July 28, 2023

Value Creation and Opportunities for CPAs on the Metaverse

VIEW AS PDF

By Derrick Bonyuet, Ph.D., CPA, CFA, CFP

In the last couple of years, there has been a lot of buzz surrounding the metaverse. Metaverse can be seen as the next evolution of the Internet, where users will enjoy a new and different level of experience as they meet people virtually and interact and conduct business in this environment.

As CPAs, we are often seen as advisors by our clients for business-related matters. This is why we need to familiarize ourselves with this term, how this virtual environment can add value to our clients and how CPAs should leverage this technology.

The Next Level

Metaverse is considered the next paradigm in social media. In the same way many people access social media, the metaverse will take these interactions to the next level by incorporating not only shopping but also events, concerts and conferences in a persistent three-dimensional virtual environment that runs continuously. People will be accessing these immersive virtual worlds through different technologies, including VR headsets, AR or even PCs, game consoles and phones.

The metaverse will include elements such as virtual reality, streaming video, mobile gaming, avatars and artificial intelligence to offer users an all-inclusive digital experience. In this digital economy, money will be represented by cryptocurrencies and the metaverse will be supported by the blockchain, which is a digitally distributed public ledger that functions without the need of any intermediaries.

Transactions may include art, music or even real estate, which will be reflected in the form of non-fungible tokens or NFTs. These NFTs are blockchain-based representations of real-world items and serve as proof of ownership.

A McKinsey study found the transition to metaverse is taking place as more than 20% of the population asserts their intention to spend more time online exercising, working, reading and shopping in the future. In fact, study participants confirmed their desire for greater convenience, connectivity and entertainment, which will result in spending about four hours a day in the metaverse. Generation Z and millennials are expecting to spend close to five hours a day. The study also found more popular interests include immersive shopping, booking, learning, traveling and socializing (Aiello, C., Bai, J., Schmidt, J. and Vilchynskyi, Y., 2022).

Consumer Uses

Consumer uses will include most daily activities across five categories:

  • Entertainment;
  • Socializing;
  • Fitness;
  • Commerce; and
  • Remote learning.

Enterprise Solutions

The metaverse will enable improvement in business operations across the following categories.

  • Remote collaboration will be enhanced as online meetings are conducted in a three-dimensional space. By using avatar technology, people will be able to interact with each other in an immersive, meaningful and realistic way from anywhere in the world with information being streamed in real time to enable a more efficient and productive work environment.
  • Reimagined learning and development as simulations of real-life settings and situations will be leveraged for a more impactful learning experience. Employees can safely learn how to do tasks virtually in a setting that mirrors the actual environment in which they’ll be working.
  • Digital twins will enable innovating efficiencies as physical settings and objects are replicated virtually, generating rich data in real time to improve decision making. New revenue streams will emerge. Examples include virtual real estate and setting virtual markets where customers can buy products.

Examples of Use Cases

In its publication “Value creation in the metaverse” (2022), McKinsey identified several metaverse use cases. They include the following areas.

Product marketing. Coca-Cola launched their brand’s first NFT with a winning bid bringing over $575K in an online auction. The auctioning of NFT collectibles supports several marketing campaigns, such as the International Friendship Day, and proceeds will benefit Special Olympics International.

Customer engagement. Gucci is building brand awareness by launching Gucci Garden, which is a set of multiple themed rooms aligned with their physical campaigns.

Next-generation commerce. By using game-engine technology, AnamXR has created cloud-based, virtual e-commerce platforms for 3-D immersive shopping experiences.

Brand loyalty. Adidas has made its first incursion into the metaverse by partnering with the Bored Ape Yacht Club, Punk Comics and digital artist Gmoney to release its first NFTs.

Customer service. Helpshift has launched Metashift, the world’s first customer support system for the metaverse. It consists of a series of patented technologies designed to support experiences.

Education. The University of California at San Diego’s Rady School of Management has partnered with Virbela to deploy a virtual campus for real-time lectures, breakout spaces and outdoor areas.

Recruiting. The Havas Group, a global marketing and communications conglomerate, has launched a village within the Sandbox. Consistent with its purpose, the virtual Havas Village will support recruitment services for improved candidate and onboarding experiences.

Digital twins. BMW has partnered with Nvidia to create the factory of the future, which will combine reality and virtual reality, robotics and AI to deliver digital twins for their entire factories.

Public services. The Seoul Metropolitan Government in Seoul, Korea, will become the first major city to enter the metaverse by launching the pilot of Metaverse Seoul, a virtual version of Seoul’s mayor’s office.

Virtual tourism. Ariva Digital has launched Ariva Wonderland, a VR and blockchain-based platform that allows users to travel to imagined or recreated destinations.

A Market Projected to Grow Exponentially

This emerging virtual market is projected to grow into a fully functioning economy that will generate revenues of between $1trn to $30trn (see www.economist.com.) To capitalize on this future trend, investment firms are investing millions in digital land across different metaverse platforms, such as Decentraland and The Sandbox.

Opportunities for CPAs

While full adoption of the metaverse is still years away and experts are debating whether the metaverse will become a specialty or a mainstream market, there are elements already in place. More importantly, as listed above, numerous companies are making investments to create a presence in this virtual world.

As a result, CPAs must ensure they can provide the support that clients are expecting. A few areas where CPAs can benefit include:

  • Improving client engagement;
  • Providing new revenue-generation opportunities;
  • Serving as a more efficient training platform;
  • Enhancing employee interactions; and
  • Transforming commercial operations.

The Next Evolution

It is hard to predict what the future holds, but most people would agree social media is here to stay and the metaverse could well be the next evolution. The reward could be huge, but the risk is high.

In addition, user experience must be improved to ensure mass adoption. CPAs must be ready to support their clients’ operations in this virtual environment and the first and best step may be to set up their own presence in the metaverse.

About the Author: Derrick Bonyuet, Ph.D., CPA, CFA, CFP, is a Clinical Professor of Accounting at the University of Texas in Austin. He also teaches accounting at Huston-Tillotson University and Concordia University. Contact him at derrick.bonyuet@mccombs.utexas.edu .

Editor's Note: Read more on this topic on Today's CPA online at www.tx.cpa.

Sources:

1. “Virtual-property prices are going through the roof.” The Economist, 1 Jan. 2022.

2. Kamin, D. “Investors Snap Up Metaverse Real Estate in a Virtual Land Boom.” The New York Times, 30 Nov. 2021.

3. Bruce, T. “4 Enterprise areas for business leaders to explore in the metaverse.” Forbes, 25 May 2022.

4. Pratt, M. “10 Examples of the metaverse for business and IT leaders.” 22 Nov. 2022.

5. Aiello, C., Bai, J., Schmidt, J. and Vilchynskyi, Y. “Probing reality and myth in the metaverse.” McKinsey & Company, 13 Jun. 2022.

6. “Value creation in the metaverse.” McKinsey & Company, Jun 2022.

7. Blau, A., Enobakhare, A., Shiller, A., Lubetsky, L. and Walker, M. “A new world? Exploring the metaverse and what it could mean for you.” Deloitte Consulting, Apr. 2022.

8. Pratt, M. “10 Examples of the metaverse for business and IT leaders.” 22 Nov. 2022.

9. Aiello, C., Bai, J., Schmidt, J. and Vilchynskyi, Y. “Probing reality and myth in the metaverse.” McKinsey & Company, 13 Jun. 2022.

10. “Value creation in the metaverse.” McKinsey & Company, Jun 2022.

 

 

 

 

  • TXCPA’s 2024-2025 Year in Review

    TXCPA addressed key challenges in the accounting profession through strategic initiatives focused on the CPA talent shortage, advocating for licensure flexibility, expanding student outreach, and enhancing member services. Key achievements included support for legislation introducing additional CPA pathways, strong participation in advocacy efforts and impressive engagement in CPE programs.
    View Article
  • CPE: The Significance of Codes of Conduct in Professional Organizations - Standards for Ethical Practice

    This article examines the ethical codes of four major professional organizations - AICPA, ACFE, CFA Institute, and IIA - highlighting their shared values of integrity, objectivity, confidentiality, and competence. While all emphasize ethical behavior and professional standards, each code is tailored to the unique responsibilities of its field.
    View Article
  • 89th Legislative Session Review: New House Leader, Rule Changes and a Productive Session for TXCPA

    The 89th session of the Texas Legislature began on January 14, 2025. TXCPA has been hard at work advocating its legislative agenda and has had a very productive session. Texas is one of the state leaders in addressing CPA pipeline issues.
    View Article
  • Special Report: The Digital Transformation of Accounting

    Digital transformation is reshaping accounting, making technology adoption essential for firms to stay competitive. Automation streamlines reporting, while document management systems improve organization and compliance. Embracing innovation allows firms to boost efficiency, deliver deeper client value and lead in a rapidly evolving profession.
    View Article
  • Key Considerations for Financial Statement Auditors Before Leveraging Artificial Intelligence in Their Audits

    There is a growing role for generative AI tools to be used in financial statement audits. The tools offer numerous advantages, including enhanced data analysis, continuous learning, predictive insights, audit automation, and cost savings. However, challenges remain, such as data privacy risks, bias in training data and the inability to verify source data. Learn more in this article.
    View Article
  • How Accountants Can Embrace an Entrepreneurial Spirit

    The use of AI-driven technologies has resulted in numerous tools that threaten the existence of many professionals. Accountants are not immune to the threat since many of their tasks can be automated. To stay relevant, accountants can upskill or start their own business. Despite low risk tolerance, their financial expertise makes them strong entrepreneurial candidates.
    View Article
  • Maximizing Audits: Key Elements for Efficient and Successful Financial Assessments

    Audits provide stakeholders with reliable financial insights, but the process can be daunting for companies. To prepare effectively, businesses should focus on strong internal controls, accurate transaction records and clear, compliant financial statements. Internal controls help prevent fraud and ensure accurate reporting, while well-organized documentation streamlines auditor reviews.
    View Article
  • Spotlight on the Accounting Profession: Jessica Rodriguez Reyes

    Jessica Rodriguez Reyes, an outstanding undergraduate in the BS/MS accounting program at the University of North Texas, shares her journey as a first-generation college student. With internship experiences in small and large firms, Jessica emphasizes the value of hands-on learning and her dedication to mentoring other students is making a noticeable impact.
    View Article
  • A Year of Progress and Impact

    As the 2024–2025 membership year ends, we reflect on a year of progress driven by the dedication of leadership, volunteers and, most importantly, our members. Together, we advanced initiatives, strengthened our community and expanded our reach. Looking forward, even greater opportunities lie ahead to build on this success.
    View Article
  • What’s Happening Around Texas - May-June 2025

    Members in Austin, Dallas and San Antonio participated in community service activities and professional networking events. Fort Worth hosted a successful masquerade ball to fund scholarships, while TXCPA South Plains introduced its new board. Southeast Texas engaged students at a career expo, Victoria hosted a student-CPA coffee meet-up, and Wichita Falls organized an educational event at Midwestern State University.
    View Article
  • Accounting Firms Continue to Innovate in Response to Rapidly Changing Market Conditions

    There is a growing trend of private equity investments in CPA firms amid declining CPA Exam participation, talent shortages and rising reliance on AI. While offering growth opportunities, the deals raise concerns about maintaining professional independence in a profit-driven model.
    View Article
  • Take Note

    In this edition of Take Note: Renew Your TXCPA Membership Today; TXCPA Passport is On-Demand CPE at Your Fingertips; Tips to Reduce Digital Overload; Get Published in Today’s CPA Magazine
    View Article
  • Classifieds

    The classified ad section features listings for practice owners looking to sell, professionals seeking firms to purchase and a variety of specialized services. Whether you're looking to expand, sell or explore niche opportunities, these classified ads can connect you to valuable business prospects and resources.
    View Article

CHAIR
Mohan Kuruvilla, Ph.D., CPA

PRESIDENT/CEO
Jodi Ann Ray, CAE, CCE, IOM

CHIEF OPERATING OFFICER
Melinda Bentley, CAE

EDITORIAL BOARD CHAIR
Jennifer Johnson, CPA

MANAGER, MARKETING AND COMMUNICATIONS
Peggy Foley
pfoley@tx.cpa

MANAGING EDITOR
DeLynn Deakins
ddeakins@tx.cpa

COLUMN EDITOR
Don Carpenter, MSAcc/CPA

DIGITAL MARKETING SPECIALIST
Wayne Hardin, CDMP, PCM®

CLASSIFIEDS
DeLynn Deakins

Texas Society of CPAs
14131 Midway Rd., Suite 850
Addison, TX 75001
972-687-8550
ddeakins@tx.cpa

 

Editorial Board
Derrick Bonyuet-Lee, CPA-Austin;
Aaron Borden, CPA-Dallas;
Don Carpenter, CPA-Central Texas;
Rhonda Fronk, CPA-Houston;
Aaron Harris, CPA-Dallas;
Baria Jaroudi, CPA-Houston;
Elle Kathryn Johnson, CPA-Houston;
Jennifer Johnson, CPA-Dallas;
Lucas LaChance, CPA-Dallas, CIA;
Nicholas Larson, CPA-Fort Worth;
Anne-Marie Lelkes, CPA-Corpus Christi;
Bryan Morgan, Jr, CPA-Austin;
Stephanie Morgan, CPA-East Texas;
Kamala Raghavan, CPA-Houston;
Amber Louise Rourke, CPA-Brazos Valley;
Shilpa Boggram Sathyamurthy, CPA-Houston, CA
Nikki Lee Shoemaker, CPA-East Texas, CGMA;
Natasha Winn, CPA-Houston.

CONTRIBUTORS
Melinda Bentley; Kenneth Besserman; Barry Kaplan; Holly McCauley; Shicoyia Morgan; Craig Nauta; Kari Owen; Dipesh Patel, CPA, CGMA; John Ross; Lani Shepherd; Patty Wyatt

 

Your TXCPA membership has not been renewed for 2025 -2026. Renew now.