The economics of the metaverse: A comparison with the real economy

Abstract

<p>The economic system is an important component of the metaverse as a virtual world. At the macro level, the metaverse economy operates in three cycles: the inner cycle, the outer cycle, and the virtual-real cycle between the real world and the metaverse. At the micro level, the user is the most important subject of economic activity, acting both as a demander and as a producer of user generated content (UGC). In the metaverse, market demand is based on the use value and scarcity of goods, and market supply is driven by a combination of economic and non-economic motives. The smooth functioning of the metaverse economy relies on property rights and monetary systems, and blockchain technology is increasingly becoming the basis for both of these systems.</p>