Metaverse Real Estate: Legal Considerations In Canada

Virtual parcels of land are being sold in the metaverse for astonishing amounts of money. In 2021, the largest metaverse platform transacted $450 million CAD in virtual land, with the biggest transaction closing in excess of C$5.5 million.¹ This article provides insight on metaverse real estate and the key legal considerations in Canada.

Transactional backbone of the metaverse:

As explained in our previous article on Key legal issues in the metaverse, the metaverse generally refers to a highly immersive and interconnected virtual world spanning multiple and potentially competing virtual platforms. The metaverse also uses a collection of technologies such as virtual reality technology, augmented reality technology, non-fungible tokens (NFTs) and digital commerce, working together to make user experience more streamlined and immersive. As the sector grows, investment increases as businesses try to stake a claim in emerging worlds. In 2021, private equity funding and