The Metaverse is one of the top five trends and technologies this year. A lot of buzz is surrounding this new ecosystem, and accounting firms must consider the ramifications of this technology.
Industry leaders in the following are positioning themselves in the Metaverse:
Accountants also need to begin positioning themselves and their firms in the industry, which could be a $13 trillion total addressable market by 2030.
What is the Metaverse?
Before understanding the impact the Metaverse will have on the accounting industry, you have to understand the Metaverse. The Metaverse is a collection of mixed reality environments where users can digitally interact. These shared virtual spaces are immersive and usually include a customized avatar and digital assets.
Technologies related to the Metaverse include Virtual Reality (VR) and Augmented Reality (AR), however, the scope has grown to include video games and mobile applications.
The Metaverse can be compared to a 3D version of the Internet and can be accessed by anyone with a smartphone, tablet, or computer—no VR headset required. Within these virtual worlds, digital economies are born where users can create, buy, and sell goods.
The most basic example of this can be found in the multiplayer gaming world, where players’ avatars engage and interact with one another while also earning in-game currency and other special items.
Large corporations, tech giants, and start-ups alike have jumped on the Metaverse trend and continue to build better virtual experiences that capture the attention of a growing market.
While the Metaverse remains in its infancy, it is crucial to find ways to “get in” and cater to both the current and future needs of your clients.
What’s an Accountant’s Role in the Metaverse?
No one knows for sure yet. Metaverse is a work in progress, which is still evolving every week. But because services can be sold in the virtual environment, you can be confident that accounting firms will need to understand and leverage the ecosystem to best help their clients.
Meeting in the Metaverse
Firms are beginning to offer financial services to individuals and businesses trading in the Metaverse. But accountants can do even more than just offer services to clients transacting in the Metaverse.
The high-tech environment also allows for collaboration to take place, with the option to have an immersive experience where accountants can interact and work with each other and their clients. Various firms have entered the Metaverse already, some of which include Prager Metis, PWC Hong Kong, KPMG US and KPMG Canada.
At my company Engineered Tax Services (ETS), we, too, have entered the Metaverse. We acquired virtual land and a building in Decentraland. The building is designed to allow CPAs and clients to:
- Serve as a resource to accountants who need support navigating the Metaverse and the complexities it brings
- Rent a virtual office space
- Meet with one another and their clients
- Access specialized knowledge around NFTs, blockchain, bitcoin, crypto and taxes
The Metaverse has so much potential, and it’s just a matter of time before it becomes a part of an accountant’s daily life, where there will be a hybrid working environment.
When will the Metaverse go mainstream?
It’s difficult to tell. Some experts say in the next decade Metaverse will go mainstream, but a lot can happen to speed up or stall progress. In either case, there is a lot of promise in these virtual worlds, and there is no reason why you should miss out on the “next big thing.”
Before understanding the impact the Metaverse will have on the accounting industry, you have to understand the Metaverse. The Metaverse is a collection of mixed reality environments where users can digitally interact.
The Importance of Understanding NFTs, Blockchain, Crypto Tax and Bitcoin
To take full advantage of what the Metaverse has to offer, you need to do more than just show up and meet with clients. You need to develop an understanding of the technologies associated with this virtual world, including:
- NFTs
- Crypto
- Bitcoin
- Blockchain
- And more
It is important to not only understand how these technologies work but also how they translate to real currency. Accounting professionals will also need to keep on top of infrastructure and operations changes as the Metaverse evolves.
A specialized skill set will be needed to work in the Metaverse, and these skills will be invaluable in the future if the virtual world becomes widespread. It is important to begin educating yourself on the Metaverse now and how to work in this new, exciting environment as more clients demand it.
Is The Metaverse the Future of Accounting?
Meta’s CEO Mark Zuckerberg has high hopes and big plans for Metaverse, but will it be the future of accounting? Only time will tell.
With banks, some accounting firms, and other big businesses already taking steps in the Metaverse, there’s a good chance that it will at least be a big part of the accounting world in the future.
The Metaverse will allow accountants and their firms to serve and interact with clients in new, engaging ways. Right now, there is the opportunity to get in on the ground floor of the Metaverse and get familiar with how this virtual world works.
In addition to establishing a presence in the Metaverse, firms should consider educating and training their employees to serve clients in this new environment.
Named "Top 100 Most Influential People" by Accounting Today, Julio Gonzalez is a forefather of specialty tax services. Gonzalez is CEO of Engineered Tax Services, The Growth Partnership, ABLE: CRM for Accountants, and INSIDE Public Accounting, the founder of Rockerbox, and the developer of the Engineered Tax Services cost segregation app. Additionally, he works weekly with the Administration, Congress and Senate to advise on tax reform. A go-to tax expert, he represents many national organizations and associations, and is a regular national public speaker regarding tax reform and tax sophistication for wealth preservation.
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