When creators post their work or creation on platforms such as Instagram, Twitter, or TikTok, do you know that the post immediately belongs to these corporations? This results in monetization that predominantly belongs to the ‘advertisement algorithm’ of these third parties and has been so normalized that we might not think of any other way to share and monetize our work, but what if there’s another way?
NFT Briefly Explained
The Non-Fungible Token is a one-of-a-kind asset that can be bought and sold, completely owned by YOU. These digital assets can be anything from digital illustration, videos of the National Basketball Association (NBA) ‘Top Shots’, audios, and many more!
NFT lives within the blockchain which has the ability to record and time-stamped transactions permanently. Blockchain not only stores but also provides the information needed about when an NFT was traded, who’s involved, and how much was spent. This means that NFT as a technology excels in proving provenance and authenticity.
Towards an Economic Shift
Even before NFT’s existence, we’ve seen that the digital medium has significantly lower barrier entry for creators than their physical counterparts. In the world of eBooks and self-publishing, a lot more people are enabled to become writers. With platforms such as Soundcloud, Spotify, YouTube, and many others making it as easy as ever to sign up as artists and creators too!
However, monetization is still controlled by agents or third parties. Creators need intermediaries to monetize their work, whether it is advertisers, brands, or even the platform itself. Creators everywhere are inspired to monetize their own work independently and directly to their audience, without needing an agent or the need to publish their stuff physically. This condition, believe it or not, will push a great shift in our economy from an attention economy to a creator economy.
Attention Economy vs Creator Economy
Attention economy refers to how the revenue model of creative industries is about growing and renting your audience time be it to watch ads, brand deals, dropping likes, or click-through rate of an affiliate link. Attention economy makes creators really depend on brands and advertisements to make a living. As more and more fans are engaging with their favorite creators, it is increasingly clear that fans are not the priority in the attention economy, even though they are the main supporters of the creator.
That’s where the creator economy is different because the creator economy focuses and consists of platforms and tools that help democratize any kind of creative expression and direct monetization. Creator economy opens a world for creators to sell their work that caters to their specific audience. Diverse and various content that’s being produced isn’t intended for billions of users but is niched down to build lasting and passionate communities that are beneficial for both fans and creators. Unlike the Attention Economy, the Creator Economy is more about embracing the community than embracing brands!
NFT is the Missing Piece of the Creator Economy
We’re fastly growing in an era where creators need direct monetization to their fans and community, without third-party dependency. NFT is a suitable medium for this change as it’s able to give creators more power to directly monetize their work. One of the most attractive offers NFT could give to digital creatives is automatic royalties. With smart-contract (a feature that’s already embedded in the blockchain), creators can gain a percentage of profit (set by creators themselves) every time the NFT exchanges hands, which is something a physical medium can never do.
Cool! So How Much do NFT Creators Make?
NFT is really changing the content creation ‘business’. Artists like Beeple and Trevor Jones have made millions on their NFT sales. Musicians like 3LAU are designing business models where fans (and ultimately NFT owners) can access exclusive music and tickets to events. Music group Kings of Leon generated millions by selling their new album as an NFT. Gary Vaynerchuck has made millions through his VeeFriends NFT project, with some individual NFTs going for over $500K each. The least expensive three-year ticket will cost you around $40K.
With a shared royalty feature, creating has never been more financially rewarding and Enevti believes that NFTs can supercharge the creator economy even more than what we see today. This is why we’re pioneering a decentralized social media NFT-platform to connect and help fans get an authentic relationship with their favorite creator. The market is still novel and in the future, creators of any kind will be a viable career path. Creators everywhere will not only have the freedom to express themselves but also freedom financially!
Interested in becoming one of our creators? Check our Ambassador Program! Where you can get funded to create #NextEvolutionOfNFT!