- Microsoft has ended its metaverse project that was focused on industrial environments, just four months after its formation.
- The technology giant wants to prioritize shorter-term projects over those that take a long time to generate revenue.
- Metaverse tokens Internet Computer Protocol (ICP), The Sandbox (SAND) and Axie Infinity (AXS) nosedived amidst market-wide bloodbath.
Microsoft, an American multinational technology firm dashed hopes of metaverse’s utility in industrial projects and disbanded its 100 member unit. A source with direct knowledge of the issue said the technology giant is now focused on projects that can generate revenue in the short-term.
Also read: Crypto traders panic sell $4.7 billion USDC for fiat on Coinbase, here’s what this means
Microsoft disbands metaverse unit, dashes hopes of metaverse token holders
The technology giant recently laid off 100 people from its metaverse unit, since the project’s industrial application seems unviable and could take a long-time to generate revenue.
Since the news broke out, there has been a broad crypto market sell-off and metaverse tokens Internet Computer Protocol (ICP), The Sandbox (SAND) and Axie Infinity (AXS). Metaverse tokens in the top 10 yielded between 7.5% and 22.4% losses overnight.
Metaverse tokens
Why metaverse tokens could witness further decline
Meta’s earnings report release fueled a rally in metaverse tokens. Since then, several bullish developments in metaverse projects contributed to a bullish narrative. Earlier this week, on February 7, The Sandbox announced an MOU partnership ceremony between TheSandboxGame and the Saudi Arabia Digital Government Authority (DGA).
Despite bullish catalysts throughout the week, SAND, MANA and AXS prices have declined overnight with news of Microsoft’s metaverse unit disbandment. The giant first formed its metaverse core team in October, since then the unit engaged in building software interfaces that could be used to drive metaverse-related projects. Metaverse tokens could yield further losses for market participants holding these tokens in the long-term amidst bloodbath in the crypto market.
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers. The author will not be held responsible for information that is found at the end of links posted on this page.
If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.
FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.
The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.
Recommended Content
Editors’ Picks
SEC doubles down on TRON's Justin Sun lawsuit dismissing claims over jurisdiction
The SEC says it has jurisdiction to bring Justin Sun to court as he traveled extensively to the US. Sun asked to dismiss the suit, arguing that the SEC was targeting actions taken outside the US.
XRP fails to break past $0.50, posting 20% weekly losses
XRP trades range-bound below $0.50 for a sixth consecutive day, accumulating 20% losses in the last seven days. Ripple is expected to file its response to the SEC’s remedies-related opening brief by April 22.
ImmutableX extends recovery despite $69 million IMX token unlock
ImmutableX unlocked 34.19 million IMX tokens worth over $69 million early on Friday. IMX circulating supply increased over 2% following the unlock. The Layer 2 blockchain token’s price added nearly 3% to its value on April 19.
Bitcoin Weekly Forecast: BTC post-halving rally could be partially priced in Premium
Bitcoin price briefly slipped below the $60,000 level for the last three days, attracting buyers in this area as the fourth BTC halving is due in a few hours. Is the halving priced in for Bitcoin? Or will the pioneer crypto note more gains in the coming days?
Bitcoin: BTC post-halving rally could be partially priced in Premium
Bitcoin (BTC) price briefly slipped below the $60,000 level for the last three days, attracting buyers in this area as the fourth BTC halving is due in a few hours. Is the halving priced in for Bitcoin? Or will the pioneer crypto note more gains in the coming days?