Is Sandbox a Good Investment In 2022?
If you are here, the question – “Is sandbox a good investment,” is probably on your mind. Luckily for you, we have all you need to know about it.
Sandbox is among various virtual spaces that are based on blockchain technology and the NFT market. It provides its users with a gamified environment and allows them to make and trade certain digital assets in it. The digital currency in the game (SAND) is rapidly increasing in value. However, before you decide to invest in it, it is necessary to know about Sandbox in detail.
Below, you will find answers to what Sandbox or SAND is, whether or not it is a good investment, where to store them, and more. Let us get started.
Table of Contents
What is The Sandbox? Introduction to The Platform
For those who are not aware, the Sandbox is a blockchain technology-powered virtual space that allows its players to make as well as trade assets in a game-like environment. When talked about in technical terms, the game combines NFTs with community-driven DAO.
The former stands for Non-Fungible Tokens while the latter is Decentralized Autonomous Organization. These two – NFTs and community-driven DAO combine to create a completely decentralized gaming ecosystem.
In this ecosystem, that is the game world, the users have complete control over their interactions with others. Further, the native asset of the economy in this world is an ERC-20 token on the Ethereum network. The maximum supply of these tokens – SAND is known to be 3 billion. Also, as of now, there are around 900 million of them circulating in the game world.
These tokens have further two main functionalities on the game ecosystem – they can be used to purchase in-game items or they can be staked by the user to earn interest. Moving on to the foundation of the Sandbox, it mainly lies in editing software that is offered by the Sandbox team. As a user, you can use this software to come up with 3D items.
These can be anything ranging from creatures and vehicles to costumes and buildings. In simple words, you can use it to create pretty much anything you can imagine. Then, these user-created items are added to the blockchain as NFTs. You can sell these in the Sandbox’s marketplace or even in any secondary market. An example of the latter is OpenSea – the largest NFT marketplace.
Another thing about the Sandbox is that you do not have to be a coding expert to use it. Without the effort of coding, you will be able to design 3D games, play them inside the virtual world, and if you want, monetize the games. Further, the place where these games are played inside the Sandbox is a map of segmented areas – LAND.
When it comes to these segmented areas, each of them is its own NFT. The users who own them can sell them for thousands of dollars each. Due to this, the game has given rise to several virtual real-estate entrepreneurs. People invest in various LANDs and then these combine to form more valuable estates and districts.
Instead of selling them, it is also possible to make money in various other ways. Some of them include charging an entry fee, holding events in the area, conducting games, etc. If you can attract lots of paying users for these, it is possible to make money by keeping the LANDs rather than just flipping them.
In the coming days, makers of the platform believe that SAND will also be a governance token. As per them, by 2023, the users will be able to vote on decisions related to the fate of the game and its ecosystem. That being said, as of now, it is hard to call the platform a truly decentralized one as a majority of tokens are in the hands of the company, its backers, and the team.
Is Sandbox a Good Investment?
A Look at The Sandbox Price History
To determine if the Sandbox is a good investment, let us take a look at the price history of the platform. When it comes to the same, by far, one of the events that are considered a peak, was Facebook’s announcement. The Sandbox’s price history before this particular event was not considered much as it could barely reach even $1.
It had this all-time high of $1 in September. In fact, until late January 2021, SAND barely managed to trade at about $0.05. Then, after this, in the 2020-2021 bull run, the price started following the rest of the market. The first peak for the SAND was in March. It was $0.85 and stayed the same for a few months. Then, Ethereum hit its May high which was $1.
After this, as the first week of November came by, the prices went over $7 in a matter of days followed by $8. After nearly $8 billion market capitalization, the price then dropped about 20%. While the same price has not been recovered since then, SAND still has a market capacity of over $5 billion. Thus, it can easily be counted among the top 50 cryptos you can invest in today.
The Sandbox Rivals
After the price history for the platform, let us move on to the Sandbox competition. Recently, after Facebook’s announcement about its name change and building of a metaverse, the prices of SAND, and other similar tokens skyrocketed. It sure does make sense as with the announcement, many learned about the technology, and the existing platforms came into the limelight.
That being said, when Facebook launches its platform that uses similar technology, it will be Sandbox’s greatest competition. After all, the former is a tech giant, and it is common for people to be more inclined towards it. However, if we take out Meta’s upcoming metaverse release from the picture, Sandbox’s competition as of now is Decentraland.
When looking at both platforms, they are quite similar on the surface. Both of them are built around a cryptocurrency, and both these metaverse games make use of the NFT-based economy. Also, both these platforms have attention from popular brands. (Coca-Cola Co. in case of Decentraland, and Atari and Snoop Dogg in case of the Sandbox.
That being said, they have their differences too. As mentioned earlier, with Sandbox’s 3D editing software, you can create almost anything you can imagine. However, its rival Decentraland does not offer the same. It is a little more basic and may be suited for the average person.
How do you Buy the Sandbox?
As mentioned earlier, the Sandbox falls under the category of top 50 crypto tokens you can invest in. This makes it a relatively popular token, and therefore, it is easily available at some of the top cryptocurrency exchanges. If you are looking for the best trading platforms to get this token, FTX and Gemini are great choices.
In order to make the purchase, and start trading, you need to verify your identity with the trading platform you choose. While this process may differ as per the platform, you typically have to provide the same data. The most common things you will need to provide include your Social Security number, permanent address, and a picture of your valid ID proof.
Then, as soon as your verification is completed you have to link your bank account and you can start trading immediately. In case you do not plan to trade your SAND shortly, it is always a good idea to move them to a personal wallet for safety. It is where knowing about the best wallets for the Sandbox comes into the picture. Let us find out about them.
Wallets for The Sandbox
If you want to keep your SAND and other cryptos safe, you need to store them in a top-quality wallet. These can be of various types – hardware, trusted, multi-platforms, web-based, etc. Here is a look at the best ones for SAND:
Best Hardware Wallet for The Sandbox – Ledger
Let us start with the best hardware wallet for the Sandbox. The best choice for this is Ledger. This is a leading wallet brand when it comes to the best Hardware wallets (number one choice for storing crypto) for crypto investors. With this wallet for the Sandbox, you also get to choose between two great models of the brand – Ledger Nano S and Ledger Nano X.
The former is a simpler model, and can easily help you keep your crypto portfolio safe. When it comes to the latter, it has some added benefits like Bluetooth functionality that is excellent for on-the-go use. Also, it has a larger screen. When it comes to the safety of both these Ledger Nano S and Ledger Nano X models, they use the same certified secure chip.
This chip will randomly generate, encrypt and store the key used to access the wallet. Without this key, it is impossible to do so. Also, along with SAND, these wallets can support more than one thousand different kinds of cryptos. Some of the most popular ones include Bitcoin, Ripple, Ethereum, and Dogecoin.
Best Trusted Wallet for The Sandbox – Trust Wallet
After the best hardware wallet, let us move on to our choice of the best-trusted wallet for the sandbox. The Trust wallet is perfect for it. Officially supported by Binance, it is ideal for those who are just getting started with cryptocurrencies. With it, you will find an ideal place to store your SAND on a secure mobile device.
To get started with this wallet, you first need to download it to your Android or iOS device. Then, you only have to set up a new wallet that can be done easily using a simple tutorial. You can send your SAND directly to this wallet set up by you. The wallet is also ideal for any other ERC20 coins.
Best Multi-Platform Wallet for The Sandbox – Atomic Wallet
The next wallet for the Sandbox that we are suggesting is a multi-platform wallet called the Atomic Wallet. It can not only run-on Android and iOS but also on several desktop versions available today. Further, the wallet can also support more than 300+ cryptocurrencies. It also includes SAND and similar other ERC20 and BEP2 tokens.
Another functionality that this wallet offers is the Atomic Swap feature. With it, the users can swap back and forth between every kind of asset supported by it. While this wallet is extremely convenient as it can operate on both mobile and desktop, we suggest that you only install it on a clean and secure system due to malware threats. Using it on mobile is an ideal option.
Best Web-Based Wallet for The Sandbox – MyEtherWallet
The final wallet kind where you can store SAND is a web-based wallet. The best web-based wallet for the Sandbox that we have today is MyEtherWallet. You can use this platform to store SAND and other ERC20 tokens without the need to download any clients or software.
They are stored on the Ethereum blockchain. With this web-based solution, you can log in from anywhere, and store your tokens easily. However, do remain cautious about phishing attempts by some fake websites.
Cryptocurrency Market for the SAND – How Does It Look Now?
In order to determine whether or not to invest in crypto like SAND, it is crucial to know about the Cryptocurrency Market Outlook. As of today, most cryptocurrencies remain at their all-time high prices.
As we head into 2022, the trends seem to be the same, especially when it comes to blockchains like Ethereum, Avalanche, Solana, and metaverse cryptocurrencies like SAND, MANA, etc. While the top altcoin and metaverse cryptocurrencies are doing well, experts believe that there is still room for other cryptos to explode and perform better.
Then, others believe in the saying – the bull run can’t last forever. Talking about the success of SAND, they believe it will depend on the driving future adoption of the platform. After all, you need to play the game to support its ecosystem.
So, Is the Sandbox a Good Investment?
To conclude, we would like to say that the Sandbox definitely could be a fantastic investment for you. It has been the same for some investors who bought it in January, and it went up over 10,000%. That being said, like most altcoins, this investment can turn out to be extremely risky. After all, the future of the game depends on the users and investors.
If the game fails to bring them in, chances are its prices will plummet over time. While there is no guarantee on whether or not the game will remain among the best metaverse games in the upcoming year, it still is a safe bet that some of its smaller competitors present today. With this, we hope you have all the data you need to decide if the Sandbox is a good investment for you. Good luck!