HSBC may be shutting down physical branches in the real world but it is on a mission to expand in the virtual one.
This week the bank revealed plans to shut 69 branches as it shifts its focus to digital and mobile servicing.
Now it has revealed it is entering the metaverse - a virtual-reality space in which users can interact with a computer-generated environment - in a bid to engage with customers.
The Hong Kong-based bank has bought a plot of digital land for an undisclosed sum in The Sandbox gaming platform, which will be developed to engage and connect with sports, esports and gaming enthusiasts.
The Sandbox was developed by game studio Pixowl and first released in 2012 before being acquired by Animoca Brands in 2018.
Suresh Balaji, chief marketing officer for Asia-Pacific at HSBC, said the bank saw “great potential” to create new experiences through emerging platforms, such as The Sandbox.
“The metaverse is how people will experience Web3, the next generation of the Internet — using immersive technologies like augmented reality, virtual reality and extended reality,” he said.
“Through our partnership with The Sandbox we are making our foray into the metaverse, allowing us to create innovative brand experiences for new and existing customers.
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“We’re excited to be working with our sports partners, brand ambassadors, and Animoca Brands to co-create experiences that are educational, inclusive and accessible.”
A number of other brands are already using The Sandbox, including Adidas, as well as gaming companies and entertainment properties.
Sebastien Borget, chief operating officer and co-founder of The Sandbox, said the move by HSBC indicated the beginning of a broader adoption of the metaverse by institutions driving brand experiences.
“We’re pleased to see large, trusted institutions such as HSBC join The Sandbox open metaverse and embrace the culture of Web3, connecting with users through entertainment, gaming and user-generated content,” he said.
The news comes hot on the heels of an announcement by JP Morgan, which opened a lounge in the blockchain-based world Decentraland this week.
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