The metaverse will change the way that we shop and entertain ourselves. It is the next frontier of the internet, and it will take numerous experiences “beyond.” The metaverse may have an economic impact above $1 trillion by 2030. One can imagine that there are numerous cutting-edge legal issues associated with this emerging technology. Businesses that are operating in the metaverse will need the help of an experienced Metaverse Lawyer with knowledge of this technology and the associated legal challenges.
The metaverse has many applications in commerce and entertainment. It will allow the user to have a life-like experience with:
While the metaverse began with gaming, it will transform far beyond. Businesses are increasingly meeting their customers in the metaverse. The standard way in which companies do business may be transformed in the very near future. Businesses must be able to anticipate legal issues and get help as they arise.
Here are some of the industries that the metaverse may transform in the future:
Currently, there are still some barriers, such as interoperability and power consumption, that are being addressed. In addition, there are many competing visions for the metaverse, and it is uncertain what form it would take. However, it is almost certain that the metaverse will play a growing role in our lives in the next decade.
While there are many potential legal issues, participants in the metaverse could face particular issues in the following areas:
The attorneys at Traverse Legal work together across practice areas to give our clients the most effective legal support and advice.
Intellectual property is one of the major legal issues affecting the metaverse. The internet itself presented new challenges to copyright holders, as the ways to share protected content multiplied. In the metaverse, it is hard to imagine how content sharing will not become even more advanced. Copyright holders will need to become more creative in shutting down illegal sharing, while others may face allegations of copyright infringement.
Similarly, there have already been numerous legal cases in which trademark owners have fought to enforce their rights in the virtual realm. Courts have not necessarily sided with trademark owners who have filed lawsuits alleging a violation of their rights in the metaverse. There are several pending cases that could define the scope of trademark rights in the metaverse.
Trademark owners need to closely monitor the metaverse for any possible infringement and to be prepared to take strong legal action to enforce their rights. At the same time, those accused of trademark infringement in the metaverse need to defend themselves, given the stakes involved.
Metaverse participants may enter into contracts and joint ventures with others. The issue of protection of data rights and who owns the intellectual property could make agreements more complex. A metaverse attorney would need to draft or thoroughly review a contract before it is signed.
There are also legal issues that surround investing in the metaverse. There are more traditional investment concerns that accompany equity investments in these enterprises and technologies. Then, there are even more complex issues regarding investment in blockchain, whether it is an entity or a token. Blockchain entities can span numerous jurisdictions.
Further, your attorney would need to understand complex securities law issues because there is always a possibility that a token or blockchain investment would need to be registered as a security with the Securities and Exchange Commission. The test for what constitutes security is a flexible one, and the SEC’s thinking could evolve. Investments in the blockchain realm require a multidisciplinary legal approach, especially in light of the numerous legal considerations. It may be more difficult to find liquidity if the blockchain asset is considered a security.
Those involved in the metaverse also need to understand the data privacy and security issues involved. Platform owners will gain possession of large amounts of data from their users. How they utilize and protect this information will have dramatic legal implications. Technology companies have already faced lawsuits and enforcement action regarding data privacy issues (with Facebook paying billions of dollars in fines and settlements).
As the metaverse evolves, there will be increasing issues about interoperability and standards. Large technology companies are already facing scrutiny for potential antitrust law violations. How companies are able to access the metaverse, and whether their own products will be compatible, could invoke competition issues.
The metaverse is just in its early stages. The technology could evolve in numerous ways in the coming years, with applications that many never thought possible. It is likely that additional legal challenges and issues will present themselves. Participants should hire an attorney who is deeply familiar with both the current legal issues and those that may arise in the future. Your metaverse lawyer should have a broad range of legal experience and be able to work across practice areas.
The attorneys at Traverse Legal work at the intersection of numerous cutting-edge technologies. We understand the complexities involved, and we help prepare our clients for what they may face legally. Being able to anticipate legal concerns will keep you a step ahead in an industry that is changing by the day. You can speak with an experienced metaverse attorney today by sending us a message online or calling us at 866-728-2197.
Traverse Legal’s Attorneys are globally recognized for their experience and results in the legal areas of: Complex Litigation, Internet, Trademark, Copyright, Cybersquatting, Drone, Defamation, Trade Secret, Non-Compete, and Business Law.