The rise of the "metaverse" raises new issues for brand owners in the procurement, protection, and enforcement of valuable trademark rights. Branding via its virtual worlds and economies, where digital assets are experienced, sold, and traded and users can interact with a computer generated environment, requires a shift in thinking about traditional trademark concepts applied to tangible goods and services to establishing a presence within evolving digital media ripe for licensing and name recognition. Use of trademarks in the metaverse can be an untapped resource to garner profit and expand the universe of consumers; however, the new format carries risks and opportunities for unauthorized third parties to try to profit off well-known names or diminish the value of a brand.

All entities would be prudent to be part of the evolution of the metaverse by broadening trademark policing strategies, strategizing a virtual presence, and seeking protection of the virtual use of their trademarks.

Why Are Trademark Rights Important?

Trademarks are fundamental to the value of a brand. As a foundation, trademark protection offers opportunities to generate more income through licensing and good will, and enhances brand image and reputation. In the metaverse, trademarks may designate a wide range of virtual products such as virtual clothing, accessories, food, cosmetics, sporting goods, and many products we encounter in our tangible lives. Also, trademarks can be associated with the design of customized versions of avatars, products, or unique artwork. Other uses may involve services such as online marketplaces for the provision of goods, virtual cafes, art galleries, concert halls, event spaces, and sporting events, and many more.