Should I be insured in the metaverse?

Earlier this year, Axa France announced the acquisition of a virtual plot on The Sandbox platform. A number of general agents would also be in the process of opening their branch in metaversthis network of connected virtual environments that all digital gamers seem to be moving towards (social networks, video game publishers, etc.).

This new playground for internet users worldwide can represent one within five years market for more than $ 700 billion, which the insurance sector intends to invest. But how? And with what ambitions? François-Xavier Combe, founder of Easyblue, a digital insurance platform, explains this new big challenge to us.

What do we mean by metaverse today? Is this already a reality?

Today there are already several metavers, you can e.g. think of Sand box, or other platforms. In this regard, the first launch pad is gaming, many start from there. Online games and video games like Fortnite, arouse enormous and forerunner enthusiasm for what the metaverse could be tomorrow. A few years ago, for example, a concert was held at Fortnite in which players participated in the game’s virtual world. We’re still at the beginning of the story, but it’s accelerating a lot in some areas. And once such a universe is structured, this is where the question of insurance begins to arise. To be complete on what we can imagine metavers, we already see that the revolution will come from the fact that all platforms will be interoperable and interconnected. This is already a bit of what we notice online today: when we play, we win rewards: outfits (skins), tokens (tokens), NFTs, etc. This winning item will be able to be used in other games or environments, especially as currencies. In this vast virtual world, everything flows from one game to another while building bridges to the real world. We can do that soon too attend an event in the meta-verse, shop there, get in touch with a sports coach which will make you jog in real life to collect virtual points or rewards.

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The first type of insurance that comes to mind, therefore, is the coverage of these virtual goods

We need to be clear, we are still at the very beginning, it’s a bit like in the mid 90’s, after two decades of fairly confidential development, the internet was just starting to exist. we said to each other “Great, we will be able to send each other emails, but what changes that fundamentally? ». The questions on the metaverse are a bit of the same spring, it’s hard to project. At the moment, it looks like blockchain technology is likely to play a big role. So far, the data belongs almost exclusively to GAFAM despite the GDPR, and these companies are making money on them. Thanks to blockchain, we can imagine that in the future we will own the data that is ours, the content we produce, our photos, etc. Everything will be certified as mine. It opens up a more decentralized world, where we no longer only go through the major players and / or institutions. All users become responsible for theirs “estate” virtual. As with the internet in its infancy, there will no doubt be one aspect “fart vest” in the first instance, then regulation, which will in particular involve the protection of this property, especially through insurance.

“Some people are already buying land in the meta-verse, where virtual real estate agents are present. Imagine that you built your own universe from this terrain: material and intellectual property rights will arise. The emergence of an insurance principle is therefore necessary ”.

Is it possible to get blockchain-secured data stolen?

The creation of the meta-verse already leads to the creation of a market, that is, a place to exchange cryptocurrencies, NFTs, etc. All this is left “flying”. Despite an ultra-secure system, for example, the cryptography principle is based on the use of a private key. If I get it stolen, I will be the victim of theft of my data. Also for trading platforms used to exchange cryptocurrencies: If there is an error and I lose them, can I be insured? This reflection can be extended to collections of NFTs. Some people are already buying land in the meta-verse where virtual real estate agents are present. Imagine building your own universe out of this terrain: material and intellectual property rights will arise. The emergence of an insurance principle is therefore necessary. By protecting oneself virtually, one can also imagine insurance applications in real life. I have my (real) vehicle with all the sensors it can have today and its (virtual) avatar in the metaverse. My way of driving will give me benefits on my insurance contract: applications of the type “driving aids” Where “pay as you go” will use my data and earn me bonus points in the meta verse. We can also imagine many bridges between real and virtual life for mutual health insurance: If I play sports in real life, I unlock rewards for my avatar in the meta-verse, and so on. Insurance will sneak in both ways: to protect value creation in the metaverse and to bridge the gap between real and virtual life.

Can you also imagine a personal insurance?

Yes, I think we will join the kind of guarantees that we know in the real world and that apply to the virtual world: damage to reputation, malicious intent, etc. Probably also with layers of cyber insurance. It will definitely be one and the same set, if e.g. someone is copying my avatar, how do i protect my identity? My intellectual property? All this will necessarily be insured. For example, a photographer client makes unique prints: To secure his works and his clients, he has created NFTs that are still linked to the physical creation. As a collector, he wants to insure his collection of NFTs, of which he is the intellectual owner. We are already very interested in this new technology and the trends it will evoke. We have also just secured the largest French e-gaming team, which is called Karmine Corp., and this symbolizes our desire to be pioneers in this universe. The idea is to be able to assure the players: If Cristiano Ronaldo of e-gaming breaks his hand, then how can his team be compensated? We need to convince risk-takers that, despite a virtual application, it really does matter.

Is NFT’s insurance already available?

It’s still very early and then we have to see what the final model is. On the platforms, once you have cryptocurrencies and an account, you can do that strike, i.e. hold them in a purse and then rate up or down. Here, too, we can think of insurance in a FinTech dimension, such as that which already exists in the financial world for insurance of financial titles.

What is the horizon to see the metaverse you describe emerge?

I would say within five years. We are currently seeing a very strong acceleration, but there are still some technological obstacles. Interoperability is on the way, and it is essential for there to be one and only metavers, to change the virtual space without having to disconnect, which is what the current internet looks like.

What place do you want to occupy in this new market?

At Easyblue, we want to be players in innovation for our business customers, and be leaders in these matters. For example, I attended one of the first international fairs in Dubai, which took stock of the progress we have mentioned. With our fundraising, we have developed our robot advisor, and we want to digitize the entire insurance environment for managers: social insurance, mutual health insurance, maintenance insurance, etc. But we also have the ambition to turn to new professions, especially employees, self-employed entrepreneurs or craftsmen, especially with a digital ten-year warranty formula.

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