Zhongqingbao: Is there an end to the "Meta universe"?

Event: Qingbao's 3-month highest gain in the "Ready Player One" of the Meta-Universe Concept is nearly 300%

The meta-universe, a concept that has always existed in film and television works, has now become a hot topic of market attention.

In March 2021, Roblox, the first stock of the meta-universe concept, was officially listed on the New York Stock Exchange in the United States; in May 2021, Facebook said it would transform into a meta-universe company within 5 years, in October 2021, the company changed its name to Meta; at the end of August 2021, ByteDance spent a huge amount of money to acquire VR startup Pico. Giants have entered the game and detonated the concept stock of A-share meta-universe.

Zhongqingbao is known as the "number one player" of the meta-universe concept. On September 6, 2021, Zhongqingbao announced that the company is about to launch a virtual and realistic fantasy linkage simulation of the meta-universe game "Brewing Master", and it is also the release of this news that has leveraged the total market value of Zhongqingbao to increase by nearly 9 billion yuan. From September 6 to December 10, 2021, the range of Zhongqingbao has increased by nearly 300%.

Chart: Trend chart of The Zhongqingbao and Meta-Universe Index from September to December 2021

Source: Flush

The popularity of the meta-universe has aroused the attention of regulatory authorities, including China Youth Treasure, Chinese Online, Dafu Technology, etc. have received inquiry letters. Among them, in response to the layout of the meta-universe, the exchange twice sent an inquiry letter to Zhongqingbao. In its first response to an inquiry from the exchange on October 29, 2021, CYB said that according to estimates, Master Brewery plans to invest 5 million yuan to 15 million yuan in research and development.

In response to the exchange inquiry for the second time on November 10, 2021, Zhongqingbao said that the R&D investment of 5 million yuan to 15 million yuan planned by Master Brewery is actually only the current H5 version of the research and development investment. Subsequent 2D, 3D, VR and overseas versions have separate budgets and plans, with a total budget of about 100 million yuan.

With the heat of the meta-universe, On November 22, 2021, CYB disclosed the "2021 Stock Option Incentive Plan (Draft)", and the company intends to grant 2.63 million stock options to the company's actual controller and chairman Li Ruijie, and the company's director and general manager Li Yilun respectively. Li Ruijie and Li Yilun are father and son, and the two have granted a total of 5.26 million stock options, accounting for about 50% of the number of incentive plans granted. This operation was questioned by the market for suspected profit transmission.

Observation: Is there an end to the "metacosm"?

In 2021, the meta-universe caught fire and became the "Top Ten Internet Terms of 2021".

The concept of the "metacosm" is like a rampage beast, destroying our value beliefs, as long as it is stained with the "metacosm" is a soaring stock price. This brings a lot of confusion to the company and investors: listed companies, in the face of stock price changes, have to make frequent announcements, humbly saying that they are not meta-universe; investors face the impact of the "meta-universe", before they can figure out the concept, they find that the stock has become manic.

The metaverse concept first appeared in Neil Stephenson's science fiction novel Avalanche in 1992. According to the "2020-2021 Metacosm Development Research Report", the metacosm is a new type of Internet application and social form that integrates virtual reality and reality resulting from the integration of a variety of new technologies. The emergence of the metaverse will integrate and promote technological innovation, and ultimately achieve the deep integration of the virtual world and the real world. We judge from this: the metaverse must not only provide users with a more realistic experience, but also integrate the information revolution (5G/6G), the Internet revolution (Web 3.0), the artificial intelligence revolution, and VR, AR, MR (mixed reality) and other virtual reality technology achievements to build a parallel holographic digital world and realize the deep connection between the physical world and the virtual world.

As a result, companies or products related to the above technologies have skyrocketed. Relevant listed companies frequently receive letters of concern, and are required to explain the relevance of the company's existing main business, main products and the concept of meta-universe, the specific business content and product form involved in virtual digital human technology, the development of related businesses and the proportion of revenue, etc.

The concept of "meta-universe" is mixed, what is the specific situation of listed companies carrying out technical research in the direction of virtual digital people? How many companies are overcharging? Even the recently widely circulated meta-universe game has also been disclosed by CCTV to be hyped with the help of the meta-universe concept, which is essentially an illegal public financing without approval.

Is there an end to the "metacosm"? When will the "meta-universe" hype end?

Although the emergence of the metaverse will change people's understanding of the world, they will see and understand the world through a three-dimensional and multidimensional way, so as to achieve a high degree of integration between the virtual and real worlds. But now the technology can not be realized, and many companies now propose the concept of meta-universe, just to raise funds or technology research and development, or artificially hype stock prices.

Metacosm is a very risky industry, there are still many unknowns, and the comprehensive breakthrough of the metacosmum revolution is still relatively long. At present, it is still in the early stage of the metaverse concept, and there is no small bubble in the concept of the metacosm of the secondary market. For ordinary investors, the time to intervene has not yet arrived, and it is recommended not to blindly invest.

Of course, the "meta-universe" brings at least three main lines of investment: one is that the VR and AR industries are expected to usher in an inflection point; the other is that the game as a C-end killer application brings profits; and the third is to pay attention to the development of meta-universe infrastructure such as computing power and AI.