Author: Nazia Rahman, Christ (Deemed to be University), Delhi Ncr

The rapid evolution of technological advancement has been responsible for the emergence of deepfakes and the metaverse that are allied with a comprehensive confluence of ingenuity and vulnerability. The metaverse, a mirror reflection of the real world in the virtual domain, has facilitated the proliferation of criminal activities with deepfakes acting as a pivotal instrument. This article examines the growing intricacies between deepfakes and metaverse, inspecting their role in cybercrimes. This article delves into wide-ranging effects of deepfakes and related cybercriminal activities in virtual spaces and emphasizes how they could emerge into increasingly complex criminal activities. 

This article aims to assess the international ramification of such crimes, through a comparative analysis of developed nations. The findings reveal significant legal lacunae in international and national regulatory mechanisms, which result in violation of fundamental, constitutional and human rights, particularly infringing the right to privacy, dignity and reputation. In order to regulate these contemporary threats, the article concludes by recommending practical changes to the legal framework coupled with a multipronged approach to effectively regulate such threats by means of potent regulatory institutions and a coherent legal framework.

Keywords: Deepfakes, Metaverse, human rights, Legal lacunae, Cybercrime.

The rapid advancement in today’s technological-driven society has empowered humanity to indulge in an array of activities that once seemed far-fetched to humankind, fundamentally transforming the way present day individuals operate. Our society has transitioned from tackling the ruthlessness of the agricultural era to flouring through the brilliance of the industrial revolution. However, contemporary times are rather distinctively defined by innovation, transformation, and ascent of human capabilities, unleashing infinite possibilities. One of the factors behind this modernization is the revolutionary enhancements in the field of artificial learning, artificial intelligence, and innovation of virtual reality. In contrast, these developments which are often perceived as disruptive and propitious tend to pose an inherent risk of aiding illicit activities. They can either be deployed as an agent, benefiting domains like education and entertainment or instead be used as a tool to proliferate unethical applications and amidst this surge of rapid technological expansion, two of the most prominent and widely conversed innovations are the deepfake and the metaverse. 

To gain a better understanding of their application it is important to understand how data processed software transact. Deepfake technology, a sophisticated extension of artificial intelligence, enables an effortless generation of hyper realistic media such as images, videos, and audio recordings which can be further deployed to devise virtual replicas of people, often identical to reality. On the other hand, the metaverse is a virtual reflection of the physical world which allows people to have a realistic experience of wide-ranging activities within a graphic space. Metaverse is an application popularized through Facebook (now Meta) that exhibits significant potential to thrive beyond its current application and with a growing number of users dedicating their substantial time immersed in this hyper-realistic expanse. These platforms are highly advanced and dominate intelligently advanced times. 

This research paper examines the persistent crimes associated with deepfakes in virtual spaces, specifically concentrating on how deepfakes integration with the metaverse facilitates the proliferation of cybercrimes, and presents potent threats to the security and privacy of an individual.  This paper conducts a thorough comparative study of these emerging threats globally, with a specific focus on India and developed nations. The study identifies critical gaps in the existing legal frameworks, exposing a significant gap in the current legal system. These gaps result in the violation of fundamental and human rights of an individual.

Furthermore, the paper recommends for international corporations to counter prevalent threats proposed by deepfakes. By offering a practical solution which promotes the value of a potent legal system and fosters international cooperation to tackle increasing complications of cybercrime in the virtual environment. The study aims to effectively regulate the negative effects of deepfake technology on society.

This paper adopts a qualitative approach, utilizing doctrinal legal study approaches to understand current regulatory gaps and the influence of deepfakes and metaverse-related cybercrimes. This study deploys secondary sources such as articles, case studies, research papers and credible reports shedding light upon technological, ethical and moral features, providing practical solutions to reduce prevalent threats by studying this academic literature.           

Deepfakes, once a hypothetical concept, has transitioned into a concrete reality after the notion of deepfakes surfaced in the year 2017 when an anonymous Reddit user operating under the name “Deepfakes” started generating artificially manipulated videos of celebrities. This application is based upon a complex strain of artificial intelligence that generates hyper-realistic images, videos, and audio recordings. The principal technology relies upon two foundational applications Generative Adversarial Networks (GANs) and deep learning architecture. GANs is responsible for generating synthetic data, while deep learning models are formulated to analyze and find similar patterns in data with amazing accuracy. 

This facade nature of deepfakes has resulted in employing deepfake mechanisms in several sectors to enhance their proficiency and provide them with futuristic solutions. For instance, in the entertainment sector deepfake assists actors to swapping or de-age their characters as well as finesse their performance by synthesis of videos or voices. Furthermore, deepfakes can establish acute opportunities that serve as a bridge between the past and present by reincarnating historical figures and legendary celebrities to keep their legacy alive in the modern world. Deepfakes can simultaneously be transformational in various other fields, they can benefit the education sector by bringing academic lectures or intellectual material into engaging video script content which can ease the whole process of learning by making the consumption of knowledge fascinating. While deepfakes serve as an innovation tool to produce virtual avatars for marketing and audience engagement, it has also been weaponized for malicious activities such as manipulation, financial fraud, and identity theft.

Whereas the Metaverse is a mirror reflection of reality, it has witnessed profound development while the platform is still evolving.  It continues to foster collaboration, cooperation, creativity and involvement. Users may attend virtual concerts, organize cross-platform meetings, trade and monetize digital goods, and more within the metaverse. This virtual environment integrates foundational technologies such as the internet, augmented reality (AR), and blockchain, creating metaverse as an immersive space for its users. The metaverse mechanism is not restricted to virtual interaction but it also sustains infinite possibilities dealing in economic models, virtual assets and services. To understand the application of the metaverse, one can examine Meta Horizon Worlds, an excellent extension of the metaverse capabilities. Meta Horizon Worlds elaborates on the functioning of the metaverse and its transformative operations, enabling its users to engage in a social VR space where they can participate in digital games, engage in virtual content production, and encourage its users to experience the digital cosmos through custom-built avatars. The users through avatars could engage in affairs such as socializing or taking part in distinguished events and exploring limitless possibilities in three dimensions. Through Meta Horizon Worlds and other similar platforms, the Metaverse continues to mature alongside the ongoing technological advancement which offers a small glimpse into the future. It is fashioned in such a way that it serves as the foundation of Meta's broader metaverse strategy. The platform strives to expedite a seamless transition between virtual environments, enabling avatars to move across platforms. This aligns with the overarching vision of constructing an interconnected metaverse, a unified virtual ecosystem where users can interact, work, and play in a cohesive virtual ecosystem.

The digital space has endless applications and its integration with artificial intelligence has inadvertently provided opportunities but it has also become a focal point for malicious activities to exploit users in online systems. Originally designed to assist professionals in various sectors, deepfake has become an instrument for illicit purposes, posing significant danger across the internet. For instance, a 15-year-old girl, Francesca Mani from New Jersey became the target of this misuse, when her class boys circulated fabricated sexually explicit deepfake images of her. Celebrities have also become victims of deepfake pornography; one notable incident involving deepfake images of Taylor Swift was widely shared on social media platforms. These unfortunate incidents highlight the unprecedented power that deepfake technology poses. 

Deepfakes are not only capable of causing individual harassment or defamation but have also proven destructive in more complex crimes. In one such scenario, a U.K. energy firm CEO was deceived into fraud of €220,000, after being contacted by a deepfake voice mimicking the parents’ company’s chief executive. Similarly, deepfake technology has further facilitated the spread of automated disinformation campaigns, such as the fabricated video of Mark Zuckerberg asserting authority over billions of user’s data. These instances underscore the urgent need for regulating deepfake technology and its misuse. The metaverse is equally susceptible to criminal exploitation. Recently a 16-year-old girl playing an immersive virtual reality game became the victim of virtual sexual harassment when her avatar was targeted by several adult men in a virtual room. UK authorities expressed concerns about registering the crime under existing laws, as there pertains a legal lacuna in the matter concerned. The biggest threat to the platform is emergence of social crimes which are becoming more common in the metaverse, with concerns growing over the perforation of deepfake technology in the virtual world. One of the recent incidents that is reported, is when a psychotherapist and researcher Nina Jane Patel, aged 43 was verbally and sexually harassed by four male avatars in the metaverse. According to Patel, the effects of the affair were incredibly realistic, giving an impression of the event to be realistic and leaving a lasting psychological and physiological impact. This case underscores how the integration of two innovations can pose a menace enabling various vengeful crimes.

Deepfakes technology as a pervading virtual threat, currently lacks an effective antinode. The metaverse’s potential to cause harm and enable the manipulation of identities, behaviours, and environments. The application aids several scams and frauds that have propagated across the nations, cross-border illicit activities are a potent threat to the global ecosystem. This contagious action is inclusive of high-profile crimes through misrepresentation and impersonation. The major concern about battling this emergent technology is its ability to combat it especially for nations that are not equipped with appropriate technologies are at a disadvantage. Furthermore, the situation is aggravated because of the prevailing inequalities in the governance of technological hazards. This indifference creates challenges in ensuring equitable protection across different nations. 

Meta’s Legal Case of Rafał Brzoska, a Polish millionaire has filed a legal action against Meta for failing to curb the deepfakes fraud on its platform. This case implies the difficulty of holding global tech companies responsible for user-generated content and calls for the need of cohesive legal standards. The case against Meta was on the grounds that they used the billionaires and wife images to advertise on their platforms. The ads presented were misleading and promoted fraudulent investment schemes and misleading. The case did not stop the filing of a suit by the billionaire but also started a campaign against Meta which includes prominent Polish including former presidents and ministers. His primary objective is not any monetary benefit rather he wants to stop the spread of deepfake frauds and set an example for the countries.

Whereas, in the United Kingdom, ongoing advocacy led by Baroness Owen of Alderley Edge seeks to criminalize the non-consensual creation and distribution of deepfake pornography. The Proposed legislation aims to protect victims’ privacy and mental health. Deepfakes are violative of several human and fundamental rights, including the right to privacy, dignity and the right to life. Baroness Charlotte Owen of Alderley Edge has proposed a bill that seeks to criminalize creation or distribution of media that utilizes deepfakes to swap the person’s face on to explicit materials. The bill has gained popularity amongst the campaigners across the House of Lords. If the bill is enforced the offenders will face up to two years of imprisonment.    

After comprehending the global nature of the internet which enables a multitude of applications and with the ongoing confluence of deepfakes with altered realities has called nations to take robust steps to regulate the AI-enabled platforms. To have a better understanding of the present framework, it is essential to adopt the approach of comparative analysis of legal frameworks of the developed nations in comparison with India and delve into their applicability, scope and enforcement capabilities. The prominent states in the discussion with AI laws are the United States of America and the European Union 

A. European Union & United States

The European Union Artificial Intelligence Act, Regulation (EU) 2024/1689 (“EU AI Act”),  formulates a legal framework, ensuring ethical usage of AI applications which is inclusive of the operations of altered realities and utilization of deepfakes. The act mandates accountability and transparency in applications of AI technologies. The act also underscores the prominence of healthy usage of AI practices and ensuring utmost safety of data protection, this is promoted by mandating disclosure of AI generated content. In contrast, the United States of America has multiple regulatory frameworks but instead of administering the entirety of the technology it deals with specific misuse cases. For instance, California AB-730 articulated for dealing with deepfakes which is expressly designed to deal with cases of election interference and non-consensual explicit content. Virginia on the other has become the very first state to completely ban the distribution of computer-generated pornography by amending an existing legislature that criminalized revenge porn. The act also provides civil remedies for those affected by the implication of deepfake enabled crimes. However, the strategies still remain scattered across the country, leading to massive gaps while addressing deepfake-related cybercrimes. 

B. The United Arab Emirates (UAE) & South Korea

UAE has sanctioned the Federal Decree-Law No. 45 of 2021 Regarding the Protection of Personal Data (PDPL), which answers concerns related to privacy and indirectly covers the cases related to deepfake misuse. The legal framework is specifically proposed to deal with data security. Additionally, the country has promoted multiple cybersecurity initiatives assisting to alleviate risks related to alternate realities, aligning with the growing threats associated with metaverse. There are also several other nations who have made amendments within the existing legislature such as South Korea which has made adjustments in the Information and Communications Network Act 2020, to prevent the distribution of deepfakes without consent. These amendments make stringent penalties for anyone who violates the provisions. Additionally, regulatory bodies to keep a check upon and also take action who are offenders in digital ecosystems, including immersive technology. 

The study reveals an enormous gap in regulating crimes emerging from application of altered realities, countries like the EU and the UK have initiated to adopt proactive policies, with sections that can be instrumental in administrating emerging challenges. The EU establishes the grounds for holding the responsibility which is contrary to the U.S.A and India’s approach which is more victim focused. On the contrary, countries like South Korea and the UAE have more emphasis on deterrents and prevention as their core strategies in dealing with difficulties brought by the modern age. 

Whereas countries such as the USA and India have a more pragmatic approach, the laws are particularly drafted to deal with specific incidents. These regulations are more generalized to data and the internet. However, there still remains the introduction of a more comprehensive framework that provides a solution to curb the influence of deepfakes on virtual environments. The authority that a person has over their data is not a matter of debate rather it is an exclusive right that a person holds in the form of the right to privacy which is an integral component of Article 21 of the Indian Constitution and enshrined in international human rights under Article 12 of the Universal Declaration of Human Rights (UDHR) and Article 17 of the International Covenant on Civil and Political Rights (ICCPR). 

Furthermore, standardizing legal procedures for regulating Deepfake and the metaverse across the countries and ensuring faster resolution of cases and adequate aid to victims. Incorporating practices or protocols such as Mutual Legal Assistance Treaties (MLATs) help to maintain a standard practice for the admissibility of evidence, smooth investigations and adequate aid to the victim. To detect AI-powered content advanced detection systems with blockchain technology must be deployed to identify media that is harmful to an individual. The government can mandate assessments for potential misuse before enforcing any sanctions on businesses who neglect standard moral practices. 

The rapid technological advancement specially in the area of deepfakes and the metaverse has led to the emergence of innovations and is equally responsible for crimes. These technologies have initiated advancements and also empowered cybercrimes exposing critical gaps in national and international legal frameworks. This study advocates for harmonizing laws, streamlining investigations and promoting multilateral cooperation. The developed countries have enacted legislation which have presented a fragmented approach whereas India’s recent amendment to accommodate data is yet far to address issues related to AI and its affiliated technologies such as deepfakes and metaverse. The execution of these statutes is much more difficult because of the nature of anonymity associated with these virtual spaces. Global efforts are required to address these issues which involve international efforts to cooperate; standardization of the standard legislature framework and challenging threats posed by AI capabilities to identify and halt any abuse to human rights. The efforts also should be taken on the ground level utilizing public awareness and digital literacy among the masses, which can ensure a safer and equitable future. By resolving these threats society can curb the misuse of deepfakes in the metaverse while creating an inclusive and secure digital realm.   

I. STATUTES / LEGISLATION

1. Artificial Intelligence Act, Regulation (EU) 2024/1689, No. 1689, Acts of European Union, 2024 (EU).

2. California Assembly Bill 730, § 20010, No. 493, Acts of California State Legislature, 2019 (U.S.).

3. Federal Decree-Law No. 45 of 2021 Regarding the Protection of Personal Data (UAE, enacted Sept. 14, 2021).

4. Information and Communications Network Act (S. Kor., enacted Dec. 30, 2001, amended 2020).

5. India Const. art. 21.

II. INTERNATIONAL INSTRUMENTS

6. Universal Declaration of Human Rights art. 12, G.A. Res. 217A (III), U.N. Doc. A/810 (Dec. 10, 1948).

7. International Covenant on Civil and Political Rights art. 17, Dec. 16, 1966, 999 U.N.T.S. 171.

III. CASES / JUDICIAL DECISIONS

8. Rafał Brzoska v. Meta Platforms Inc., Fin. Times (London, Dec. 5, 2024), https://www.ft.com/content/f390bf57-d3bd-4462-a722-cd1b755589a3 (last visited May 18, 2025).

IV. ARTICLES, BOOKS, AND WEB SOURCES

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18. Julia Sturges, Taylor Swift, Deepfakes, and the First Amendment: Changing the Legal Landscape for Victims of Non-Consensual Artificial Pornography, Geo. J. Gender L. (2024), https://www.law.georgetown.edu/gender-journal/online/volume-xxv-online/taylor-swift-deepfakes-and-the-first-amendment-changing-the-legal-landscape-for-victims-of-non-consensual-artificial-pornography/ (last visited May 19, 2025).

19. Pesala Bandara, Billionaire Wins Court Battle Against Meta Over His Image in Deepfake Ads, PetaPixel (Nov. 25, 2024), https://petapixel.com/2024/11/25/billionaire-wins-court-battle-against-meta-over-his-image-in-deepfake-ads/ (last visited May 18, 2025).

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