Few things in the past few years have caught the world’s attention in the same way that NFTs have. People couldn’t believe the staggering fortunes digital art creators were making from selling their creations online.
This phenomenon fueled the already roaring fire that was the crypto industry. Even in the online casino industry, players began opting for digital currency when receiving, for example, their bet777 bonus.
Unsurprisingly, it wasn’t long until Hollywood came knocking. That is how movie tokenization became the next big thing in Tinsel Town, and the rest is history.
What Is Tokenization?
NFTs, or non-fungible tokens, are a form of digital art that allows creators to enjoy a lot more control and ownership of their creations. With tokenization, real-world assets can be converted into digital works, which can be added to a blockchain for storage, management, and trading.
In movies, tokenization is a revolutionary approach to filmmaking that allows a new way to finance and distribute films based on leveraging blockchain technology. This method is used to transform revenue streams, rights, and film assets into NFTs, which can then be added to a blockchain platform.
If you want to invest in a tokenized movie, for example, you will simply buy the digital tokens for that film. When the movie is released and starts making money through ticket sales, merchandising, and streaming, you can make a return on your investment when profits are distributed to token holders.
Benefits of Movie Tokenization
As a relatively new approach to filmmaking, not many people understand the benefits of movie tokenization. Consider the following advantages:
- Fractional Ownership
Imagine being able to own a small part of your favorite movie. That is a dream shared by many film fans around the world. With movie tokenization, this is now possible through fractional ownership.
Even with a very small capital investment, you can own a part of a world-famous movie. This makes investing in the film industry a lot more accessible to ordinary investors. As such, films that were struggling for funds can find a way to access financing.
- Inclusivity
When a movie is tokenized, the decentralized nature of the NFT world allows the process of investing in the film to be democratized. Any type of investor can take part in the filmmaking process, from film fans to Hollywood executives.
Also, it will be easier for film producers to design and implement crowdfunding campaigns that offer investors digital tokens in return for putting their money into a movie.
- Transparency
While the names of film executives working on a movie might be known, the way they finance production has always been a mystery, especially considering the many millions of dollars it takes to budget for production these days.
However, as with all other types of blockchain transactions, there is a lot of accountability and transparency when it comes to movie tokenization.
Every token that is purchased is instantly recorded on the blockchain, which gives investors an easy way to get real-time insights into how their investment is performing.
- Direct Engagement
Never before has there been such a platform that offers direct engagement between audiences and movie makers. Tokenization allows fans of the movie to feel as if they are also participating in the production (which they are). As a result, the relationship between filmmakers and their audience will be strengthened, which allows for a wider platform to discuss future projects.
- Liquidity
Having large sums of cash readily available at a moment’s notice is something major film productions have struggled with for many decades. At times, liquidity issues can significantly hamper the production process.
However, with tokenization, the constant movements of tokens from one investor to another on the blockchain provide filmmakers with easy access to a large sum of money when film production needs an injection of cash.
- Global Access
There was a time when you had to be in America or another first-world country if you wanted to be an investor in any major international film. However, tokenization has broken down those barriers.
No matter which part of the world you live in, you can access the blockchain and invest in whatever tokenized movie you want. This has turned the art of filmmaking into a global movement with untold potential.
- Connection with Fan Base
Both the filmmakers and fans of the movie have always craved more connection. In the past, this has been limited to social media and film conventions.
However, with both parties being integral parts of the same film production, platforms for building connections have increased. Such platforms allow for the exchange of ideas that often lead to the creation of better movies in the future.
Examples of NTs in the Film Industry
You may be wondering which movies have been tokenized into NFTs recently. Some of the names on this list may surprise you. Consider the following:
- Zero Contact – This was one of the first movies to embrace NFT tokenization. It was divided into ten segments, with each segment being made into an NFT. As a new method of financing, this move toward NFTs received a lot of attention in Hollywood.
- Stoner Cats – One NFT-powered animation (Stoner Cats) proved to be unique in many ways. It utilized the power of blockchain in both its financing and distribution. Fans were able to purchase NFT versions of their favorite characters in the animation.
- Bull Run – This film created a major buzz around the world when it managed to finance itself in just 24 hours. Suddenly, movie producers around the world were ready to sit up and listen. Such a rapid success showed the world that the role of NFTs in the movie world was a lot bigger than they thought.
Final Thought
Being part of the digital currency world does not have to be limited to just enjoying the occasional bet777 bonus when playing casino games.
Movie tokenization has opened up a whole new world for movie fans to explore. Even with a small amount of money, you can be a part of your favorite franchises and have an NFT in your name eternalized on a blockchain.
