Land owners can now rent their properties on the Virtual world platform, Decentraland.

In a secure and trusted process, the Decentraland’s new system will let owners of land NFTs, also known as LAND parcels,  find tenants. 

The company explained how users could list their land on the marketplace, “In order to do this on-chain, the LAND Owner has to approve the Rent Smart Contract to use the LAND on their behalf. Then every listing would need a signature from the Owner as well.”

The owners of virtual land can choose the cost per day of renting and the desired lease period; the tenants can pay their landlords through the main cryptocurrency of Decentraland, MANA.

The virtual landowners can also decide manually whether to put their property for rent again or not once the rental period is over. The virtual world platform also shared an example or use case for the same – a virtual space or a nightclub can be given for rent to a virtual DJ for a performance.

The owner and tenant data off-chain will be stored on the Decentraland Foundation, which oversees the platform, and on the Ethereum blockchain.

The Decentraland Foundation oversees the platform and will store the owner and tenant data off-chain and on the Ethereum blockchain. 

ERC-4907 is the Ethereum standard that lets users rent their NFTs, and through this, only it has become possible to rent virtual properties since June. Once the rental system expires, this token standard automatically allows the land to return to the owner. 

Decentraland parcels are more valuable than NFT World, The Sandbox, and the other web3 virtual worlds land plots, as the average cost of Decentraland parcels is around $2,380.