Blockchain technology was initially intended to be used for bitcoin-based peer-to-peer electronic transactions, with the bitcoin whitepaper launch 14 years ago little did bitcoin founders know their work would amount to such immense use case, the technology has its way to different organizations, which includes health care, automobile, education, agriculture, finance and more, today we are gradually seeing an increase in blockchain use in different sectors/departments across the world.
Blockchain which is essentially a distributed ledger, an immutable protocol that only validates data based on the authenticity of miners/validators' agreement can not be subjected to manipulation, these give blockchain its vast use case for data protection in various organizations it finds application.
Blockchain's role in the entertainment industry
A significant role blockchain technology plays in the entertainment industry is the flexibility for artists to create their content/artistic artwork and convert them into None-fungible tokens (NFTs) this gave room for users to become popular celebrities overnight, it has also created a wide distribution of artistic work which can not be duplicated by other users, the key role blockchain has played is it has helped eliminate piracy of copyright work by protecting original owners of artwork.
Blockchain technology made it easier for art owners to share their content with the world bypassing centralized rigorous paperwork, in other words with smart contracts execution third parties are eliminated making businesses and sales of art pieces more accessible between artists and buyers.
Application of blockchain technology in the entertainment industry
Like other sectors blockchain has impacted the entertainment industry in the following ways.
Decrease digital piracy;
For years the entertainment industry has devised means of tackling copyright infringement, handful amount has been spent still to no avail, but with blockchain technology's inception these problems have drastically reduced as artistic works can now be recorded on the chain assigning each owner with a digital identity token which can not be duplicated by impersonators, this concept brought about the idea of None-fungible tokens (NFTs)
Reduce third-party dependency;
According to one report, the US music industry spends an all-time high of $43 billion per year, but artists only receive $5 billion, or about 12% of that total.
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The likes of youtube, Apple Music, and Spotify serve as a third-party intermediaries used by artists to display and sell out their products sometimes these artists get low paychecks for their time while the big share goes to these streaming channels.
Blockchain technology has bridged a gap making artists host their products to the world with low-cost budgets on different marketplace without the need for big advertising companies.
Business flexibility
With blockchain smart contracts, artists can track their sales on the go, which will help improve business relationships among users, and transparency will also be built which will increase trust and credibility of users' transactions.
In addition blockchain technology has driven young talented artists to set up a cash flow stream of income platform from scratch with low-cost capital and have become quite successful through sales of their original artwork on different blockchain-based marketplaces with little help from intermediate bodies.
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How will Blockchain technology impact media and entertainment industry?