Mar 29, 2022
Sandbox vs Decentraland — The War of the Metaverses
At Supermeta, we love all things NFT, and what better way to delve into the world of NFTs than through Metaverse experiences. Today, we check out two leading metaverse experiences — Sandbox and Decentraland — and pitch them against each other in a test to see who aces it.
Before we head into the comparison, let’s take a look at what these terms mean, and what the experiences entail.
What is the Metaverse?
Metaverse is probably the most common term you will find floating around the internet with regard to technology news in the current scenario. Although there is no single agreed-upon definition to the Metaverse, it can be likened to a virtual world that mirrors most nuances of the physical world that we live in.
More importantly, the Metaverse is uncountable. There are millions of experiences across the Metaverse that make it diverse and unfathomably larger than life. Through a decentralized approach, the growth of the metaverse ultimately depends on the adoption by the masses.
What is Decentraland
Having launched in 2017, Decentraland can be considered the OG of sorts with respect to metaverse experiences. It was conceived as a step up to the already existing virtual reality games like Second Life, but with the added advantage of proof of ownership of property through blockchain technology. Also by virtue of being decentralized, users no longer had to worry about their virtual lives getting locked out due to the developers or owners of the experience.
Decentraland has 90,601 parcels of land available for purchase, sold based on Dutch auction style pricing mechanisms of a high price, coming down gradually until a buyer jumps in.
Users can acquire properties, upgrade their avatars and customize their experience by purchasing NFTs using Decentraland’s native currency MANA, a deflationary asset that is burned after every purchase.
At present, in the vast Decentraland metaverse, the focus is on socializing through discovery events such as virtual AMAs with crypto stalwarts, concerts and gaming tournaments.
What is Sandbox?
Initially launched as a mobile game in 2011, it integrated into the Ethereum blockchain recently in 2020, thus enabling decentralized governance.
Sandbox has 166,000 plots available for sale, with the potential for multiple plots to be purchased and combined into a large, single estate. Sandbox is more gamified and relies on multiple closed attractions in the form of custom gaming experiences by different builders on their platform.
Similar to Decentraland, Sandbox users are able to develop their purchased land by building interesting structures, creating virtual events and even charging other users for visiting their land.
The Sandbox marketplace allows participants to buy, sell and exchange virtual assets within the Sandbox metaverse experience using their native token SAND.
Sandbox vs Decentraland — Stats
In terms of price floor, Decentraland edges Sandbox with a current price ratio of 2.976 to 2.5. This is because a large number of brands and celebrity endorsers are purchasing lands on Decentraland and developing their own custom experiences within Decentraland. Sandbox too is slowly catching up, but still has a long way to go.
In terms of wallet holdings, the top wallet on Decentraland holds 68.35% of all MANA tokens, while the biggest wallet on Sandbox has the ownership of 57.9% of all SAND tokens. This uneven distribution may seem to be a cause of concern, but given the nascent nature of the metaverse market, it would take time before we see an equitable spread of tokens across multiple wallets.
In terms of profit-to-loss ratio, Decentraland enjoys a higher average profit-to-loss ratio of 90:10, whereas Sandbox currently has an average of 80:20. This can be attributed to the longer holding periods of the MANA token and the several developments and enhancements seen on the Decentraland platform as compared to that on Sandbox.
Decentraland fairs better than Sandbox in almost all the comparative analysis done, but this can broadly be attributed to the fact that it is an established player in the market. As a new entrant, Sandbox seems to be doing commendably well in catching up with the OG of metaverse experiences.
Which one is better?
By now, we’re sure you’d agree with us that it is hard to point out a clear winner. Both Decentraland and Sandbox have their core strengths, and it ultimately boils down to what every individual seeks for in their quest for virtual experiences.
Sandbox, which comes with a retro feel through its pixelated look, is ideal for gamers with a competitive mindset, whereas Decentraland with its core in aesthetics is the better choice for people interested in NFTs and artwork.
Are you a part of either of these metaverses? Which one do you prefer? Let us know in the comments below!
