Grassroots rapper crowdfunds 200,000 US dollars for a manuscript
A rapper in his early twenties received 50 ETH with a crowdfunding message posted on a content platform, and the current price is more than 200,000 US dollars.
The price he paid for this was half the ownership of his new album. Crowdfunding participants can obtain the corresponding part of half of the ownership of his new album in the form of Token according to their crowdfunding contribution ratio.
In this message seeking crowdfunding, the young rapper named Daniel Allan also left a link to his Discord channel, inviting crowdfunding participants to join in order to strengthen connections and build a community.
This may be a way of survival for future content creators and artists, and a new model of content creation economy.
Blockchain-Based Crowdfunding and Content Creation Economy
Crowdfunding is not a new thing. It has been popular in the Internet 2.0 era. Everyone has heard of or participated in crowdfunding websites to help others' dreams, or similar drip funding. But it did not continue to prosper, because in the Web 2.0 environment, whether crowdfunding initiators can perform their contracts depends on laws, contracts, and even moral self-discipline, which requires the trust of participants and a large amount of third-party costs to achieve. For crowdfunding participants, whether the investment can make money is another matter. If they really make money, how to get this profit has huge risks and troubles.
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Daniele's crowdfunding goal was 20 ETH, but in the end he got 50 ETH
Crowdfunding participants participate by donating ETH. After donating, they will get a corresponding proportion of Token. The existence of this Token has changed everything.
The Token obtained by crowdfunding participants is not only a proof of participation, but also a proof and a way to obtain benefits in the future. All this is achieved through the combination of blockchain and smart contracts, and cryptocurrency is also a key and important part of it.
Creators can create a crowdfunding smart contract on the Mirror platform, make the created content such as articles, music, videos, etc. Owners can directly and automatically obtain corresponding benefits.
Here is a very vivid explanation of the phrase "Blockchain is a machine for making trust" in "The Economist". Because of the existence of blockchain, crowdfunding participants do not have to worry about whether the sponsor will perform the contract, and it is more convenient to obtain benefits. Convenient, efficient, and low-cost, think about how much trouble and money you have to find a lawyer to go to court.
The Significance of Cryptocurrency in the New Model of Creator Economy
The sale of ownership to obtain funds has also appeared in football. In South American football more than a decade ago, many players would sell part of their ownership to brokers or brokerage companies to share future related profits, and brokers could also get a share when players were transferred. However, due to the fact that the broker asked for a lot of money, many problems occurred, and this game gradually disappeared.
In addition to solving trust issues and income distribution issues, the new creator economy of crowdfunding through NFT and cryptocurrency has the following advantages:
1. As a currency without borders, cryptocurrency can help you spread the scope of crowdfunding to the world, which is difficult to achieve with legal currency. Take this rapper as an example, if he used US dollars for crowdfunding, it would be very difficult for me as a Chinese fan to participate, not to mention those financially underdeveloped countries in Africa, where many people don’t even have bank accounts. Could not participate in such an opportunity.
2. The liquidity of cryptocurrencies gives investors a good exit mechanism. The rights and interests attached to the cryptocurrency are guaranteed by the smart contract and are not bound to the physical reality or the holder. Therefore, there is no need for a third party to intervene in the transfer transaction, and the new holder can still directly obtain the rights and interests. There is also room for its speculation here, which may bring higher returns to holders.
3. Through cryptocurrency, creators and fans have common interests, and will form a relationship of mutual assistance, mutual benefit and mutual assistance. Just like traditional VCs will provide post-investment services for entrepreneurs, crowdfunding participants will be more proactive in providing Creators increase popularity, provide resources, etc.
Compared with the current situation where artists, entertainers, creators, etc., and fans are unilaterally "just eating" and fans pay a lot but have no benefits, the relationship between creators and fans should be correct, and creators rely on fans To gain benefits, the two should be a win-win and "mutually working" relationship. For the creators, the funding problem has been solved, and they have a core group of fans, who are the original shareholders after all (although not fixed); , then the gains could be considerable.
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Half of the big rocket you swiped for your favorite anchor flew into the pocket of the platform
To sum up these advantages and features, the income is directly confirmed to the Token, and at the same time, it has openness, liquidity and win-win cooperation.
Based on the creator economy in the encrypted world, the core is the ownership of content. The boundary between fans and creators is becoming increasingly blurred. When the ownership of the author's works is developed to the community, the nature of the creator has changed significantly and will be born accordingly. New incentives. Everyone participates in the ownership of the network they belong to and gets more for their efforts, which is the driving force of human collaboration.
Over the past 3 years, YouTube has paid over 2 million creators $30 billion. The cultural influence of creators is surpassing that of traditional media. Top YouTube videos may have 5-9 billion views each; by comparison, NBC primetime has only 4 million viewers. There are already many people who have become rich through live broadcasting and social media. When machines replace human beings, more and more people will enter this field. Data show that so far this year, creator economy startups have attracted $3.7 billion in investment, many of which provide new monetization tools, content creation platform Mirror, music creation platform Melos, and more.
But obviously, the iterative changes of Internet celebrities tell us that this is a job of panning for gold in the sand, and it is not easy
