How Can a Blockchain be Used in the Entertainment Industry?
The entertainment industry operates on a legacy model that excludes creators and fans from key pieces of the TV and filmmaking process—but a blockchain can help fix this. The blockchain is applicable to far more than bitcoin transactions. Innovators have used blockchain to optimize operations across various industries, from finance to the supply chain.
What’s Wrong with the Entertainment Industry
The entertainment industry is uniquely connection-dependent, with access to people in decision-making positions gained largely through the laborious drip of face-to-face contact and busting through practically impregnable circles of separation. Stories abound of talented creators who have scripts or the beginnings of a promising project, but who ultimately find it impossible to acquire meaningful investment and connect with the necessary studio executives to bring it to life.
This model results in a bottleneck. A small percentage of ideas actually make it to an executive’s desk, and studios naturally gravitate toward what they think will be profitable based on past successes and their personal biases.
But a majority of emerging creators lack the resources to produce their projects, let alone distribute them to a mass market. Plus, fans have no say in what gets made—they are expected to pay for what is presented to them without any pre-production input regarding what they would like to see. To a studio, as far as pre-production decisions are concerned, fans speak only with their pocketbooks on previously distributed films.
These convoluted, backward-facing processes would benefit tremendously from blockchain technology. Thanks to blockchain’s distributed, transparent and immutable nature, a more accessible, streamlined and democratized entertainment industry is in sight.
How Blockchain Solves These Problems
A blockchain is a cryptographically secured public ledger that immutably records transactions and exchanges made over its system. If you were to trade any fraction of a token or cryptocurrency, then the blockchain would store this information in a series of “blocks,” so that you and the other party always have a reliable and immutable source of transactional history that you can refer to.
This technology is surprisingly liberating. Blockchains are decentralized, meaning they do not store data in one specific location. Pre-blockchain organizations store information in enormous data centers, but these data centers are vulnerable to cyber-attacks and physical damage because they have a central point of failure.
On the other hand, a blockchain stores information across a distributed peer-to-peer network of computers called “nodes,” so if one node is compromised, the other nodes can still maintain the system with perfect reliability. As long as a quorum of nodes are online, the blockchain will continue to operate as designed.
When applied to the entertainment industry’s problems, a blockchain could make the opaque processes within the entertainment industry far more transparent. Creators are then able to connect more efficiently with investors because of the peer-to-peer nature of blockchain technology.
Fans would be able to participate in a previously exclusive model, provide feedback on projects and express their opinions about what they are willing to watch in return for token-based rewards.
Financial practices and decision-making processes now have the ability to become peer-to-peer and more transparent, so fans and creators can hold executives accountable and reduce the bias in Hollywood.
Essentially, a blockchain would force the industry to be consensus-based, or, in other words, more democratic.
How Filmio Uses Blockchain
The Filmio Decentralized Platform (FDP) runs on the EOS blockchain. On Filmio, creators can take their ideas and circumnavigate the traditional Hollywood model. By hosting a virtual space where creators, fans, investors and studio executives can all access the same information, Filmio provides independent and up-and-coming creators with an unprecedented number of opportunities to develop their projects.
Instead of relying on personal connections, both fans and studios have a broader reach when it comes to procuring what they need from the other (i.e., validated, original ideas for studios and resources and distribution for creators).
Likewise, blockchain makes more room for fans to rate and review project ideas, which investors can use to determine which projects are worth contributing to. Filmio’s platform incentivizes fan participation with the FAN utility token.
On the FDP, creators’ projects move through a system where fan interactions (such as general reviews or in-depth feedback) generate a one-of-a-kind validation metric called a Go Score. The Go Score is a series of algorithms representing the majority fan opinion: once the score reaches threshold, the creator’s project moves on to the next phase, where creators can network with studios and investors. This community-derived metric allows Filmio to create an environment where only the best, fan-validated content gets made.
On Filmio, fans play a role beyond being mere spectators, and their interactions with creators create data points for studios to factor into their decision-making.
Blockchain is Leveling the Playing Field
The entertainment industry’s current system is a dammed river where ideas attempt to flow from one end to the other, but very few ever reach the other side.
Fans are forced to sit on the pre-production sidelines, unaware of what is happening until movies and TV shows are made. Unfortunately, this increases the chance that a film or TV show flops or wastes a viewers’ time.
Blockchain technology bridges this river and allows fans, creators and studios to interact more meaningfully and transparently than ever before.
If you are interested in Filmio’s platform you can sign up for early access on our website and learn more about Filmio through our Telegram channel and Facebook page. When everyone in the entertainment industry has equal opportunity to participate, the resulting movies and TV shows will be better because of it.