DeFi - Reviving The Film Industry To Thrive In A New Golden Age
Every day, technology advances, and its effects on numerous businesses are enormous. “Blockchain Technology” is one of the technologies that has had a favourable impact on every sector. With the development of digital technology, India's Media and Entertainment Industry is predicted to reach US$ 25.56 billion by 2021-22.
Let's have a look at how Blockchain and the notion of Decentralized Finance (DeFi) are altering the film business to make it more transparent and free of difficulties.
Let us immediately get into the notion of Decentralized Film Financing (DeFiFi)
Recent Stats of Film Industry
In 2019, global box office revenue reached $42.5 billion, with North America accounting for $11.32 billion of that total. Subscription TV revenue is predicted to reach $81.4 billion by 2024, up from $94.2 billion in 2019.
The World's Pandemic Corona Virus began towards the end of 2019 and is expected to have a significant influence on the film industry in 2020 and 2021.
The United States is the world's largest film market, and Canada is not far behind.
In 2019, US and Canadian box office sales were $2.09 billion, with 3D films bringing in $1.3 billion.
As a result, one of the key income-generating businesses, the “Media & Entertainment Industry,” was ranked first since it generates a significant portion of global income each year.
Here are some facts concerning the film industry in the United States.
Effect of Pandemic on Entertainment Industry
Traditional TV, OTT Videos, Cinemas, Internet Advertising, and other areas of the media and entertainment industry exist.
The Media and Entertainment Industry has been severely impacted by the COVID'19 epidemic.
Despite the fact that downloads and usage of OTT applications and online video/audio streaming platforms surged fast during the Lockdown, theatres were shuttered, and cinema income fell by -2.4 percent in 2020.
Due to the closure of theatres to distribute movies, total US cinema revenue fell to US$3.5 billion in 2020 from US$11.4 billion in 2019.
Major Challenges in Film Industry
The creators of a film or a television series are confronted with a problem that requires additional time to resolve. When a filmmaker's or creative's script or ideas are utilised by someone else, the creative must go to court and submit a claim to reclaim ownership of his or her work. This is a tough and time-consuming process, and the primary difficulties in the global media and entertainment sector include legality, ownership, and copyright.
Lack of Transparency in Financing
In the film industry, the investors put their money into a project and they do not know the status of funds being used at various steps of film productions. This makes most individuals fear investing in filmmaking.
Drift from Traditional TV to Internet
As smartphone technology is driving the digital world, there has been a shift from cable Television networks, DVDs to the internet. Nowadays the internet streaming business platforms are making huge investments in the production of films, series,etc which results in threat for traditional film makers.
Competitive Space between Movie Theatres & Television
Prior to the epidemic, many people preferred to see movies in theatres. UHD televisions feature 4K resolutions, which is higher than the 2K resolution used in movie theatres. Despite the fact that television has a greater frame rate and dynamic range than cinemas, consumers prefer to view movies in premium cinemas.
Online Series that competing with Conventional Movies/Cinema
The traditional theatre or movie has a lot of competition these days, since online programmes are becoming increasingly popular. As a result, people enjoy watching television shows or movies at home since they deliver a theatrical feel even on a little screen.
Lack of Variety in Genres
When watching a film or a television series, people search for original material. Only those who are one-of-a-kind are able to attract and reach a large worldwide audience. As a result, people from many areas should be included in the filmmaking process.
The following are some of the more serious difficulties that the film industry is dealing with:
- Grants from the government are few for short films.
- Access to many markets is limited due to a lack of content.
- Longer working hours for little money
- Film personnel are unaware of their legal obligations.
- Reductions in taxes
- Frustration with Film Franchises
- Depreciation of film as a product, among other things.
How Blockchain & DeFi are the Rescuers?
The blockchain and DeFi are here to save the film business from its biggest issues.
Because blockchain and DeFi are based on decentralised notions, they can both help the film business, which is plagued by a lack of transparency in funding.
Bring Privacy in Data
The amount of films that have been leaked online before their release has increased dramatically throughout the years. Even while blockchain is not an end-to-end solution for privacy, records cannot be edited or erased owing to its immutable nature. Smart contracts and tokens are being used to notify content owners, search engines, and ISPs, among other things.
Simplifying the process of Sales and Distribution
It takes a long time to connect the film industry's global networks of producers, distributors, and viewers. As a consequence, blockchain technology makes it simple to connect producers, distributors, and global audiences into a single network. For the film industry, this will be a decentralised and scalable solution.
Enriching the Copyright and Ownership
It is a challenging process to establish copyrights and safeguard cinematic material when it comes to copyrights. As a result of blockchain and DeFi, authors may immutably register their ideas or scripts on the network. No one has the authority or chance to acquire ownership of the scripts that have already been registered.
Equal Opportunities for Everyone
Current Film Industry does not have a space where every player can get the same space to establish their scripts or ideas. But with blockchain , which creates absolute transparency, even small players can get the chance to produce their film and make revenues.As blockchain provides global access, investors from anywhere can purchase,sell or trade their film or script.
Easy and Transparent Financing
With Blockchain and DeFi which are Decentralized in nature, the investors can monitor the complete usage of his funds on various stages of film making and also the profits received over the projects that he has invested.
In many ways DeFi and Blockchain technology can uplift the media and entertainment industry.
DeFiFi - Crafting a New Path For Film Industry To Thrive In A Golden Age
What is DeFiFi ?
DeFiFi is the intersection of decentralised finance and the film business, resulting in an efficient entertainment system. With the rise of video streaming at COVID'19, $40 billion was trapped in the decentralised finance protocols.
Investors or film producers are the ones that put their money in early and wait for a return later.
Since there is no transparency in the film production process as to how funds are spent, how earnings are obtained, how they are assigned for distribution, and so on.
The investment choice is tricky since the reward is contingent on the film's performance, which is unknown until it is released. As a result, DeFi and blockchain technology can help solve all of these issues by establishing a new domain of Decentralized Film Financing, or DeFiFi.
How Film Productions can be carried out using DeFiFi ?
Filmmakers may use the blockchain and decentralisation to pitch their projects to the blockchain community, and the community may vote on which films deserve financing. When the projects are chosen, they will be given the funding they require from community-managed funds.
Filmmaking takes place off-chain, or offline, and requires monitoring from the DeFiFi community to ensure that money is used effectively for filmmaking.
When the film is finished, it should be made available on the platform for built-in viewers to vote on.
The final accounting process will be more open and irrevocable, removing the ambiguity about profit usability.
In today's film production process, there is less openness in the finance, production, and distribution stages. The architects of the DeFiFi community, on the other hand, have entire control over the financial assets. This increased exposure of money utilisation may encourage volunteers to invest in film projects, ushering in a new golden era for the film industry.
The Golden Era of Decentralized Film
Investing in Films made it much easier and more transparent with the help of DeFiFi which makes more financiers participate.
The more the investment available for the film production, the more the films produced and the more the supporting filmmakers with great content ideas and script which attracts more fans and audience across the globe.
Other use cases of DeFi and blockchain in the entertainment ecosystem provide participation of the audience and get rewards.
A complete digital rights management system which allows artists to register their ideas and get funds for their productions. This decentralized film era can thrive the film industry to the next level with greater transparency.
What are the advantages of the application of DeFi and Blockchain in the Film or Entertainment Industry?
Listed here are the benefits that we can enjoy by the utilization of the concept of distributed blockchain technology and DeFi.
- Reduced Content Privacy
- Improvements in Distribution of Royalties
- Increased Transparency
- For Creation & Maintenance of Smart Contracts
- Democratizing the oversights of digital assets
- Supports a dynamic and connected global network which digitally connects content producers,distributors and audiences.
These are the advantages of applying Decentralized Concept in the Film Industry.
Future of Film Industry with DeFi
As of now, there are many decentralized platforms to produce films such as Filmio,Mogul Productions and more which come under DeFiFi platforms trying to provide a decentralized film production space.
Thus with blockchain technology, decentralized finance and smart contracts, the film industry can experience the complete transparency and security of data.Thus decentralized films will be the future of the Media and Entertainment Industry which will completely rely on the decentralization concept.
Let us hope for a Sustainable and Bright future for the Film Industry with the adoption of DeFiFi !
Stay Tuned with Brugu - Leading DeFi Development Company to get up to date innovations and moves of the crypto industry as a whole.
DeFi Lending and borrowing platform are crucial elements of today’s finance, and it is effectively taken care of by loans.
In the decentralized realm, lending and borrowing can be taken care of by smartcontracts.
Another user who expects to borrow some money can borrow from this pool.
In nature, the liquidity pool functions as a bank.
If a bank can earn over the interest levied on the loan amount, people who deposit their money in the liquidity pool are also eligible to earn within the interest.
It is one of the most profitable ways to make money in the DeFi range.
10 Use Cases of Blockchain in Banking and solutions made from brugu software solutionRead on to find out what blockchain for banking is all about and explore 10 potential use cases of this cutting-edge technology for the financial services sector.Blockchain banking – definitionLet’s start at the beginning.
It’s not only about greater efficiency but also a new level of transparency and security.How can banking benefit from blockchain technology?Once we consider the specific features of blockchain, it only makes sense that the banking industry will be taking the lead in the adoption of this technology.
A blockchain is a tool that can accomplish the same but on a global scale.
Clearance and settlement systems A distributed ledger technology like blockchain could enable bank transactions to be settled directly and keep track of them better than existing protocols such as SWIFT.
An average bank transfer takes a few days to settle because it’s limited by the way our financial infrastructure was built.
Moreover, the bank balances need to be reconciled across the global financial system, which comprises a broad network of funds, asset managers, traders, and more.
The DeFi tokens have great value and demand in the marketplace, for they gained a wide range of users' attention for experiencing the digital transaction on a blockchain platform.
The DeFi tokens are safe and secure for transactions on the blockchain platform since it is entirely decentralized.
Investors can hire decentralized finance token developers from Blockchain App Factory to build their crypto tokens using blockchain technology.
