When Mark Zuckerberg announced Meta (NASDAQ:FB) as the new name for Facebook, he indirectly endorsed the Roblox (NYSE:RBLX) commerce model. RBLX shares closed at $78.36 on November 11, up 13% year to date.
Meta's competitor in the Metaverse space is now Roblox, a virtual world where millions of players drop out, play together, attend concerts or just go for a walk.
Roblox has opened up opportunities for users to become developers (developers) to produce their games and then sell the games that have been produced on the Roblox platform itself.
Roblox probably didn't want to create the Metaverse, a virtual universe where everything is interconnected, like the movie Ready Player One. Instead, it wants its users to create their own Metaverse.
Roblox has just announced that they will be adding to the current avatar system, which is a digital creature that represents the player's character. The game has had an iconic avatar for a long time but it's a bit uninspiring, but all that is about to change. They want to immerse themselves in a much more realistic avatar. Read more Roblox pushes toward avatar realism, plans to add NFT-like limited-edition items.
Roblox has a good chance of waking up the metaverse world earlier than Meta. Investors are certainly hopeful that Facebook will either take over from Roblox or receive investment funds from the social media giant.
Economics In Virtual Games
Roblox allows users to customize avatars, and sells items such as hats or jackets for characters (and gives royalties to the player who created those items).
Roblox also announced plans to introduce limited edition items, a new way for users (Roblox Creators) to generate income (in the form of Robux, which can be traded for real money). The user may put the designed item for sale for a set period of time or for a limited period of time.
Few facts about Roblox:
According to RTrack's budget, as of April 2021, Roblox has 202 million monthly active users.
There are 9.5 million builders on the Roblox platform.
5.7 million concurrent users during all-time peak usage of the platform.
Community builders earn more than $328 million.
Roblox has over 40 million games.
67% of Roblox users are under 16 years old.
Daily active Roblox users spend an average of 156 minutes (2.6 hours) a day.
How Does Roblox Make Profits?
Games in Roblox are free. Roblox sells the game currency known as Robux to users. That's the main way they make a profit. But users can choose to spend Robux by buying skins, clothes, accessories and so on to make their avatar more unique.
They also introduced a monthly subscription called Roblox Premium. Users will get access to exclusive and premium accessories along with discounts on Robux purchases.
Based on FB share price on January 4, 2021 to November 5, 2021, there was an increase of 26.84% while for the RBLX share price as well, starting March 10, 2021 from listing to November 5, 2021, a 12.21% increase in price was recorded. Based on this data, FB stocks made more gains than RBLX.
However, if you compare the performance of FB and RBLX shares in the same period starting March 10, 2021 to November 5, 2021, FB recorded an increase of 28.78%. FB shares still preceded RBLX shares by 16.67% in that period.
RBLX and FB shares are sharia compliant shares.
So, which stock do you choose? The decision is in your own hands.
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