Transcriber: Matthew Pond Reviewer: Walaa Mohammed
Today, I am planning to scare you.
Seriously,
I have a scary topic
and even worse
conclusions.
So please, consider if you are ready for that?
Because I will show you a world in which the law does not protect you.
Are you ready for that?
Okay, let’s go.
Please, close your eyes.
Imagine that you are listening to my speech, in a virtual world.
A virtual version of myself is talking to you.
You are also a virtual version of yourself.
The reality that surrounds you looks the same,
but is the result of a computer code.
Amazing, isn't it? Will you be surprised if I tell you that now?
It's not just a creation of your imagination.
We are on the beginning of a revolution that will enable us to live in two worlds.
The real one and the virtual one.
The virtual world will be called:
“The Metaverse.”
So, what is the metaverse?
It is a virtual space that is very similar to our world.
So, in the metaverse it will be possible to live your normal life,
but as an avatar of you. To immerse yourself in the metaverse world,
all you have to do is put on VR goggles and explore.
So, in the metaverse it will be possible to buy fruits,
go to school and go to work.
But, also to commit crimes, violate obligations,
personal rights and copyright.
Analysing the metaverse from the legal perspective.
I came to ask a question. “Is the law ready for the metaverse?”
I am a lawyer and a PhD law student.
I do an academic research on procedural law.
I am also an immigrant. I moved from Ukraine to Poland.
8 years ago, I learned the Polish alphabet.
Literally crying.
It was too hard for me.
But, I had a big motivation to become a lawyer in Poland.
So. I was very afraid, but I tried to get to the one of
the best law schools in Poland.
Guess what? I did it.
Now, I’m writing my PhD on law in Polish.
So, I had to learn Polish to become a lawyer in Poland.
Then I realised that to become a lawyer in the metaverse,
you don't have to learn any language.
Because we don't know neither what laws should apply in the metaverse
nor in what language. It doesn’t matter that I can speak 5 languages
and can say: “pryvit”
“hello” and even “bonjour” because I don’t know what laws should apply in
the metaverse, in the world which can become an alternative to our world now.
I know you’re probably thinking:
“Okay, but how does this affect my real life?”
I understand you.
Let me try to convince you. I would like to give you some examples.
You are an artist and you have your art gallery, in the metaverse.
In this art gallery there are your paintings,
which you sell for cryptocurrency.
One day, you realise that somebody is copying your paintings
and selling them too.
Your copyrights have been violated.
Another example,
you bought an apartment in the metaverse for €1 million.
Then, the Metaverse platform took it away from you
because of your loud parties. The most tangible example.
The Metaverse platform uses your data without any restrictions
because it's not legally protected.
In all these cases, you are entitled to legal protection in the real world.
But in the Metaverse, you are not protected.
The law Is not ready for the Metaverse because in the Metaverse,
the law does not exist yet. We need to find a solution for that.
I propose 3 solutions.
The first solution is to establish
a virtual legal system that would operate in the Metaverse only.
This would require standardizing law and judiciary for all potential users of
the Metaverse. So, for people from all over the world.
This solution is about as realistic as forcing everyone in the world
to use androids.
Establishing one legal virtual system, is a utopia.
So, we disgard this the second solution is “arbitration.”
Metaverse disputes can be referred to arbitration by providing
the arbitration clauses in the Metaverse platform’s uses of terms.
Arbitration courts are not ordinary courts. In arbitration,
you as a party to proceedings can choose the binding law
and arbitrators who will act as judges in your case.
Arbitration would allow to resolve matters disputes in more flexible way.
There are some Metaverse platforms which already have arbitration clauses
in their terms, for example, “Roblox” or “Decentraland.”
I believe that this is the best solution.
But,
it creates a risk that Metaverse platforms will be able to create terms of
use without any limitations.
This brings us to the third solution,
where dangerous solution to give Metaverse
platforms unlimited freedom to create terms of use.
Do you know what are: “Terms of Use?”
That is something that you never read and just click.
“Okay, I accept and move forward.”
So, let’s see what you accept on
the example of Decentraland metaverse terms.
Imagine that you have €100,000
and you spend this money for a plot of land.
No, not near Warsaw for a virtual plot of land. That is what Decentraland is.
Decentraland is the first Metaverse platform where users can buy virtual land.
Decentraland terms, require disputes to be resolved by
the arbitration court in Paris,
but for any dispute not subject to arbitration,
you agree to submit your cases to courts, in Panama.
Moreover, the central terms have a warning which is “Capslock.”
Please, read this section carefully,
it may significantly affect your legal rights, including,
your right to file a lawsuit in court.
So, if you are going to sue Decentraland,
you should go to the court arbitration court in Paris,
or to the courts in Panama. A little bit worrying, isn’t it?
Moreover, the terms of this platform also state:
“That platform will not be liable or responsible for accuracy, copyright,
compliance, legality or decency of material contained in or accessed through
the platform.”
The platform, is also not liable for:
any damages without any limitations,
including loss of goodwill, business reputation,
loss of data or any other loss.
Even if, the platform has been advised of the possibility of such damages.
Almost identical platforms have done the same, for example:
“Roblox Metaverse platform” or “Uplands,”
but also other Metaverse platforms.
To sue “Sandbox,” you should go to courts in Malta and know the Law of Malta.
To scare you even more, I am so sorry. There is an idea that
disputes should be resolved by “DAO”
“DAO” is the “Decentralised Autonomous Organization” which allow users to vote
on proposals with their voting power,
often determined by the number of tokens they hold.
This may raise a lot of concerns.
Can the users with the most tokens be trusted to arrive at the right decision?
Where is the right to a fair trial?
It can be a big problem that Metaverse
platforms can create terms of use which are in favour of platforms.
This may lead to a situation in which potentially the guilty party
creates the law. In addition, there is always an option that
the common cause of each country will settle virtual disputes.
But neither courts nor private international law do not seem to be
prepared for such type of legal problems.
There is a risk, that it could look like creating the metaverse world
on old Macintosh computers.
Maybe it can be done. But what's the point?
Modern problems require modern solutions.
When I had my first classes at the law school, a professor asked me a question:
“Why did you choose to study law?”
I remember they answered because, I like justice and order.
Now, I have a lot of doubts whether we will be able to talk about the law
as manifestation of justice
or order after the advent of the metaverse.