Paper short abstract:

The metaverse will start blurring the barriers between the actual and virtual worlds. Transparency in governance and financial management between the actual and virtual worlds is a prerequisite for a fusion of two worlds which can be realized by leveraging blockchain and its related technologies.

Paper long abstract:

The growth of social gaming and the rise of the metaverse are eroding the boundaries between the physical and virtual worlds. Previously, we had distinct platforms for social interaction, commerce, and gaming, but the metaverse will begin to integrate these disparate platforms into one, regardless of whether its presence is physical or virtual. Unifying physical and virtual platforms demands a transparent governance system and a secure bridge for financial transactions and asset management between the two realms.

We suggest that blockchain technology has the potential to be a catalyst for bringing the metaverse to life. Today, blockchain technology encompasses cryptocurrency, NFTs, and smart contracts. The design of transparent governance mechanisms that span the metaverse and the actual world can be accelerated through the use of smart contracts that can execute logic when specific criterias are satisfied. Additionally, users can conduct financial transactions and control ownership of assets, whether physical or virtual, using cryptocurrency and NFTs.

The concept can be expanded to a extended-reality environment in which some people meet in person while others collaborate virtually via technology tools such as HoloLens developed by Activision Blizzard. They can work together to build communities and conduct business within the metaverse environment. It has the potential to create new opportunities for the service sector, the gaming industry, and a variety of other industries while maintaining complete transparency, autonomy, security, and most importantly decentralization.