ARTICLE
2 November 2023

CARU Releases Metaverse Guidelines

SM
Sheppard, Mullin, Richter & Hampton LLP

Contributor

Businesses turn to Sheppard to deliver sophisticated counsel to help clients move ahead. With more than 1,200 lawyers located in 16 offices worldwide, our client-centered approach is grounded in nearly a century of building enduring relationships on trust and collaboration. Our broad and diversified practices serve global clients—from startups to Fortune 500 companies—at every stage of the business cycle, including high-stakes litigation, complex transactions, sophisticated financings and regulatory issues. With leading edge technologies and innovation behind our team, we pride ourselves on being a strategic partner to our clients.
The Children's Advertising Review Unit (CARU) released new guidelines for interacting with children in the metaverse: Building Guardrails for Child-Directed Advertising & Privacy in the Metaverse.
United States Privacy
Sheppard, Mullin, Richter & Hampton LLP are most popular:
  • within Cannabis & Hemp and Insolvency/Bankruptcy/Re-Structuring topic(s)

The Children's Advertising Review Unit (CARU) released new guidelines for interacting with children in the metaverse: Building Guardrails for Child-Directed Advertising & Privacy in the Metaverse. The guardrails are intended to be "realistic and actionable" ways for companies to comply with privacy laws and engage responsibly with children online.

The guardrails outline how companies can eliminate possible confusion between content and ads in the metaverse. They also guide businesses in how to protect children's personal data. They include recommendations for responsible metaverse experiences for children, and include questions that companies should explore before offering metaverse experiences to children. For example, clearly distinguishing ads from content, transparently disclosing ads and complying with relevant privacy regulations (i.e., the Children's Online Privacy Protection Act (COPPA)).

CARU released these guidelines only a month after the FTC released recommendations for separating ads from content and cautioned against blurred advertising for children.

Putting it into Practice: There continues to be close scrutiny on how advertisers interact with children in the digital world. Advertisers operating in the metaverse should keep this in mind; this development is a reminder to review privacy compliance programs, especially if virtually interacting with children.

The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.

[View Source]

Mondaq uses cookies on this website. By using our website you agree to our use of cookies as set out in our Privacy Policy.

Learn More