It looks more immersive.
Reddit user VisualSculpt showed their work on hand physics in VR achieved with Unreal Engine 5. They tried to keep immersion without disconnecting from the player's position, according to their post.
The fingers drag across surfaces, objects, and each other in a more realistic way than they usually do in VR. To make it work, the creator used UE5's default VR template, setting up physics assets and physics control for each hand.
Unfortunately, VisualSculpt doesn't have other works displayed on Reddit, but you can wait for more on their YouTube channel and X/Twitter. The artist also promised to share some tutorials in the future.
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