The metaverse is the virtual space where people, represented by avatars can interact. It is also poised to reshape workplaces and businesses by using new techniques to streamline operations. Web3, meanwhile, is the emerging new concept of the World Wide Web, with blockchain, decentralisation, openness and greater user utility among its core components.

The GCC region has a combination of a young tech-savvy population, a favourable regulatory environment and a well-funded start-up ecosystem, in which those involved in Web3—one of the key underlying technologies of the metaverse—have attracted about $553 million in investments, the report said.

However, the uptake of the metaverse and non-fungible tokens remains moderate, with less than a quarter of luxury consumers surveyed in the GCC saying they own or use these assets—although a further 57 per cent saying they are interested in them.

But the adoption of cryptocurrencies, an emerging key component of the metaverse that can be used to transact, is relatively high in the region, with 48 per cent of these users owning these digital assets.

Use of non-fungible tokens (NFT) and the metaverse penetration remains moderate with 23 per cent owners or users in the GCC region. However, an additional 57 per cent show interest in it.

Global luxury groups are adopting metaverse at varying speeds with Kering leading the way. However, most brands are experimenting with it through different use cases from awareness to retention.

Fibre2Fashion News Desk (DS)