The IMVU social avatar platform will move its NFT economy to Immutable X, in an effort to allow its users to experience trading without the hassle of gas fees. Together Labs, the creators of the social platform, see free creation and distribution of NFTs as an important feature for growth.
IMVU has been around for quite some time, and announced the integration of blockchain technology using their own token not that long ago. They already have a virtual world filled with fashion, avatars and locations. However, until now all that had nothing to do with player ownership, blockchain or NFTs.
At the moment the platform has 200 thousand creators and more than 1 million users per day. The NFT integration will allow brands to move into IMVU and sell limited edition products, all while enjoying fast and cheap transactions on Immutable X. We’ve already seen Gucci and Burberry moving into NFTs, while Dolce & Gabbana has an NFT sale right now. It would not be farfetched to see them move into a world like IMVU.
At the center of the IMVU economy is VCOIN, an ERC20 token announced back in January. Players will need this token to buy, create, and build items for in the virtual world. Personally, it would be awesome if IMVU would embrace avatar standards, allowing Meebits, Fluffs and Bored Apes to walk around in IMVU. But also, allowing IMVU avatars to move into Somnium Space, Cryptovoxels and VR Chat. That’s the type of interoperability we – as an industry – should aim for.
Tell me more about VCOIN
In a general month IMVU has more than 27 million transactions with a virtual value of 13 billion in-game credits. VCOIN basically replaces these credits, giving more economic power to users within these virtual environments. According to IMVU they have 7 million monthly active users on their platform.
There’s a market cap of 12.5 billion VCOIN, according to a listing of the token on Etherscan. They will sell 250 VCOIN for one dollar, which means $0.004 per VCOIN. From a business perspective IMVU will still make money from VCOIN. Not only do they sell VCIOIN for $0.004 per token, but they also take 5 percent per transaction on their platform. In addition IMVU takes a 10 percent fee whenever VCOIN is converted into cash. Credit card fees however, will be something IMVU takes care of.
Before users off-load their VCOIN into the open market, they will need to go through the KYC process of the Uphold crypto payment system. However, users who only use the token inside IMVU can remain completely anonymous. Probably because of this element, the SEC already approved VCOIN as a transferable non-security.
Robert Hoogendoorn is a gamer and blockchain enthusiast. He got in touch with crypto in 2014, but the fire really lit in 2017. Professionally he’s a content optimization expert and worked for press agencies and video production companies, always with a focus on the video games & tech industry. He’s a content manager and creator at heart, working on Play to Earn Online Magazine. He’s also Head of Content for DappRadar.