Traditional finance in the movie world is getting a bit of a much-needed shake-up, thanks to blockchain. Times are changing and it’s no longer seen as a digital currency ’˜just’ studied by finance nerds and geeks who want to study the Solana price chart today on Binance, or find out how their Ethereum investments are performing week on week. It’s now becoming a completely viable option amongst many different industries. One of these is the movies and entertainment. Let’s take a look at how it’s being utilized to great effect there right now. Read on to know more.
Accurate royalty payments
In traditional filmmaking, royalty payments come through middlemen like production firms, distributors, and aggregators. They, of course, will take a considerable cut of the film’s earnings and often leave artists with a small amount of the profit. Blockchain technology will allow artists a more precise and accurate method and amount of royalty payment.
Smart contracts can also be used to automate these processes and make sure that everyone involved is compensated properly. It’s a fairer way of doing it as once blockchain transactions are made – they’re public and also irreversible, too. It makes royalty payments much fairer and more equitable for all. Long term it’s hoped that it’ll encourage more artists and filmmakers to want to join and contribute to the industry as they know they’ll get fairly paid for their time.
Financing of films becomes simpler
Some of the smaller or independent film studios have a great chance to find new ways of getting their projects financed when they opt for blockchain. Technology such as ICOs (Initial Coin Offerings) mean it’s easier for funds to be raised – and it’s quicker than using more traditional finance methods – such as sourcing capital investors who can be tricky to negotiate with or withdraw funding at the last minute.
Assisting with copyright protection
This is a major issue for filmmakers and more so now we’re in a digital era. Noted publications such as Forbes and Binance have written about the common privacy, piracy, and copyright issues facing the film industry and how blockchain tech offers a solution. It allows filmmakers to record the ownership rights of their work on a decentralized ledger that can’t be altered or manipulated. Once the information is stored on the blockchain – the rights of the filmmaker are protected.
Easier to distribute films
It’s always been the case that the bigger, corporate studios, movie distributors, and cinemas have had control over the movie industry. It’s often made it tricky for independent filmmakers to get their work out there to a bigger audience and make a profit from it.
One answer to this is to use blockchain tech for film distribution. It’s got the potential to disrupt the traditional methods of distributing films – and it means that indie film makers might feel more empowered to take a chance and create the film they’ve always wanted to. Again, long term this means more creative voices and diverse perspectives will get a chance to be seen and heard on the big screen.
It can help with micropayments
Blockchain is much more content creator-friendly than any other form of currency as it enables micropayments through automated settlements. It means that content that can be monetized much more effectively and content creators will receive fair compensation for films.
This has the potential to have a significant impact – film and TV shows are in traditional finance terms priced at a fixed rate and it means that consumers can’t always access individual shows, scenes, or sketches. Blockchain micropayments will erase this and make smaller pieces of content available for reasonable prices.
Fraud prevention
Blockchain technology can help to prevent fraud in the film industry as it provides a secure and transparent record of who owns and distributes the content. Content creators using blockchain create an immutable record and this can easily be verified and checked out.
It helps to prevent fraud with the clever use of forensic watermarking technologies. This can mean it’s easier to track the source of pirated content and find the people responsible for distributing it without authorization. Ultimately, this creates a more secure, transparent, and trustworthy system for everyone involved in the industry making sure they can protect their intellectual property and maximize their revenue streams.
Assisting with advertising
With films comes promotion and advertising and often huge amounts of money are spent on product placements, sponsorships, and other forms of advertising. Sometimes it’s not always possible to see how effective this kind of campaign is or evaluate the return on the investment. Blockchain can solve this by tracking engagement and working out how many clicks, views and streams an advert or promotion gets. This can help with budgeting – and ensure that money is only spent on something that will offer a real return.
As you can see, blockchain really can help to transform the movie industry and make it a much fairer and more equitable place for all – putting the creatives at the center of everything and making sure they are treated with respect, with their work being protected and therefore much safer and more secure.
