How Blockchain Will Change The Entertainment Industry
- How Blockchain Will Change The Entertainment Industry - October 30, 2018
People may associate blockchain technology with the cryptocurrency sector, but it’s not limited to this area, and it is now having a huge impact in mainstream industries across the board. We have all seen blockchain in sectors ranging from education with Sony Global Education to online casinos with FunFair technology. So much so that as time passes, more and more brands are having to take notice of this versatile tech, whether it maybe Apple or mobile casino brand mFortune.
Now, with the entertainment industry being huge and reliant in many ways on payments, contract enforcement and monetisation, it is actually perfectly suited for blockchain technology to come into play.
Blockchain’s main influence is in the payment department, and this is ideal for an industry littered with micropayment opportunities. There are websites which now require subscriptions for people to read articles or to watch content. However, the subscriptions are usually for a full month, which some aren’t happy to pay as they only want to usually read a couple of articles or watch one TV show. Blockchain tech could be used to allow micropayments, which would see users able to purchase the rights to view single articles or TV shows for example. It would be a complete game changer for a sector where the consumer wants more control and to pay less.
One common drawback mentioned regarding content is that there are restrictions in place depending on a person’s location. This applies to services such as Netflix, where the content which is viewable is determined by where the user is. With blockchain being a decentralised entity, it means there are no middle men involved, so a person’s location would no longer be a stumbling block. This is because there is nobody to block or restrict distribution, and this will be beneficial to content creators as well as the people who are wanting to view the content.
There are a lot of content creators who work within the entertainment industry who find themselves bound to third parties if they want to get their work out there. This can mean that they are restricted in what, where and who they can distribute to; as well as feeling the cost financially too. Blockchain can revolutionise this area completely, giving the power back to the content creators. Writers, filmmakers, bloggers and others could distribute their content directly to the consumer, which would see them profit from a larger revenue share. This is thanks to the decentralised nature of the blockchain, meaning traditional distribution methods can be by-passed.
Royalties explore another area of blockchain technology which will be very useful for the entertainment industry going forward. Royalties have long been an area of dispute within the industry, with payments often disputed. Every time a song is streamed for example, royalties are due, but there are often question marks over the accuracy of the payments. Blockchain technology can support smart contracts which would provide accurate payments, at faster speeds, in a more transparent way. It would be a win win situation for all parties involved, especially the copyright holders themselves.