Examining the Wealth Effect of Cryptocurrency Prices on Virtual Land Markets

The article analyzes secondary LAND NFT transactions in Decentraland and The Sandbox, examining how crypto prices (USD, ETH, wETH) influence transaction behavior and pricing. Using the PSY algorithm, the study identifies bubble periods and explores how marketplace dynamics and payment types (fixed vs. auction) impact virtual land valuation.

Table of Links

Abstract and 1. Introduction

2. Data and Methodology

2.1 Bubble Timestamping

2.2 Cryptocurrency-LAND Wealth Effect

3. Results

3.1 Bubble Timestamping

3.2 Cryptocurrency-LAND Wealth Effect

3.3 Granger Causality Test

4. Conclusion and References

Appendix: Bored Ape Yacht Club’s Otherside

2. Data and Methodology

Daily cryptocurrency price data is obtained from CoinGecko. Prices quoted in USD are used in the bubble timestamping analysis and as exchange rates to convert the price of LAND NFT transactions which commonly occur in non-USD denomination. Summary statistics of cryptocurrency ...