The metaverse will offer new forms of immersive entertainment, modes of social interaction, and opportunities for collaboration. It is also expected to generate enormous economic value. According to a recent Citi report, “the total addressable market for Metaverse could be anywhere from $8 trillion to $13 trillion by 2030,” with the number of users increasing to 5 billion by that year.

But participants in the metaverse could face significant risk of fraud, theft, and damage, particularly in the early stages of their development. The nature of digital relationships can make it difficult to determine who is responsible when something goes wrong, and the nature of digital property can make it difficult to assess the value and damage to property. Intellectual…