Accounting for the metaverse: Classification, valuation, and reporting of virtual assets in decentralized economies

Authors

  • Amir Ehsane Department of Accounting, Arak Branch, Islamic Azad University, Arak, Iran.
  • Ali Lalbar * Department of Accounting, Arak Branch, Islamic Azad University, Arak, Iran.

https://doi.org/10.22105/metaverse.v2i4.93

Abstract

As the metaverse emerges as a significant global investment environment, this study investigates the classification and valuation of virtual assets to provide insights into evolving accounting practices and the development of frameworks necessary to enhance investor confidence. By reviewing existing research, the paper analyzes this persistent, three-dimensional space where economic value is created through decentralized transactions. The analysis demonstrates that while the metaverse integrates financial and physical realities, traditional principles of accounting and quantitative measurement remain fundamental, provided that virtual assets can be measured reliably enough to fall within the scope of financial reporting. Despite current challenges in classifying these assets as intangibles, financial instruments, or inventory, the study concludes that integrating the metaverse into formal financial systems depends on the evolution of standardized practices, technological adaptation, and regulatory alignment.

Keywords:

Metaverse, Virtual assets, Accounting, Financial

References

  1. [1] Mystakidis, S. (2022). Metaverse. Encyclopedia, 2(1), 486–497. https://doi.org/10.3390/encyclopedia2010031
  2. [2] Sharifi, L., & Pourqasem, J. (2025). Cloud-based architecture for digital twins and augmented reality in the Metaverse platform. International journal of research in industrial engineering, 14(4), 808–822. https://doi.org/10.22105/riej.2025.504969.1537
  3. [3] Sá, M. J., & Serpa, S. (2023). Metaverse as a learning environment: Some considerations. Sustainability, 15(3), 2186. https://doi.org/10.3390/su15032186
  4. [4] Uddin, M., Obaidat, M., Manickam, S., Laghari, S. U. A., Dandoush, A., Ullah, H., & Ullah, S. S. (2024). Exploring the convergence of Metaverse, Blockchain, and AI: A comprehensive survey of enabling technologies, applications, challenges, and future directions. Wiley interdisciplinary reviews: data mining and knowledge discovery, 14(6), e1556. https://doi.org/10.1002/widm.1556
  5. [5] Lanteri, A., Esposito, M., & Cappuccio, M. (2025). Maximizing the economic, environmental, and social impact of the metaverse. Thunderbird international business review, 1–14. https://doi.org/10.1002/tie.70027
  6. [6] Mirzaye Shirkoohi, S., & Mohiuddin, M. (2025). Creating value in metaverse-driven global value chains: Blockchain integration and the evolution of international business. Journal of theoretical and applied electronic commerce research, 20(2), 126. https://doi.org/10.3390/jtaer20020126
  7. [7] Rahman, J., Rahman, H., Islam, N., Tanchangya, T., Ridwan, M., & Ali, M. (2025). Regulatory landscape of blockchain assets: Analyzing the drivers of NFT and cryptocurrency regulation. BenchCouncil transactions on benchmarks, standards and evaluations, 5(1), 100214. https://doi.org/10.1016/j.tbench.2025.100214
  8. [8] Dong, S., Abbas, K., Li, M., & Kamruzzaman, J. (2023). Blockchain technology and application: An overview. PeerJ computer science, 9, e1705. https://doi.org/10.7717/peerj-cs.1705
  9. [9] Tsiura, V., Panova, L., & Gramatskyy, E. (2024). Virtual assets in the digitalization era: Economic and private legal aspects. Baltic journal of economic studies, 10(3), 366–374. https://doi.org/10.30525/2256-0742/2024-10-3-366-374
  10. [10] Bhattacharya, P., Saraswat, D., Savaliya, D., Sanghavi, S., Verma, A., Sakariya, V., … & Manea, D. L. (2023). Towards future internet: The metaverse perspective for diverse industrial applications. Mathematics, 11(4), 941. https://doi.org/10.3390/math11040941
  11. [11] Oyewole, A. T., Adeoye, O. B., Addy, W. A., Okoye, C. C., Ofodile, O. C., & Ugochukwu, C. E. (2024). Augmented and virtual reality in financial services: A review of emerging applications. World journal of advanced research and reviews, 21(3), 551–567. https://doi.org/10.30574/wjarr.2024.21.3.0623
  12. [12] Al-Kfairy, M., Alrabaee, S., Alfandi, O., Mohamed, A. T., & Khaddaj, S. (2025). Navigating ethical dimensions in the metaverse: Challenges, frameworks, and solutions. IEEE access, 13, 79996–80018. https://doi.org/10.1109/ACCESS.2025.3564498
  13. [13] Al-gnbri, M. K. (2022). Accounting and auditing in the metaverse world from a virtual reality perspective: A future research. Journal of metaverse, 2(1), 29–41. https://dergipark.org.tr/en/pub/jmv/issue/67967/1110671
  14. [14] Riabchenko, Y., Onyshchenko, A., Kudin, V., Kononets, O., & Holdskyi, V. (2025). Digital assets and property rights: Regulation and legal implications within the EU and globally. Statute law review, 46(3), hmaf029. https://doi.org/10.1093/slr/hmaf029
  15. [15] Casadella, V., & Tahi, S. (2023). National innovation systems in low-income and middle-income countries: Re-evaluation of indicators and lessons for a learning economy in Senegal. Journal of the knowledge economy, 14(3), 2107–2137. https://doi.org/10.1007/s13132-022-00945-8
  16. [16] Pandey, D., & Gilmour, P. (2024). Accounting meets metaverse: navigating the intersection between the real and virtual worlds. Journal of financial reporting and accounting, 22(2), 211–226. https://doi.org/10.1108/JFRA-03-2023-0157
  17. [17] Attanayake, T. P., & Goonaratne, G. C. (2025). Future of auditing: AI and emerging technologies for quality and value. IUP journal of accounting research & audit practices, 24(4), 260–281. https://doi.org/10.71329/IUPJARAP/2025.24.4.260-281
  18. [18] Ghosh, A., Hassija, V., Chamola, V., & El Saddik, A. (2024). A survey on decentralized metaverse using blockchain and web 3.0 technologies, applications, and more. IEEE access, 12, 146915–146948. https://ieeexplore.ieee.org/stamp/stamp.jsp?arnumber=10697124
  19. [19] Shylaja, P., & Jayasudha, J. S. (2025). A comprehensive review of blockchain and smart contracts: Foundations, applications, and technical challenges. Science, 15, 100257. https://doi.org/10.70389/PJS.100257
  20. [20] Kalyvaki, M. (2023). Navigating the metaverse business and legal challenges: Intellectual property, privacy, and jurisdiction. Journal of metaverse, 3(1), 87–92. https://doi.org/10.57019/jmv.1238344

Downloads

Published

2025-12-27

Issue

Vol. 2 No. 4 (2025): Metaversalize

Section

Articles

Categories

License

Copyright (c) 2025 Metaversalize

Creative Commons License

This work is licensed under a Creative Commons Attribution 4.0 International License.

How to Cite

Ehsane, A. ., & Lalbar, A. (2025). Accounting for the metaverse: Classification, valuation, and reporting of virtual assets in decentralized economies. Metaversalize, 2(4), 248-255. https://doi.org/10.22105/metaverse.v2i4.93
Crossref
Scopus
Google Scholar
Europe PMC

Similar Articles

21-30 of 42

You may also start an advanced similarity search for this article.