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Metaverse for youth: Meta urged to ban minors from virtual world

Currently allowing users from 18, Meta also wants to open up its metaverse app Horizon Worlds to users aged 13 to 17.

Advocacy organizations and safety groups have urged Mark Zuckerberg’s social media giant Meta to halt plans to allow minors into the metaverse.

Online safety groups and experts sent a letter to the Meta CEO on April 14, calling out the firm to scrap its plans to invite teenagers and young adults to join its metaverse app, Horizon Worlds. The letter was signed by major safety groups, including Airplay, the Center for Countering Digital Hate, Common Sense Media and others, according to a report by Bloomberg.

The activists argued that Meta must first assess potential risks of allowing youth in the metaverse as minors are likely to face harassment and privacy violations on its virtual reality app.

“Meta must wait for more peer-reviewed research on the potential risks of the metaverse to be certain that children and teens would be safe,” the advocates wrote in the letter.

The statement referred to a March report from the Center for Countering Digital Hate that found that users under 18 have already been facing harassment from adults on the app. The study specifically witnessed 19 episodes of of abuse directed at minors by adults, including sexual harassment, during 100 visits to the most popular worlds within Horizon Universe.

The safety experts argued that Meta should create a new path with its metaverse project to protect the youth, stating:

“Should Meta throw open the doors of these worlds to minors rather than pause to protect them, you would, yet again, demonstrate your company to be untrustworthy when it comes to safeguarding young people’s best interests.”

As previously reported, Meta started planning to open up Horizon Worlds to users aged 13 and 17 in February. The company first opened Horizon Worlds to users from 18 years old in 2021 but has since been struggling to keep users coming back to the platform.

Related: France’s metaverse consultation seeks input on alternative to tech ‘giants’

According to Bloomberg, Meta currently doesn’t plan to abandon its plans for miners in the metaverse but prepares to adopt some extra measures to protect such users from any metaverse-related violations, Meta’s Joe Osborne said.

“Before we make Horizon Worlds available to teens, we will have additional protections and tools in place to help provide age-appropriate experiences for them,” Osborne noted, adding:

“Quest headsets are for people 13+ and we encourage parents and caretakers to use our parental supervision tools, including managing access to apps, to help ensure safe experiences.”

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Disney Reportedly Axing Metaverse Division Amidst Company Restructuring

Disney Reportedly Axing Metaverse Division Amidst Company RestructuringThe metaverse division of Disney has apparently fallen victim to the latest round of layoffs announced by the company. Per reports from the Wall Street Journal citing people “familiar with the situation,” the whole next-generation storytelling and consumer-experience unit, comprised of 50 people, has been axed — this being part of the 7,000 layoffs the […]

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Meta Announces 10,000 Layoffs in ‘Year of Efficiency’ Move; Singles Out AI Over Metaverse as ‘Largest Investment’

Meta Announces 10,000 Layoffs in ‘Year of Efficiency’ Move; Singles Out AI Over Metaverse as ‘Largest Investment’Meta, the social media company, will continue to shed part of its workforce, recently announcing 10,000 new layoffs to be executed during 2023 as part of its new efficiency policy. Mark Zuckerberg, CEO of the company, stated that artificial intelligence (AI) was currently the company’s most prominent investment, even over the metaverse. Meta Announces 10,000 […]

Ethereum Believers May Be Staring Down Opportunity As ETH Reaches Another Low Against Bitcoin: CryptoQuant CEO

US lawmaker behind crypto mining legislation urges Zuck not to offer metaverse to teenagers

A letter from two U.S. senators cited reports of Instagram being behind many teenagers experiencing suicidal thoughts, and Meta's failure to stop harmful ads aimed at young adults.

Two United States senators have penned a letter asking Meta CEO Mark Zuckerberg to halt a plan to allow young adults to access the firm’s metaverse platform, Horizon Worlds.

In a March 1 letter, Senators Edward Markey and Richard Blumenthal said that Meta’s reported plan to “invite young users into a digital space rife with potential harms” should not be implemented if the strategy was driven by profit. According to the two lawmakers, allowing teenagers between 13 and 17 years old access to the virtual environment posed “serious risks”, citing privacy concerns, eye strain, and online bullying.

“Meta’s plan to target young people with offerings in the metaverse is particularly concerning in light of your consistent failures to protect young users,” said Markey and Blumenthal to Zuckerberg. “With a documented track record of failure to protect children and teens, Meta has lost parents’, pediatricians’, policymakers’, and the public’s trust.”

The two senators cited reports of Instagram being behind many teenagers experiencing suicidal thoughts, as well as the firm’s failure to stop ads for “tobacco, alcohol, and eating disorder content” targeted at young adults:

“As our constituents grow increasingly concerned about the effects of online platforms and social media apps on teens’ well-being, your plans to imminently pull these young people into an under-researched, potentially dangerous virtual realm with consequences for their physical and mental health is unacceptable.”

Related: Tech companies enter agreement for ‘Japan Metaverse Economic Zone’

Markey, a junior senator representing Massachusetts, has previously signed on to legislation targeting the environmental impact of crypto mining and called on mining firms to answer questions regarding data collection. Blumenthal was behind a bill in the last session of the U.S. Congress aimed at allowing third-party applications and app stores on devices released from major tech firms.

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Meta Reportedly Preparing for a New Round of Layoffs

Meta Reportedly Preparing for a New Round of LayoffsMeta, the company that owns Whatsapp, Instagram, and Facebook, is reportedly preparing to announce a new round of layoffs in the coming days. According to reports, the company is delaying the finalization of the budget for each one of its teams, causing operational delays and affecting the output of employees of the company. Meta to […]

Ethereum Believers May Be Staring Down Opportunity As ETH Reaches Another Low Against Bitcoin: CryptoQuant CEO

Meta Calls 2023 a ‘Year of Efficiency;’ Anticipates More Losses in Its Metaverse Division

Meta Calls 2023 a ‘Year of Efficiency;’ Anticipates More Losses in Its Metaverse DivisionMeta, the company that owns Facebook, Instagram, and Whatsapp, has shared its fourth quarter results, reporting better numbers than expected. While the company beat revenue estimates, CEO Mark Zuckerberg declared 2023 a “Year of Efficiency,” hinting at a further restructuration of the company to focus on its AI (artificial intelligence) and metaverse projects in the […]

Ethereum Believers May Be Staring Down Opportunity As ETH Reaches Another Low Against Bitcoin: CryptoQuant CEO

Meta ‘powering through’ with Metaverse plans despite doubts — Zuckerberg

Billions of dollars have been poured into Meta’s virtual world with little return on investment, but CEO Mark Zuckerberg says he is holding fast.

Meta CEO Mark Zuckerberg is still hopeful about the company’s Metaverse plans regardless of the billions of dollars it’s sucking up from the company, claiming “someone has to build that.”

Appearing remotely for an interview at the Nov. 30 DealBook Summit in New York, Zuckerberg was asked his thoughts on whether the tech giants’ Metaverse play was still viable given its cost and the doubts cast over the platform, answering:

“I think things look very different on a ten-year time horizon than the zone that we're in for the next few years [...] I'm still completely optimistic about all the things that we've been optimistic about.”

He added part of “seeing things through” in the longer term was “powering through” the doubts held about its ambitions.

Meta's latest earnings, released on Oct. 26, revealed the largest-ever quarterly loss in its metaverse-building arm Reality Labs dating back to the fourth quarter of 2020. Zuckerberg’s virtual reality has cost $9.44 billion in 2022, closing in on the over $10 billion in losses recorded for 2021.

On the earnings call at the time Zuckerberg was unfazed by the cost, calling its metaverse the “next computing platform.” He doubled down on this claim at DealBook:

“We're not going to be here in the 2030s communicating and using computing devices that are exactly the same as what we have today, and someone has to build that and invest in it and believe in it.”

However, Zuckerberg admitted that the plans have come at a cost, Meta had to lay off 11,000 employees on Nov. 9 and the CEO said it had “planned out massive investments,” including into hardware to support its metaverse.

He said the company “thought that the economy and the business were going to go in in a certain direction” based on positive indicators relating to e-commerce businesses during the height of the COVID-19 pandemic in 2021. “Obviously it hasn't turned out that way,” Zuckerberg added.

“Our kind of operational focus over the next few years is going to be on efficiency and discipline and rigor and kind of just operating in a much tighter environment.”

Despite the apparent focus from Meta to build its metaverse, Zuckerberg claimed 80% of company investments are funneled into its flagship social media platforms and will continue that way “for quite some time.”

Investments in Reality Labs are “less than 20%” at least “until the Metaverse becomes a larger thing” he said.

Related: The metaverse is happening without Meta's permission

Of the 20% invested in Reality Labs, Zuckerberg said 40% of it goes toward its Virtual Reality (VR) headsets with the other “half or more” building what he considers “the long-term most important form factor [...] Normal-looking glasses that can put holograms in the world.”

Zuck takes bite at Apple

Zuckerberg also took a few jabs at its peer tech company Apple regarding its restrictive App Store policies, the likes of which have placed restrictions on crypto exchanges and nonfungible token (NFT) marketplaces, saying:

“I do think Apple has sort of singled themselves out as the only company that is trying to control unilaterally what apps get on a device and I don't think that's a sustainable or good place to be.”

He pointed to other computing platforms such as Windows and Android which are not as restrictive and even allow other app markets and sideloading — the use of third-party software or apps.

He added its been Meta’s commitment to allow sideloading with its existing VR units and upcoming Augmented Reality (AR) units and hoped the future Metaverse platforms were also open in such a manner.

“I do think it is it is problematic for one company to be able to control what kind of app experiences get on the device.”

Ethereum Believers May Be Staring Down Opportunity As ETH Reaches Another Low Against Bitcoin: CryptoQuant CEO

New York Times Gets Mocked for Allowing Sam Bankman-Fried to Speak at Dealbook Summit

New York Times Gets Mocked for Allowing Sam Bankman-Fried to Speak at Dealbook SummitThe former FTX CEO Sam Bankman-Fried (SBF) says he plans to speak with Andrew Ross Sorkin at the annual New York Times Dealbook Summit on Nov. 30, according to a tweet he published on Nov. 23. SBF’s tweet received quite a bit of response and its unconfirmed as to whether or not the former FTX […]

Ethereum Believers May Be Staring Down Opportunity As ETH Reaches Another Low Against Bitcoin: CryptoQuant CEO

‘Metaverse’ a top 3 contender for Oxford’s Word of the Year

Oxford University has opened public voting for the first time with polls set to close on Dec. 2.

The word “Metaverse” is one of three in the running to be crowned the Oxford "Word of the Year” (WOTY) in a competition run by the Oxford University Press (OUP), the publisher of the Oxford English Dictionary.

OUP officially announced the launch of the competition and its three finalist words for 2022 on Nov. 22 with this year marking the first time the public can participate in voting for the WOTY.

“Metaverse” will compete against the terms “#IStandWith” and “Goblin Mode”.

In OUP’s video pitch for the Metaverse, it described it as “a hypothetical virtual reality environment in which users interact with one another’s avatars and their surroundings in an immersive way.”

“The term dates back to the 1990s, with the first recorded use in the Oxford English Dictionary in 1992 in the science fiction novel Snow Crash by Neil Stephenson,” the video stated.

Oxford noted that "Metaverse" has quadrupled in usage in Oct. 2022 compared to that of Oct. 2021. The video stated that more lifestyle and work-related activities taking place in virtual reality environments may bring about “more debates over the ethics and feasibility of an entirely online future.”

As for the other two WOTY candidates, “#IStandWith” has become an increasingly used phrase for political activism, while “Goblin Mode” emerged as a post-COVID-19 lockdown concept in which one rejects “returning back to normal” and instead does what they want to do.

As for how the three phrases were chosen, OUP stated that they ran an analysis on a language data system in order to narrow down the candidates to three.

In order to officially vote for “Metaverse” or the other two candidates, voters must cast their vote on Oxford Languages’ website.

Over 237,000 votes have been cast so far, with voting set to close Dec. 2.

Oxford did not state when the winning word would be announced.

Related: What is metaverse in blockchain? A beginner's guide on an internet-enabled virtual world

In what could spell how the votes are panning out, at the time of writing a Twitter poll by OUP shows 63% of 929 voters favored "Goblin Mode", followed by "Metaverse" at 22% then "#IStandWith" at 15%:

Whatever the results of the poll, the Metaverse is predicted to be a significant industry in the near future, with a recent report by international consulting firm McKinsey estimating Metaverse-related technologies to be worth $5 trillion by 2030.

Investment bank Citi upped that prediction, saying the total addressable market for the Metaverse economy may fall within the range of $8-13 trillion over the same time frame.

The understanding of the Metaverse has been most significantly influenced by the blockchain and cryptocurrency industry, along with Meta CEO Mark Zuckerberg’s rebranding of Facebook to Meta in Oct. 2021 and its recent developments on its Metaverse products through its Reality Labs business.

Ethereum Believers May Be Staring Down Opportunity As ETH Reaches Another Low Against Bitcoin: CryptoQuant CEO

Crypto Biz: Crypto’s day of reckoning has arrived

After lecturing us about crypto regulation, Sam Bankman-Fried's house of cards collapsed this week as FTX declared bankruptcy.

Who would’ve thought that the implosion of Terra, the collapse of Three Arrows Capital and the bankruptcies of Celsius and Voyager wouldn’t be the most terrible crypto stories of 2022? In retrospect, crypto’s day of reckoning — and the new low for the cycle — hadn’t arrived even after all these tumultuous events. 

The industry’s cyclical execution occurred this week when FTX — the world’s second-largest crypto exchange — was feared to be insolvent and on the brink of collapse. Those fears stemmed from FTX’s incestuous relationship with Alameda Research, a trading firm founded by FTX CEO Sam Bankman-Fried — As it turns out, FTX was trading on Alameda revenue to prop up its business, offering its illiquid and useless FTX Token (FTT) for Alameda’s Tether — Amid reports that FTX’s native token comprised roughly 40% of Alameda’s assets, Binance CEO Changpeng Zhao announced that his exchange would liquidate its entire FTT stash. It was the same Zhao, also known as CZ, who offered to buy FTX a few days later to save it from imminent collapse. While Bankman-Fried agreed to the deal, credible rumors suggest that CZ is backing out because of a huge hole in FTX’s finances. (Those rumors have since been confirmed to be true.)

This week’s Crypto Biz newsletter isn’t for the faint of heart.

Breaking: Binance CEO announces intent to acquire FTX to ‘help cover the liquidity crunch’

After trying to quell rumors of FTX’s liquidity issues, Bankman-Fried announced on Nov. 8 that his firm had agreed to a Binance takeover — a move intended to ensure that all existing users would be made whole. “I know that there have been rumors in media of conflict between our two exchanges, however Binance has shown time and again that they are committed to a more decentralized global economy while working to improve industry relations with regulators,” Bankman-Fried tweeted. (It was later reported that CZ and Binance looked under the hood of FTX and didn’t like what they saw, so they’re backing out of the deal.)

Binance CEO shares ‘two big lessons’ after FTX’s liquidity crunch

Whether he likes to admit it or not, CZ played a major role in FTX’s collapse this week when he tweeted his intent to liquidate Binance’s FTT holdings. As the whole ordeal played out, CZ sounded off on “two big lessons” he learned from the FTX saga: “Never use a token you created as collateral” and “Don’t borrow if you run a crypto business.” He also confirmed that “Binance has never used BNB (BNB) for collateral, and we have never taken on debt.” Massive debt, poor asset management and highly risky trading practices have been common themes in this year’s crypto market mayhem.

Galaxy Digital discloses $77M exposure to FTX, $48M likely locked in withdrawals

As FTX began to unravel, it didn’t take long for businesses to step forward and acknowledge their exposure to the sinking crypto derivatives exchange. On Nov. 9, blockchain financial services company Galaxy Digital disclosed that its exposure to FTX was worth nearly $77 million consisting of cash and digital assets. The company also acknowledged that $48 million of that total was likely locked in withdrawals. Like many other collapsing exchanges and lenders, FTX announced that it was halting withdrawals to prevent a bank run while its FTT token was in freefall.

Meta joins big tech layoffs, lets go of 11,000 employees

If crypto news wasn’t bad enough, Facebook operator Meta announced this week that it would lay off roughly 13% of its staff, equivalent to 11,000 people. Like other big tech companies, Meta is hemorrhaging money due to soaring costs and a declining economy. Meta’s metaverse division, dubbed Reality Labs, lost $3.672 billion in the third quarter, raising serious doubts about its metaverse ambitions. Some of Meta’s shareholders are growing concerned that Mark Zuckerberg’s metaverse experiment might not bear any fruit. The Zuck could dole out as much as $100 billion toward his metaverse business over the next ten years. Is that a gamble you’d make?

Crypto Biz is your weekly pulse of the business behind blockchain and crypto delivered directly to your inbox every Thursday.

Ethereum Believers May Be Staring Down Opportunity As ETH Reaches Another Low Against Bitcoin: CryptoQuant CEO