According to the Citi report, one of the biggest challenges is that current internet infrastructure "is unsuitable for building a fully immersive content streaming metaverse environment." It says low latency times below 12 milliseconds are required to offer a compelling experience where there isn't a lag — and notes that jus 25% of the world's population is expected to have access to 5G connectivity by 2025.
Other issues that need ironing out include improvements in the usability of virtual reality and augmented reality headsets — with technology expected to progress substantially after Oculus Quest saw healthy demand from consumers in Christmas 2021. "All the challenges of the Web2 internet could be magnified in the metaverse, including content moderation, free speech, and privacy. In addition, a blockchain-based metaverse will brush up against still evolving laws around cryptocurrencies and DeFi in many jurisdictions around the world."
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