The metaverse could add $320B to Latin America's GDP in 10 years.
26-05-2022
By: Lokesh Gupta
According to a new analysis, the metaverse could play
a big role in the expansion of Latin American and global economies in the following decade.
According to the report, Latam might benefit from a spike of $320 billion, or around 5% of its GDP, over the next ten years. This is the region with the highest percentage share of GDP in the study's prediction.
The metaverse is becoming a hot topic in crypto and business, and many organizations are already anticipating the influence it will have in the future in a variety of countries and areas. The prospects that the advent of the metaverse could create in the next 10 years are evaluated in a recent analysis titled "The Potential Global Economic Impact of the Metaverse," published by multinational economic advisory firm Analysis Group, assuming "acceptance begins in 2022."
The analysts relate the rise of the metaverse to the advent of mobile technologies in the document, examining the growth as if this new technology were to expand similarly. "Because of commonalities to the metaverse in the way it merged current and emergent discoveries to drastically alter global technological and economic landscapes," this industry was chosen.
Estimates of Latin America GDP and Growth
According to the paper, the metaverse and related services have the possibility to account for 5% of Latam's GDP in the tenth year following adoption (2022), contributing $320 billion to the region's economy. According to the analysis, Latam will have the highest percentage growth, while the APAC area will have the most volume growth, accounting for more than $1 trillion in GDP.
According to the report, the metaverse will create $3.01 trillion worldwide in ten years, accounting for more than 2% of global GDP. According to the paper, the industry will only develop if it achieves its full potential, which includes "far-reaching capabilities, with the ability to revolutionize a wide range of economic sectors such as education, health care, manufacturing, job training, communications, entertainment, and retail."
Other businesses have forecasted the impact of this new activity and the economic opportunities it would provide in the future for many industries. Grayscale, one of the most well-known bitcoin asset managers, estimates that the metaverse might be worth $1 trillion in the future. Goldman Sachs estimates that the metaverse will be worth $8 trillion. This $1 trillion market, according to JPMorgan, "will likely penetrate every area."
Lastly, it is one of Latin America's most astute moves to benefit from digital technologies and add 5% to its GDP. Other countries can learn from this precedent by profiting from the metaverse and other digital services to enhance their GDP.
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