Protecting intellectual property has become one of the great challenges of the internet era. A 2017 IP Commission Report found IP theft exceeds $225 billion in losses per year, and could be as high as $600 billion. These thefts include the reuse and forgery of art, music, movies, blogs, videos and other content that leave creators with few options for payment or legal recourse.
A new blockchain-based IP asset exchange platform could help by protecting creative work and by making sure that creators get paid. Ink, a Singapore-based venture, has developed a blockchain-based platform for content producers that provides a secure environment to manage, protect, share, trademark, promote and sell original work.
At the heart of the platform is INKubator, a Qtum-based intellectual property asset exchange that acts as a corridor for content-to-liquid-asset conversion and token issuance. The asset exchange features three elements:
- A talent scout system, to find high-potential original content based on the experience of industry experts, and analytics-based assessments.
- A commercialization system that supervises all transactions on the IP Asset Exchange to protect the ecosystem, while promoting commercialization of creative works.
- A smart contracts payment system that allow for conversion of assets into currency.
Additionally, INKubator is a crowdfunding platform that uses cryptocurrencies such as bitcoin, ethereum, Qtum and Ink. A percentage of the copyright proceeds are reserved for crowdfunding purposes.
These features allow content creators and end users to exchange IP for Ink tokens. The platform ensures that only the creator of the content and end user can participate in the exchange, which reduces the risk of piracy, plagiarism or other forms of theft. A decentralized blockchain-based ledger is used to verify the IP ownership and the exchange of ownership for tokens.
Thus, the Ink team is building a platform where creators can generate more value from their content while eliminating the middle man. The platform also gives customers and fans a way to access and rate content, allowing the highest quality material to gain visibility. High quality work become discoverable while protecting ownership and control of the creators’ intellectual property.
A new kind of marketplace
Blockchain is much needed innovation in the creative world. Content producers have long needed a way to promote and sell their work, and turn them into liquid assets for the best possible value. Artists retain more of the value by cutting out the broker or publisher.
How does it work?
Imagine Michelle creates a digital painting and posts it to the platform. David sees the painting and wants to purchase it, so he reaches out to Michelle, and they agree to a price of 10 Ink tokens. David transfers the tokens to Michelle, and in exchange she transfers the painting and its proof of ownership to David.
The transaction is captured and tracked in the public ledger so that all users can see its status. This ensures that disputes over ownership can be resolved. Each piece of content is documented as an asset, and any exchange of assets is recorded, thus verifying ownership.
Artists will still have to actively promote their work, but Ink’s platform will help level the playing field as well as make it possible for talented creators to gain the recognition and compensation they deserve.