This paper examines the complex intersection of cultural appropriation and multiculturalism in contemporary America. It investigates how the blending of diverse cultures within a multicultural society can lead to instances of cultural appropriation, often resulting in tension and discontent among cultural groups. The paper also addresses the challenges cultural appropriation can cause and how it contributes to a better understanding in navigating these issues in a multicultural context. The paper clarifies the fine line between respectful cultural exchange and appropriation by analyzing examples from various fields such as fashion, music, and art. It highlights how cultural elements are frequently commercialized and misrepresented in the media. The methodology used in the paper is a qualitative analysis of literature and examples of cultural appropriation in various contexts, including fashion, music, and art, as well as a review of theoretical perspectives on multiculturalism and cultural appropriation. The paper also considers the role of education, upbringing, and media in shaping public perception of cultural appropriation. The current approaches in the literature involve defining cultural appropriation and multiculturalism, analyzing examples of appropriation across various fields, and discussing the commercialization and misrepresentation of cultural elements. However, there are gaps regarding the understanding of when cultural exchange becomes appropriation since it is such a complex subject. Finally, this paper seeks to contribute to a deeper understanding of how a multicultural society like contemporary America can navigate the complexities of cultural appropriation while promoting cultural appreciation and respect.