Two minutes to know a coin: Decentraland, a virtual reality platform game
Decentraland – a virtual reality platform game which is powered by the Ethereum blockchain; A decentralized world allows users to create, experience, and monetize content and applications. MANA is the native ERC-20 token of Decentraland, it is allowed to be burned to acquire LAND NFT.
The origin of Decentraland
Tracking the block chain real estate NFT token-LAND is the basic purpose of Decentraland application-a game. There are many layered components built by Ethereum smart contracts on Decentraland. Ariel Meilich and Esteban Ordano are the co-founders of Decentraland, they started to develop Decentraland in 2015. It was launched in 2017, $20 per parcels of digital land is the original price, and MANA sold for $0.02. The first map of the game was made up of 90,601 parcels of land. About $26m had been raised in initial coin offerings in 2017.
There is a ledger maintained by the consensus layer, it tracks the ownership of LAND NFT. Each LAND has a unique coordinate on the blockchain, an owner and a reference to a description file representing the content within the parcel. People can burn MANA to acquire LAND.
MANA the Currency
MANA is the currency in Decentraland. It is a native ERC-20 token of Decentraland, it is allowed to be burned to acquire LAND NFT. What is more, MANA can also be used to pay for avatars, wearables, names, and more on the Decentraland marketplace. As for the marketplace, outside of the gaming environment, there is a marketplace along with a drag-and-drop editor, and users can access to build scenes. The LAND tokens can by managed and exchanged in the marketplace priced in MANA. The transaction are settled between Ethereum wallets. As for the builder, there are 1.85 billion MANA tokens in circulation.The owners of LAND can curate a unique experience by Decentraland's builder tools within their LAND parcels. The Interactive scenes are also designed through the editing tool. This is equivalent to around 84.4% of the current total supply of 2.19 billion MANA. About 600 million MANA have been burned to acquire LAND, which means the original total supply of MANA is about 2.8 billion. There are 2.5% MANA will burn on marketplace transactions. The inflate of MANA was 8% in first year and it will decrease gradually over time, but now the inflation is currently disabled.In total, 40% of the MANA supply was sold during the 2017 initial coin offering; 20% was reserved to incentivize the community; 20% went to the development team and other early contributors; 20% was held by Decentraland.In addition, MANA owner has the ability to vote on policy updates, LAND auctions and subsidies to improve the decentraland.
The price of MANA
The price debuted at $0.02 in 2017. In 2018, MANA experienced an initial pump and dump as new investors flocked to buy it and ICO investors dumped their presale tokens. After that, MANA's prices moved sluggishly between $0.02 and $0.17 for about 3 years until Grayscale Investments announced the launch of its Decentraland Trust product. After that update, MANA jumped to a peak of $1.63 in April 2021. It dropped to about $1 in 2month. In Nov 2021 it hit the all-times high at $5.02. After that, it dropped to the one dollar level in seven months.