Blockchain application in Media and Entertainment

Blockchain is currently one of the most widely discussed and hyped technologies. It has the potential to disrupt existing but also to enable new business models — The top 3 key takeaways in the blockchain technology in the media industry are: New pricing option for paid content using Blockchain: Blockchain makes even micro-cent payments cost-efficient. Current cryptocurrencies, such as Bitcoin or Ethereum permit transactions as small as fractions of cents. It is thus an enabler for penny price content purchases, such as paying for reading a single news article or streaming a single song. Also, traditionally ad-sponsored content such as YouTube videos can be monetized with an “ad-free” alternative for a small fee. — Consumption of paid content without boundaries: National / regional limitations of paid content subscriptions and DRM complexities will be decreased by the Blockchain. Blockchain is not a technical prerequisite for this endeavor since more sophisticated Digital Rights Management systems are also capable of dealing with complexities like multi-country access. Nevertheless, the blockchain has the potential to make DRM systems obsolete or at least to reduce the complexity of these systems, because every transaction/ consumption is tracked in the blockchain and directly linked to a user. The payment will be automatically initiated according to the underlying smart contract terms for the content. — Smart contracts: Ethereum, the second-largest blockchain network by market capitalization, was the first platform to introduce the concept of a smart contract. Smart contracts enable counterparties to automate transaction tasks that are typically performed manually and that require the involvement of third-party intermediaries. Smart contract technology can result in processes that are faster and more accurate and cost-efficient. — Challenges in implementing blockchain technology: — • Trust in blockchain technologies and platforms — • Opaqueness of blockchain platforms and standards due to quickly-changing market participants — • Usability and reach of blockchain technologies in everyday environments — • Interoperability of platforms and various standards needs to be secured

Published

2018-10

Content type

Original Research

Keywords

blockchain, media, broadcast, bitcoin

DOI

10.5594/M001857

ISBN

978-1-61482-960-7