blockchain application

4 Ways Blockchain Technology Will Affect The Movie Industry

Have you heard of the bitcoins? This digital currency has been around for many years now and its value has increased considerably. Many people are finding bitcoin very useful. The technology behind bitcoin is the blockchain technology. Though this technology was primarily invented for financial transactions, now it seems to be useful for other reasons as well. The blockchain is a decentralized scalable database that anyone can access online.

An infinite number of transaction records are available in a cryptographic form that people can access without the control of any third party. Like other industries, the movie industry will also be transformed because of the blockchain technology. Independent producers, the big filmmakers, and the distributors will all benefit from this new technology.  

How Blockchain Techcnology Will Affect The Movie Industry

Funding

Getting fund for a film has never been easier. Anyone can fund a movie, including the fans, using cryptocurrencies and smart contracts. So, small and independent producers no longer have to work hard to get their fund for the movie. Once you have the script, artists, and technicians ready, you can record on the blockchain and ask for funding. Anyone from around the world can contribute to the funding of the movie and get paid their share of investment within minutes after the release of the movie. Digital assetst like cryptocurrencies, designed as a medium of exchange valued as money make the change possible for independent films. Investing in these big mining ICO offerings by companies are a good way to get ahead of the game, with each holding their pros and cons. For example, companies like USI- tech already hold a strength in experience and knowledge in FOREX trading but their cryptocurrency trading technology USI offers is weak.

Distribution

The movie industry has seen a lot of changes in the past years. Now a movie is released internationally, not in just one country. A network of distributors works together so that a movie can be released simultaneously in more than one country. International partners, local distributors and online channels like Netflix work together for a movie’s release. This complicated scenario can be simplified using the blockchain technology.

For example, a smart contract can set up the terms and conditions between distributors and producers in minutes. Once the contract is recorded in the blockchain, actions will be triggered automatically according to the contract. For example, if a distributor is supposed to receive 5% of the revenue then after a film is released the records in the blockchain will be updated and the distributor will get his share of the revenue automatically within minutes.

Copyright

Copyright issues are common in the movie industry. When you think of creating a movie, you need a script, an artist, technology, etc. The scriptwriter can come up with an original piece of work or adapt the story from a book or someone else’s idea. Registering for a copyright is expensive and copyright infringement can get you penalized. If you are an independent producer and you are charged with copyright infringement then you may find it extremely difficult to pay the penalty.

It is also difficult to track a piece of original work. Blockchain technology can be very helpful in this case. For example, if you have written a story, you can record it in the blockchain. The record can be tracked forever. So, if someone else writes a story and records it in the blockchain, any material that is copied will be identified by the blockchain and reported. Original artists will get their shares of royalties. So, you can get rid of both high fees of copyright registration and copyright infringement penalties with the help of the blockchain technology.

Piracy

As things are digitized now and movies are meant for a global audience, piracy has increased. Piracy can result in millions of dollars of losses in revenues for the movie industry. It can be difficult to track down distributors who are involved in piracy. With the help of the blockchain technology, you can easily find out who is involved in piracy and take actions against them. Film content can be encoded on the blockchain using cryptographic transaction. Any access to the content can only be done by transactions on the blockchain.

The blockchain technology allows transparency. There are many companies now that are using the blockchain technology. For example, the Australian blockchain start-up Veredictum registers scripts on the blockchain. They are using smart contracts also for making deals. This technology will remove all the controlling power of the intermediaries and large players in the movie industry. It will give small players the chance to showcase their talent and earn a profit. 21 Million Project is another startup that sources talent, crew, and locations from anywhere in the world.

With the blockchain technology, everyone involved with movie making will know where the production money and the earning after the release of the movie is going to. Everyone will get the right share of their contribution in making a movie. So, no one will be cheated and they will get whatever they are entitled to. The artists will now be in charge, there won’t be any intermediaries exploiting their talents. The movie industry has a very bright future with the blockchain technology.