Meta, the parent company of Facebook and Instagram, is expected to report a steep decline in profits when it releases its first-quarter results, with analysts predicting earnings of $5.2bn, a drop of around 30% year on year. Revenue is predicted to fall just 1%, to $27.7bn. This comes as the firm pivots towards artificial intelligence as a source of growth, particularly for its metaverse ambitions, which have struggled to gain traction. While Facebook reported a two percent rise in monthly active users over the final quarter of the year, pressure from the rise of TikTok has dented ad revenues, which dropped from $115bn to $114bn last year. Layoffs, including 10,000 employees sacked last month, are part of an effort to streamline operations and focus on AI development. In March, the company also cut jobs and cancelled lower-priority projects.

South Korea is reportedly moving closer to launching a central bank digital currency (CBDC), with a new draft law set to create legal terminology for CBDCs.

Bahama-based digital assets investment firm GEM Digital Limited (GEM) has increased its investment commitment in UAE-based metaverse startup Everdome from $10 million to $60 million.

As NFTs presented novel opportunities for engaging with customers, creating a sense of community, and generating revenue, it was inevitable that innovative applications of NFTs in the realm of luxury fashion would begin to appear.

Katmai, a startup that aims to revolutionize the remote work landscape with a new 3D virtual office platform, has raised $22 million in a Series A funding round led by Starr Insurance Companies and featuring NFL Super Bowl Champion Sidney Rice among other investors. The platform integrates video conferencing with a real-time 3D engine to bring users together within immersive, customized, photorealistic environments that can be accessed through a browser without a virtual reality headset. By incorporating real video instead of cartoon avatars, Katmai fosters authentic human interactions. The platform aims to merge the benefits of a shared in-office experience with the convenience of working remotely, paving the way for a work paradigm that is truly inclusive.

The concept of the metaverse, where our physical and digital lives intersect, has led to the question of who will design digital clothing for our avatars in this virtual world. Luxury companies such as Louis Vuitton, Dolce & Gabbana, Gucci, Nike, and Adidas have already started interacting with the metaverse by collaborating with cutting-edge agencies and businesses to digitize their collections. However, developing high-quality and highly specific 3D assets is time-consuming, requires specialized skills, and is costly, limiting the number of fashion trends that can be used. To address this, fashion designers could create collections with 3D at the forefront, using technologies such as CLO3D or Browzwear and a visual library and workflow product such as Stitch3D. This could lead to two paths: creating tangible things in collaboration with their supplier base, or using 3D elements to interact directly with the digital world, providing businesses with direct access to virtual worlds. This 3D fashion value chain could provide incredible opportunities for fashion brands to work sustainably, efficiently, and at lower costs, potentially allowing for large-scale participation in the metaverse. The companies migrating internally to a digital development process will be the most successful, enabling them to upskill their employees, establish new working methods, and develop a new digital attitude. (readwrite)

The integration of AI into the Metaverse has the potential to transform the way we interact with digital worlds. By leveraging the power of blockchain technology and AI, we can create a more immersive, secure, and personalized virtual world that can be enjoyed by millions of users worldwide.

Coinbase receives license to operate in Bermuda; Gemini launches derivatives platform; EU Parliament approves crypto rules; HK court recognizes crypto as property; Hitachi establishes $300 million fund.

XRSPACE has raised $25 million in a funding round led by Foxconn Technology Group, with Taiwan’s National Development Fund investing $10 million.

Playbux, a blockchain-based e-commerce metaverse platform, has closed a $2 million seed funding round led by Binance Labs with participation from Gate.io, Tron, CertiK, Ankr, IMO Ventures, LIF, Math Wallet and OFR.