NFTs, Virtual Land, And Property Law: Can Intellectual Property And Property Law Regimes Cohabit In The Metaverse?
- IJLLR Journal
- Jan 29
- 1 min read
Aditya Mishra, National Law Institute University, Bhopal
Priyansh Dixit, SAGE University, Bhopal
ABSTRACT
The rapid growth of blockchain-based virtual worlds has created a legal paradox where users purchase virtual land through NFTs with expectations of traditional property rights, yet these assets exist only as code within platform-controlled environments that can modify or terminate user access through terms of service agreements. Virtual land ownership in metaverse platforms like Decentraland and The Sandbox challenges fundamental property law concepts developed for tangible assets, as these digital parcels lack physical existence, depend entirely on continued platform operation, and create complex overlapping rights between landowners, content creators, and platform operators. Traditional property law frameworks struggle with the intangibility problem, jurisdictional conflicts arising from global blockchain networks, and the tension between user property expectations and platform dependency realities. Simultaneously, intellectual property law faces novel challenges when virtual environments contain copyrighted materials, user-generated content, and trademarked assets that must function across multiple legal jurisdictions. Current legal approaches vary dramatically worldwide, from Singapore's progressive digital asset recognition to restrictive policies in other jurisdictions, creating uncertainty for global metaverse participants. The intersection of property law and intellectual property in virtual environments requires innovative legal frameworks that can accommodate the technical realities of blockchain- based ownership while providing meaningful protection for user investments and creative rights in an increasingly digitized economy.
Keywords: Virtual property, metaverse law, NFTs, blockchain governance, digital assets, intellectual property, property law, virtual land ownership.
