Read on Twitter
Answer: . . .because this NFT isn’t the image, it is a LICENSE to the image.
1/Here is a thread about why the NFT-as-LICENSE view is completely disruptive to digital creation.
https://twitter.com/boxmining/status/1295944174529703937
1/Here is a thread about why the NFT-as-LICENSE view is completely disruptive to digital creation.
https://twitter.com/boxmining/status/1295944174529703937
2/For most digital content — images, photographs, videos, blogs, music files — ways of monetizing it are few and far between.
A stock photographer might move prints for a few bucks on an online marketplace.
A blogger might earn from some ads on her blog.
A stock photographer might move prints for a few bucks on an online marketplace. A blogger might earn from some ads on her blog.
3/
A musician might sell the rights to her songs to a record label, in exchange for money and a contract.
...but by and large, creators either don’t own the rights to their work (musicians) or monetizing those rights is very difficult (ad blogging).
A musician might sell the rights to her songs to a record label, in exchange for money and a contract....but by and large, creators either don’t own the rights to their work (musicians) or monetizing those rights is very difficult (ad blogging).
4/The magic happens when you add NFTs, scarce digital LICENSES for online digital content!
And if you sprinkle in #blockchain, you get disruption.
-> NFTs + blockchains enable global, public
secondary markets for all digital content LICENSES. <- https://blog.coinfund.io/what-we-look-for-the-9-core-value-propositions-of-crypto-networks-88b04d09d873
And if you sprinkle in #blockchain, you get disruption.
-> NFTs + blockchains enable global, public
secondary markets for all digital content LICENSES. <- https://blog.coinfund.io/what-we-look-for-the-9-core-value-propositions-of-crypto-networks-88b04d09d873
5/A LICENSE to content confers certain fundamental rights:
- The right to own & keep
- The right to sell & lend
- The right to royalties
- The right to confer reuse
Today most such rights live on balance sheets of private corporations. NFTs allow them to be traded in public.
- The right to own & keep
- The right to sell & lend
- The right to royalties
- The right to confer reuse
Today most such rights live on balance sheets of private corporations. NFTs allow them to be traded in public.
6/Secondary markets for RIGHTS to digital content are a game changer for creators, investors, and incumbents.
The music industry alone pulled in $11B in 2019, suggesting that the market of music rights might be worth hundreds of billions in perpetuity. https://www.billboard.com/amp/articles/business/8551881/riaa-music-industry-2019-revenue-streaming-vinyl-digital-physical
The music industry alone pulled in $11B in 2019, suggesting that the market of music rights might be worth hundreds of billions in perpetuity. https://www.billboard.com/amp/articles/business/8551881/riaa-music-industry-2019-revenue-streaming-vinyl-digital-physical
7/In the future, @taylorswift13 will be able to sell NFTs representing the legal rights to her songs or albums.
Why would you buy the NFT to “Folklore” when you can listen to it on Spotify?
Because you also receive the royalties from the album’s 7-figure sales.
Why would you buy the NFT to “Folklore” when you can listen to it on Spotify?
Because you also receive the royalties from the album’s 7-figure sales.
8/For content like visual art, most creators don’t realize they can monetize works at all. Digital creators put works up on sites like Behance, hoping to get a gig.
With secondary markets for visual art, they can transact directly with consumers. https://www.behance.net/
With secondary markets for visual art, they can transact directly with consumers. https://www.behance.net/
9/Overall, NFTs will create secondary markets that unlock tremendous latent value that today is in the form of private rights and private LICENSES.
There’s still a lot more to be built, but this is one of the biggest opportunities blockchain technology brings to the Internet.
There’s still a lot more to be built, but this is one of the biggest opportunities blockchain technology brings to the Internet.
