights, but unlike MANA, LAND does not need to be committed in the DAO. One LAND equals two thousand votes.

The fate of the land is in the hands of the players. Further, users can control and trade LAND tokens on the market (priced in MANA). Players can buy, sell, and trade virtual goods through the market. The Ethereum blockchain performs, regulates, and records all financial transactions.

Decentraland is a hybrid platform for online gaming and distributed ledger technologies. Token holders have a voice in shaping the game's rules and the organization's direction as a whole. Decentraland's creators set out to create a virtual world without a centralized authority, but the platform has instead become a large NFT trading hub.

There are three tiers to the Decentraland system, all of which are based on Ethereum smart contracts. The consensus layer is responsible for keeping tabs on and administering the distribution of LAND ownership. The land content layer depicts the content of the virtual world of Decentraland. The last layer is the real-time layer, where people talk to one other in real-time.

How is Decentraland different?

Decentraland is designed for creators, businesses, and consumers looking for a fresh creative outlet, a lucrative new market, or a fun new pastime.

Decentraland's Metaverse,the game's virtual world, features 90,601 separate plots of land, each represented by a unique ERC-721 token. Each LAND in the Metaverse has a precise dimension of 16m x 16m (256 square meters).

Though LAND owners have complete creative control over what they build on their plots, the Metaverse as a whole is split into a number of districts of varying sizes and themes. These LAND parcels cannot be traded since they were created through separate crowdsales for MANA tokens.

Similar to an increasing number of other initiatives, Decentraland makes governance choices using a DAO framework. By proposing and voting on policy changes, the nature of forthcoming LAND auctions, and the sorts of content allowed with the Metaverse, MANA token holders determine how the Decentraland universe operates.

Many existing Decentraland users make money through leasing, advertising, and paid experiences on their LAND in addition to using the platform as a creative outlet. Additionally, other users earn MANA tokens by making and selling their own items on the Decentraland marketplace.

How many MANA tokens are there?

The total supply of MANA tokens is fixed at 2.19 billion. More than 600 million MANA have been burnt as a result of LAND auctions, reducing the overall supply from its original 2.8 billion MANA cap.

To further restrict the circulating quantity of MANA, a number of burn mechanisms have been put in place, such as a 2.5% MANA burn on transactions made in the Decentraland marketplace.

Initially, MANA was planned to inflate at a rate of 8% in the first year, with the goal of reducing inflation by 2% annually. However, inflation is turned off at the moment. Decentraland's glossary states that "until necessary," inflation will not be implemented.

In 2017, an initial coin offering (ICO) sold 40% of the entire supply of MANA (ICO). Additionally, 20% was set aside to reward the community, 20% was distributed to the development team and early contributors, and the remaining 20% was held by Decentraland. Tokens issued to the project's leaders have also been unlocked.

Network Security

MANA is an ERC-20 token. This means it is based on the Ethereum blockchain and is secured by Ethereum's Proof of Stake consensus algorithm.

Where can you buy MANA?

MANA is available on the licensed cryptocurrency exchange CryptoForce and several other national and international exchanges.

Disclaimer: Cryptocurrencies are highly volatile and subject to market, technical, and regulatory risks. Crypto trading requires one’s own diligence, and Cryptoforce will not be responsible for any losses incurred. Any information provided here should not be regarded as Cryptoforce’s technical or financial advice.