Data Acquisition :

Data acquisition is an important step in the metaverse ecosystem. Some of the sensitive
data from the users such as bank/credit card details are acquired when the users make
payments.
In addition, sensitive data such as bio-metrics poses/gestures of the users have to be
acquired in the metaverse to create digital avatars.
Data acquisition helps in training the AI/ML algorithms that can assist in decision making,
digital product development, recommendation system development, and marketing in the
metaverse
The metaverse will be a digital marketplace where people can buy, sell, play, talk, and work
digitally using various devices.
Hence, massive amounts of heterogeneous data will be generated
Web forms will be one of the data collection tools in the metaverse for gathering information
from users. Clients can quickly and easily fill out information using web forms before being
granted access to the metaverse capabilities.
Bots can capture personal information and required authentication elements like the social
security number from the users
A high-definition camera in the metaverse helps to gather information about a user’s physical
attributes.
Challenges faced :

 Data generated from Dapps in metaverse will be huge, unstructured and real-time.
 It poses a significant challenge in acquiring the enormous data being generated.
Data assurity or integrity will become important for building applications like
recommender systems in the metaverse.
 These systems will be affected if the data is gathered from unknown sources as it
can impact the reliability of these systems.
 The volume of data will skyrocket in metaverse and therefore will create burden on
data acquisition systems due to increase in streaming in entertainment and other
applications
 Duplicate and inaccurate data may also be acquired which will affect the quality of
data
How blockchain can help :
1. Authentic data acquisition: Blockchain enables the acquisition of authentic data in the
metaverse by recording activities as transactions on a distributed ledger.
2. Tamper-resistant data: Each block in the blockchain contains a cryptographic hash of
the preceding block, timestamp, and metadata, making the data within a block
resistant to modification without compromising other blocks.
3. Resistant to attacks: Data acquired in the metaverse using blockchain is resistant to
attacks as modifications require the consensus of the majority of nodes in the ledger
4. Validation through consensus mechanisms: Metaverse data obtained through
blockchain-enabled acquisition methods undergoes blockchain-specific validation
powered by consensus mechanisms, ensuring reliability and preventing duplication
 5. Safer data acquisition: The probability of producing a duplicate block in the
blockchain-enabled metaverse is nearly negligible, making the data acquisition
process safer and reducing the chances of duplication.
6. Reliable data: As each block in the blockchain is authorized, the metaverse data
obtained through blockchain-enabled acquisition mechanisms can be considered
reliable.

Data Storage :
The metaverse is a digital realm that exists alongside the physical world and is governed by
humans. The metaverse will comprise of experiences, places, and the things accessible over
the Internet. The metaverse requires massive amounts of data storage. Every person who
enters the metaverse creates a data file, and the data continues to grow as a result of social
interactions. Massive amounts of data will be generated once the metaverse is built and
implemented, laying a significant strain on the real world’s ability to process that information.
Data storage will have to be a top priority in order to put the metaverse to use
Challenges faced :
1. Voluminous data creation: As more people join the metaverse, a significant amount of
data files will be generated, pushing the limits of the physical world's data storage
capacity.
2. Storage capacity limitations: The sheer volume of data generated by the fully
operational metaverse can strain the storage capacity of existing infrastructure,
posing a challenge for deploying metaverse applications across various industries.
3. Risk of data leakage, tampering, and loss: Relying on a central storage system in the
metaverse increases the risk of data leakage, tampering, or loss, potentially
compromising sensitive information.
4. Data loss and corruption: Centralized applications in the metaverse face a high
probability of data loss and corruption, which can hinder the provision of vital data
like biometric data, vocal inflections, and vital signs.
5. Privacy and security concerns: Safeguarding sensitive data in the metaverse is
crucial, as the potential for data breaches or unauthorized access poses privacy and
security risks.
6. Data labeling and organization: With the massive amounts of data produced by
metaverse applications, effectively labeling and organizing the data can be a
significant challenge, impacting data management and retrieval processes.

How blockchain can help :

1. Tamper-proof data storage: With blockchain, every transaction in the metaverse
creates a new block, making the storage of data impenetrable to tampering and
ensuring data integrity.
2. Data reliability and transparency: Blockchain saves data as replicas of the original
blocks throughout the chain, enhancing data reliability and transparency in the
metaverse.
 3. Mitigating risks in applications: Metaverse applications, such as real estate and
digital objects, face high risks if centralized data storage is compromised. By
leveraging blockchain, these applications can enhance security and reduce the risk
of data breaches.
4. Increased data availability: Blockchain's distributed nature allows for numerous
blocks contributing to data distribution, resulting in increased data availability. This is
particularly useful in applications like vital monitoring and life support alerts in the
metaverse.
5. Collaborative data cleansing: The decentralized nature of blockchain technology
enables data scientists in the metaverse to collaborate on data cleansing. This
collaboration can significantly reduce the time and costs associated with labeling
data and preparing datasets for analytics.

Data Sharing :
Data sharing can benefit a diverse spectrum of the metaverse stakeholders in numerous
ways. As people and applications share the same platform, they may collaborate more
effectively as depicted in Fig. 4. Everyone, from scientists to the general public, will benefit
from data exchange in the metaverse [65]. The data collected from AR/VR and IoT devices
in the metaverse will be used to create personalized systems that are customized to the
users’ actions. This will enable a wide variety of applications to deliver a more positive user
experience [66]. Organizations will be able to conduct data analytics through the metaverse
by disseminating information across applications. Shared data will help understand
customers, evaluate advertising, personalize content, establish content strategies, and build
products in the metaverse

Challenges faced :
1. Sharing data in centralized data exchange platforms can expose sensitive and
private data of the data owners to heavy risk in the metaverse
2. Data in the traditional sharing environment is highly mutable, this results in high
latency and lower data availability. Scaling the mutable data is challenging compared
to the immutable data
3. In the metaverse, numerous applications like healthcare, traffic optimization, media,
and entertainment will generate large volumes of data and will be mostly real-time
4. Data flexibility becomes an issue when the demand for real-time data increases in a
traditional data-sharing environment
How blockchain can help :
1. Blockchain technology can make the transactions in crypto exchange, education, and
other applications more transparent and precise in the metaverse
2. Applications like governance and finance will generate a decentralized, immutable
record of all transactions, allowing stakeholders to view these records
3. the data owner will have complete control over the information. Data audits can also
benefit from distributed ledger technology. As a result, blockchain reduces the time
and money spent on validating the data
 4. Smart contracts will improve the flexibility in data sharing. They are typically used to
automate the execution of an agreement so that all participants can be certain of the
outcome immediately, without the involvement of an intermediary or the loss of time.

Data interoperability :
Challenges faced :
1. Disjointed and unorganized platforms: The current centralized digital platforms
available in the metaverse lack organization and are disconnected. Users often need
to set up separate accounts, avatars, hardware, and payment infrastructure to
participate in different realms, creating a fragmented user experience.
2. Restricted transfer of digital possessions: Transferring digital possessions like non-
fungible tokens (NFTs) and avatars between different digital environments is
challenging due to limited interoperability. Users may face restrictions on moving their
assets from one virtual world to another.
3. Lack of openness and compatibility: The lack of openness and compatibility between
virtual worlds hampers user mobility and flexibility. For example, using the same
account or assets in one virtual world (e.g., Decentraland) may not be possible in
another (e.g., Roblox).
4. Limited application usage across virtual worlds: The potential to use an application or
service in the metaverse depends on the interconnection and interoperability among
different virtual worlds. Without seamless communication and data sharing,
applications are restricted to specific virtual environments.

How blockchain can help :

1. Interoperability between virtual worlds: Blockchain can facilitate interoperability
between virtual worlds in the metaverse through the use of a cross-chain protocol.
This protocol allows for the exchange of possessions such as avatars and non-
fungible tokens (NFTs) between different virtual worlds.
2. Exchange of assets and payments: With blockchain's cross-chain protocol, it
becomes possible to exchange assets, including avatars and NFTs, as well as
conduct payments between virtual worlds in the metaverse.
3. Elimination of intermediaries: By leveraging cross-blockchain technology, blockchain
eliminates the need for intermediaries in the metaverse. This enables direct peer-to-
peer transactions and interactions between individuals and applications without the
requirement of middlemen.
4. Simplified connectivity: Blockchain simplifies the process of connecting people and
applications in the metaverse. Through its decentralized nature and standardized
protocols, blockchain provides a seamless and secure framework for individuals and
applications to connect and interact with each other.
Data Privacy :
Challenges faced :
1. User deception and information theft: During the initial stages of the metaverse,
attackers may deceive users and steal their sensitive information. The lack of
awareness about whom users are interacting with, especially with the deployment of
artificial intelligence bots, can lead to deception and potential data breaches.
2. Personal identifiable information (PII) concerns: Safeguarding the confidentiality of
personal data, including PII, is a significant concern in the metaverse. The risk of
unauthorized access or exposure of personal information raises privacy issues.
3. Validity information management: Integrating validity information in the metaverse,
such as verifying the authenticity of users or data, can increase the complexity of
managing large volumes of data simultaneously. Ensuring data privacy while
managing and validating vast amounts of information can be challenging

How blockchain can help :

1. User control over data: Blockchain technology in the metaverse enables users to
control their data through the use of private and public keys. This grants them
ownership of their data and prevents third-party intermediaries from misusing or
accessing data without permission.
2. Data privacy and ownership: In the blockchain-enabled metaverse, data owners have
the ability to regulate when and how a third party can access their information, giving
them greater control over their personal data and maintaining ownership.
3. Audit trail for transparency: Blockchain ledgers include an audit trail as a standard
feature, ensuring that transactions in the metaverse are complete and consistent.
This enhances transparency and accountability within the metaverse ecosystem.
4. Zero-knowledge proofs for privacy: The adoption of zero-knowledge proofs on the
blockchain allows individuals in the metaverse to conveniently provide proof of
essential data without revealing the actual information. This protects their privacy
while maintaining ownership over their possessions and sensitive data.
5. Protection against data misuse: With blockchain, the decentralized nature of the
technology reduces the risk of data misuse or unauthorized access by third parties,
enhancing the security and privacy of user data in the metaverse.