Creso Pharma enters the ‘metaverse’ next to Snoop Dogg

The listed medical cannabis company has spent big on a ‘strategically located’ plot of digital land next to one of the world’s most famous rappers.

Rapper Snoop Dogg is a digital real estate owner, along with Australian company Creso.

Creso Pharma – the ASX-listed cannabis company at the centre of a regulatory probe – is entering the metaverse, buying a “strategically located” plot of digital land next to rapper Snoop Dogg.

The metaverse is shaping up as one of the biggest tech trends of the next decade, with Facebook late last year rebranding as Meta and Creso now joining a fast-growing list of companies buying up digital real estate in the hope that new – real – customers will follow.

Creso announced on Monday it was teaming with innovation consultancy Collective Campus on several virtual initiatives, starting with a digital replica of its Mernova cannabis cultivation facility, to be known as the “Cresoverse”. The public will soon be able to tour the Mernova facility digitally, before popping over to Snoop Dogg’s residence for a glass of (digital) red wine.

“Creso Pharma has secured a plot of land in The Sandbox, a community-driven platform where creators can monetise digital assets and experiences,” the company told investors.

“To date, the cost of the meta­verse project totals approximately $150,000 … The Sandbox is a leader in the digital metaverse space, having secured a $US93m investment from Japanese multinational conglomerate SoftBank.

“The Sandbox metaverse will open to the public in the coming months, and already boasts over half a million users, which Creso Pharma can leverage for marketing and sales purposes.

“The company’s land is strategically located next to rapper, serial entrepreneur and iconic cannabis influencer Snoop Dogg, which is expected to broaden awareness among metaverse participants.”

The term metaverse is used to describe 3D virtual worlds, built with a range of technologies including virtual and augmented ­reality. Creso will be joining some high-profile landholders on the Sandbox platform, including Atari, Adidas, PwC and Binance.

In its statement, Creso said the Cresoverse would be completed by this month and would provide the company with potential new revenue streams. The SAND cryptocurrency associated with The Sandbox has grown in value eight-fold since November.

“The company is also constructing a large stadium next to the digital facility, which may be used to host online concerts with prominent cannabis influencers, product launches and other events to drive engagement with new ­potential customers, subject to any regulatory clearances that may be required,” the company said.

Creso on Monday also announced a 74 per cent quarter-on-quarter jump in revenue to $2.02m for the December quarter, and said it had completed pilot-scale testing cannabinoid content for four new cannabis strains.

Last month it appointed a new chief executive, William Lay, along with board members Bruce Linton and Micheline MacKay.

Creso shares closed up 2.5 per cent on Monday at 8.2c, giving it a valuation of about $100m.

The company found itself in the spotlight in November after the Australian Securities & Investments Commission raided Sydney stockbroker EverBlu Capital.

Adam Blumenthal, the co-founder of EverBlu, was the chairman of Creso and resigned.

Creso said it had been required by ASIC to “produce certain documents” relating to the raid on the EverBlu offices.