USERS of Decentraland can explore, engage and play games in the virtual world while buying and selling digital real estate.
When users own LAND in Decentraland they can rent it out, build games, applications, gambling services and even dynamic 3D scenes.
You don’t need to own LAND to enter Decentraland, but if you decide you would like to invest here’s everything you need to know.
What is LAND in Decentraland?
Each LAND parcel is a NFT, meaning it’s one of a kind and can’t be forged or duplicated.
Anyone can buy, sell or rent LAND through the Decentraland Marketplace or on OpenSea.
All transactions are stored on the Ethereum blockchain for eternity as a record of ownership.
Every parcel of LAND in Decentraland has unique co-ordinates which represents a specific location on the Decentraland map.
How close a parcel of LAND is to a plaza or roads usually determine its value.
If you own and connect parcels of LAND on the map which are adjacent, this is known as an Estate, and allows the owner to build upwards.
There are a total of 90,601 parcels of LAND in Decentraland – 43689 private LAND parcels, 33886 district LAND, 9438 roads, 3588 plazas.
Each LAND parcel is 16m x 16m square spaces, previously they were 10m x 10m, but that changed in February 2019.
How much does it cost to buy LAND in Decentraland?
The cheapest parcel of LAND currently on sale on the Decentraland Marketplace is being sold for 3,785 MANA (around $8000).
While the cheapest parcel of LAND being sold on OpenSea will set you back 2.77 ETH (around $8300).
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How much was the LAND in Decentraland originally sold for?
In December 2017 and January 2018, the first Decentraland LAND auction took place, where parcels in Genesis City, the capital of Decentraland, were sold for MANA.
A total of 34,356 of 43,687 LAND parcels were sold.
The highest priced LAND parcel sold for 582,090 MANA or around $50,000 while the lowest priced LAND parcel sold for 1,000 MANA or around $90 (most sold at this price).
Rules for this auction meant the winning bid needed to hold for 24 hours in order to secure the parcel of LAND.
If you were outbid during this time, the 24 hour clock would restart.
There was no official end date to the auction.
The auction continued until all parcels were sold.
The remaining 9,331 parcels were successfully auctioned off during the second Decentraland LAND auction which happened between December 10 and 23, 2018.
Decentraland used a Dutch auction for this.
On the first day of the auction, all remaining 9,301 parcels were set at a starting price of 200,000 MANA or around $11,000.
This price then dropped at a non-linear rate:
During the first day, it fell to a total of 100,000 MANA or around $5400.
During the second day, it fell to a total of 50,000 MANA or around $2700.
From the third day through the eighth day, the price dropped a total of 5,000 MANA per day.
And from the ninth day until the end of the auction, the price dropped 3,000 MANA per day until a final price of 1,000 MANA was reached.
There are other districts in Decentraland which have been created by private users.
These parcels of LAND weren’t auctioned off and instead were bought and sold at a determined price by the buyer in the Decentraland marketplace.
All MANA used in the auctions was taken out of circulation or burnt which means deleting the token or sending it to an empty address.
How do I buy LAND on Decentraland?
1. Sign up
Go to Decentraland’s Marketplace and sign in or create an account if you haven’t already.
Once you’ve signed in, go to ‘Parcels and Estates’ then ‘View All’.
2. Select a parcel of LAND
Look through the available parcels of LAND and pick one.
After you’ve chosen your virtual piece of property, click on it to learn more.
To make a purchase, press ‘Buy’.
3. Connect your wallet to the Decentraland Marketplace
To make the purchase, you need to make sure your wallet is linked to your account, as the LAND will be transferred here as an NFT when the transaction is complete.
You can download wallets like MetaMask and Trust Wallet if you don’t have one already.
You’ll need to have enough MANA or ETH in your wallet to complete the transaction. You’ll also need some extra tokens to cover the gas cost.
4. Confirm your virtual LAND
You now need to confirm your LAND in your wallet when the transaction is complete.
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