Assessing Financial Information Quality in Metaverse Platforms: A Systematic Literature Review

As virtual economies grow within the metaverse, the need for transparent and reliable financial reporting becomes increasingly important. This study examines the application of the International Financial Reporting Standards (IFRS) Conceptual Framework in metaverse platforms, with a focus on how well these platforms meet the qualitative characteristics of useful financial information: relevance, faithful representation, comparability, verifiability, timeliness, and understandability. The research evaluates both centralized and decentralized metaverse economies, identifying strengths in relevance, verifiability, and timeliness, particularly in platforms leveraging blockchain technology like Ethereum and Decentraland. However, challenges in comparability and understandability persist due to the lack of standardized accounting practices and the complexity of blockchain systems. Using a systematic review guided by the PRISMA framework, the study highlights the urgent need for universal accounting standards and simplified reporting systems to ensure that financial information within virtual economies is comparable, accessible, and reliable. The paper concludes by offering directions for future research, emphasizing the importance of standardization, education, and technological innovations in shaping the future of financial reporting in the metaverse.