In the quest to safeguard and revitalize folk dance heritage, this study explores the transformative potential of virtual reality (VR) technology. We developed an immersive display system using the Unreal game engine, incorporating a dance movement database, virtual reality immersion, and precise inertial motion capture. This innovative approach captivates users with an immersive folk dance experience and boasts a high motion recognition accuracy (99.51%) and an overall accuracy of 96%. Comparative experiments highlight VR’s advantages in making folk dance education more interactive and enjoyable without sacrificing ease of use. Virtual reality emerges as a vital tool in engaging new generations with folk dance, suggesting a vibrant future for intangible cultural heritage preservation.