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HSBC joins JPMorgan is betting on metaverse future
March 17, 2022
HSBC said it would join the metaverse through a partnership with the Sandbox platform. The bank will buy a plot of digital land in the virtual world and center it on sports, e-sports, and gaming, as indicated by a Wednesday blog post by the Sandbox, although the two parties did not give further details.
“At HSBC, we see great potential to make new experiences through emerging platforms, opening up a universe of opportunity for our current and future clients and for the communities we serve,” wrote Suresh Balaji, HSBC’s chief marketing officer for the Asia-Pacific region.
After HSBC reported it would join the Sandbox, the platform’s local cryptocurrency, SAND, hopped over 11% on Wednesday to $3.01. The token was priced at about $2.96 starting on Wednesday afternoon, still up 9%.
The bank’s move to buy digital land comes closely following JPMorgan Chase’s venture into the metaverse last month. The American banking giant made a lounge in another metaverse world, Decentraland, featuring a spiral staircase, a “live” tiger, and an illuminated picture of CEO Jamie Dimon.
JPMorgan wrote in a report last month that the metaverse represents a $1 trillion market opportunity in the coming years. Projections from Goldman Sachs and Morgan Stanley have been considerably rosier. Goldman said in January that the metaverse could be more like an $8 trillion opportunity. Morgan Stanley followed up in February by saying the metaverse would be worth $8 trillion in China alone.
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