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Here’s Why Tinder Would Rethink Metaverse Investments with Tinder Coin

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VOC, Voice of Crypto, Metaverse

With metaverse taking it changing the face of the virtual world, it has not left behind dating apps like Tinder either. Way advanced than the traditional dating apps and platforms like Tinder, where individuals could left swipe each other, metaverse has changed the nature and definition of virtual dating apps.

A metaverse dating platform is nothing but an interface that aims to bring together two or more individuals and add a new dimension to the traditional idea of ‘”Online dating.” Through the provision of interacting through various avatars, metaverse has played a vital role in helping individuals engage in a more advanced and technical romance.

It has also eased long-distance relationships by adding a spell of adventure and thrill, way beyond the traditional video calls. Such a feature and framework have enmeshed several dating apps.

Why Did Tinder Fail to Incorporate Metaverse

While dating apps have been increasingly hopeful about metaverse dating, with Tinder walking on a similar path, several disappointing results and responses have surfaced recently. The current financial downfall followed by the layoff of Tinder’s CEO has reduced the app’s funding for metaverse development and its plans of launching Tinder coins.

The parent company of Tinder, Match Group, claimed that with the departure of its CEO and its drastically deteriorated financial results, they are reducing metaverse investments and the plans to launch a digital currency. The company has also reported reducing resources delegated for Web3 research and development.

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Tinder’s Acquisition of Hyperconnect 

Match Group carried out such a move parallelly with the resignation of Tinder’s CEO Renate Nyborg. Renate initially planned to launch Tindervese after Tinder’s acquisition of the video AI and augmented reality company Hyperconnect.

Renate Nyborg acquired Hyperconnect in 2021 to provide Tinder a ‘Single Town’ experience with the creation of avatars. Though this was directed towards changing the nature of Tinder’s operations as a virtual dating platform, the results were way below expectation.

The launch of Tinder coins stalled 

While Nyborg’s resignation is a considerable mystery, Match Group CEO Bernard Kim elaborated on the disappointing results. He stated the acquisition failed to generate the expected revenue and Tinder’s monetization success hit an all-time low. While Kim promises to explore the metaverse space and dating trends, he reported stalling of immediate implementations.

Market stats of Tinder and Match Group

While launching Tinder coins, an in-app digital currency was on the cards, mixed results in the testing phase stopped its launch. However, Kim also claims the company would be looking for virtual goods that can help Tinder overcome its current losses.

As of now, Tinder suffered a loss of $ 10 million owing to its acquisition of Hyperconnect, leading to a widespread monetization failure. Meanwhile, Match Group’s stock has reduced by 11.39% in the last five days reaching $ 63.24. There’s much to recover for Tinder before it deliberates on launching Tinder coins or adopting the metaverse framework.

 

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A post-graduate is Sociology, Sreerupa's interest primarily lies in researching on the global market trends of production and consumption.

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