April 29, 2025

A Guide to Trademark Protection in the Metaverse for Small Businesses

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The Metaverse has quickly become more than just a buzzword—it is now a new frontier for commerce, social interaction, and creativity. Philippine businesses, both large and small, are beginning to explore how they can expand their presence into this immersive digital space. However, as with any marketplace, questions of intellectual property (IP) rights—particularly trademarks and copyrights—are becoming central.

In the Philippines, the Intellectual Property Office of the Philippines (IPOPHL) regulates and enforces intellectual property rights. Just as in the physical world, securing protection for your brand and creative works in the Metaverse is critical to maintaining reputation, preventing misuse, and building trust with customers.

This guide explains how Philippine businesses can protect their trademarks and copyrights in the Metaverse, drawing from IPOPHL rules, recent disputes, and lessons from global trends.

What is the Metaverse?

The Metaverse is a collective digital universe where users interact in real time through avatars, virtual spaces, and blockchain-backed assets such as NFTs. Think of it as an evolving internet—more immersive and more commercial.

In this environment, businesses sell virtual goods (clothes, accessories, furniture, even land) and provide virtual services (education, concerts, professional meetings). Just as in real life, consumers rely on brands to distinguish authentic goods and services from counterfeits or imitations.

Why Trademark Protection Matters in the Metaverse

A trademark represents your brand identity—your name, logo, slogan, or other distinctive signs. Infringement in the Metaverse can damage a business as much as, or even more than, infringement in the real world because of the speed and scale at which digital content spreads.

For example, Nike sued StockX in the U.S. for selling unauthorized NFT versions of its sneakers. Although this case did not occur in the Philippines, it shows how brands must act quickly in the Metaverse. If a Philippine clothing brand’s logo were copied and sold as NFTs on a virtual platform, IPOPHL rules on trademark infringement could apply, provided the use creates confusion in trade.

In the Philippines, the IP Code (R.A. 8293) defines trademark infringement as the unauthorized use of a mark that is identical or confusingly similar to a registered mark. This same principle could extend to virtual goods in the Metaverse.

Types of Trademarks Relevant in the Metaverse

In the Philippines, the following may be protected as trademarks (and are equally applicable to the Metaverse):

  • Word Marks – brand names (e.g., “Jollibee” for virtual food kiosks).
  • Logos and Design Marks – visual symbols (e.g., the “San Miguel” logo on a virtual beer bottle).
  • Combination Marks – both word and image.
  • Non-traditional Marks – sound marks, motion marks, and even holograms, which could become increasingly important in immersive VR spaces.

Importantly, trademarks in the Metaverse may also extend to 3D designs (e.g., a uniquely shaped bottle or shoe) and interactive brand experiences.

Copyright in the Metaverse

While trademarks protect brand identity, copyright protects original creative works such as artworks, music, software, and architecture. In the Metaverse, copyright issues arise with:

  • Digital artwork and NFTs – e.g., a Filipino digital artist selling works on OpenSea.
  • Virtual environments – architecture and design of a virtual mall.
  • Avatars and skins – original character designs.
  • Music and performance – copyright applies to virtual concerts or streamed events.

For example, in the Philippines, the copyright dispute “Ladlad vs. COMELEC” (2010) affirmed the principle that original works, including creative expressions in new mediums, enjoy protection under copyright law. This reasoning can extend to works published in the Metaverse.

The IPOPHL Trademark Registration Process

The procedure to register a trademark with IPOPHL involves:

  1. Application Filing – Submit an application with IPOPHL.
  2. Formality Examination – IPOPHL checks completeness of documents.
  3. Substantive Examination – IPOPHL examines registrability, distinctiveness, and conflicts with prior marks.
  4. Publication in the IPO Gazette – Public notice for opposition.
  5. Opposition Period – Third parties may oppose registration within 30 days.
  6. Issuance of Certificate of Registration – If no opposition, IPOPHL grants registration.

This process applies equally to marks intended for use in the Metaverse.

Should You Register a “Metaverse Trademark”?

The decision depends on your business strategy:

  • High Metaverse involvement: If you plan to sell virtual clothing, NFTs, or digital services, you should register trademarks covering these goods/services under the Nice Classification system used by IPOPHL.
  • Low or uncertain involvement: You may continue with traditional registrations but monitor developments closely.

For example, Class 9 (software, digital goods) and Class 35 (business services) may be relevant for Metaverse-related marks.

Enforcement Challenges in the Metaverse

The Metaverse blurs jurisdiction—your mark may be infringed by an avatar from anywhere in the world. While IPOPHL jurisdiction applies in the Philippines, enforcement abroad may require reliance on WIPO treaties or partnerships with other national IP offices.

Case example: In Levi Strauss & Co. v. Clinton Apparelle, Inc. (G.R. No. 138900, 2002), the Philippine Supreme Court upheld the strong protection of famous marks against confusingly similar logos. If a similar case arose in the Metaverse (e.g., a virtual jeans shop using “Livi’s”), IPOPHL could apply the same principles.

Practical Steps for Small Businesses

  1. Audit your IP portfolio – Identify trademarks and copyrighted works relevant to digital markets.
  2. Register early – File with IPOPHL for both physical and virtual goods.
  3. Monitor platforms – Use brand protection software or manual checks for misuse of your marks in NFTs, avatars, or virtual shops.
  4. Enforce rights – File oppositions, infringement cases, or complaints with IPOPHL’s Bureau of Legal Affairs when needed.
  5. Consider licensing – Allow partners to use your IP in the Metaverse while keeping control.

Conclusion

The Metaverse is still developing, but businesses that prepare early can safeguard their brand identity and creative works. By using IPOPHL’s existing trademark and copyright framework, monitoring new risks, and enforcing rights when necessary, Philippine businesses can protect their reputation and thrive in virtual spaces.

The rule is simple: If it’s valuable in the real world, it’s worth protecting in the Metaverse.