INTELLECTUAL PROPERTY PROTECTION FOR VIRTUAL LUXURY GOODS IN THE METAVERSE: BALANCING INNOVATION, EXCLUSIVITY, AND ENFORCEMENT CHALLENGES
AUTHOR – AASTHA BHATNAGAR, STUDENT AT CHRIST DEEMED TO BE UNIVERSITY PUNE, LAVASA
BEST CITATION – AASTHA BHATNAGAR, INTELLECTUAL PROPERTY PROTECTION FOR VIRTUAL LUXURY GOODS IN THE METAVERSE: BALANCING INNOVATION, EXCLUSIVITY, AND ENFORCEMENT CHALLENGES, INDIAN JOURNAL OF LEGAL REVIEW (IJLR), 6 (7) OF 2026, PG. 891-899, APIS – 3920 – 0001 & ISSN – 2583-2344.
Abstract
In the opulent expanse of the metaverse,a digital realm where imagination converges with immutable code,luxury brands are sculpting empires from ethereal assets, leveraging non-fungible tokens (NFTs) and blockchain to perpetuate exclusivity and heritage. This scholarly inquiry dissects the evolving paradigm of intellectual property (IP) safeguards for virtual luxury goods, drawing on pivotal jurisprudence such as Hermès International v. Rothschild (2023) and Nike, Inc. v. StockX LLC (2022-ongoing), where traditional doctrines of trademarks, copyrights, and trade dress are reconfigured to counter digital counterfeits and dilution. Yet, borderless virtuality engenders profound enforcement dilemmas, from pseudonymous infringers to jurisdictional ambiguities, exacerbated by decentralized platforms.
This paper introduces the “Virtual Exclusivity Nexus” (VEN), an innovative conceptual framework amalgamating blockchain provenance verification, AI-enhanced infringement detection, and harmonized transnational IP protocols to equilibrate technological innovation with the preservation of luxury’s intangible allure. By scrutinizing the symbiotic interplay between virtual and physical markets,wherein digital scarcity augments tangible desirability,we elucidate strategies for luxury maisons to transcend replication, forging
immersive narratives that intertwine cultural patrimony, sustainable ethos, and avant-garde artistry. A comparative lens on U.S., U.K., South Korean, and Indian regimes, informed by emerging economies’ unique cultural IP tapestries, advocates proactive trademark registrations, smart contract integrations, and policy reforms for a resilient metaverse ecosystem. Ultimately, this discourse envisions the metaverse not as an arena of contention but as a renaissance atelier, where IP fortifies the eternal prestige of luxury.
Key Words: Metaverse; Virtual Luxury Goods; Intellectual Property (IP) Law; Non-Fungible Tokens (NFTs); Blockchain Technology; Digital Assets.