The Emergence Of The Metaverse In The Digital Blockchain Economy: Applying The Esg Framework For A Sustainable Future

Abstract

The world is witnessing a paradigm shift towards digital blockchain transformation; disrupting businesses, industries, governments, institutions, cultures and nations. Breakthrough developments in the fields of machine learning, artificial intelligence (AI), intelligent data, virtual and augmented reality, and the internet of things, many others as well, have driven the extraordinary rise of the so-called a "digital economy." The Metaverse is anticipated to thrive when the distributed ledger economy transitions into digital technology. But as it grows, it presents ecological sustainability with both fresh possibilities and difficulties. In this paper, we use the Environmental, Social, and Governance (ESG) model to analyse these potential and constraints. The metaphysical phenomena was critically analysed using an organised study of literature and the ESG system, which aims to illustrate community, energy, and governance problems in order to ensure a sustainable future. For the objective of choosing, evaluating, and synthesising pertinent papers on the topic, resources such as EBSCO, Scholar by Google, Scopus, Web of Science, and Sciences Direct were used. Our analysis shows that organizations engaged in the Metaverse blockchainphenomena are more likely to achieve higher levels of sustainability when they adopt solid governance practices in relation to the ESG framework. While the Metaverse holds the promise of significant sustainability benefits in the social, environmental, and governance arenas, several challenges and concerns on these dimensions ought to be acknowledged and addressed by decision makers. Adopting the ESG framework to the Metaverse phenomena allows stakeholders to better understand how to manage challenges and risks pivoting around sustainability matters.