As cryptocurrency has evolved, it has become clear that it has the potential to drastically change a number of different industries. One that is often overlooked, however, is entertainment. Cryptocurrency is more commonly analyzed with regard to its potential effect on international trade, investment markets, and even banking. But when we look a little bit closer at entertainment, it becomes clear that crypto is already changing this industry as well — not just regarding the music business, but also in film, casinos, and video games.
In time, cryptocurrency may well touch every aspect of entertainment as we know it. For now though, let’s look at some of the changes we’re already seeing and hearing about across the different facets of the business just mentioned.
Music
In music, as we know, there are never-ending efforts to enable artists to be adequately compensated for their work. And today, this manifests in an interesting tug-of-war between individual promotion and mass streaming. Regarding the former, artists can secure more business for themselves through social media outreach, Patreon accounts, and other means of directly interacting with fans. As for the latter, it is also in artists’ interest to release their music to streaming platforms like Spotify, Soundcloud, and even YouTube — which don’t always provide as much direct compensation.
Now, however, cryptocurrency is on the cusp of offering a fresh avenue to artists. As reported by Inverse, artists are now releasing music as NFTs (non-fungible tokens), which from a tech standpoint are basically crypto coins. A song or album can be engineered as a unique digital product that can be sold directly to individual customers, potentially giving artists more autonomy over their own earnings.
There are also some more creative ways in which artists have begun to explore using cryptocurrency. One is to sell tickets via blockchain-based digital transaction as a means of cutting down on ticket scalping for concerts. It is more difficult for sellers on secondary markets to attempt to profit off of resale price hikes when assets can be tracked from one purchase to the next — ultimately meaning that fans should see fairer prices without artists earning less.
Even more creative is the notion that some musical artists might begin to use crypto tokens as a means of funding activity in return for special perks for fans. The way this would work is that an artist or band would develop its own cryptocurrency that fans could purchase, with the proceeds going toward anything from studio time to funding a tour. In return, fans could either keep the coins as digital collectibles with appreciating value or exchange them for exclusive merchandise or something of the like.
Film
There are various ways in which cryptocurrency and the underlying blockchain technology are impacting the film business. The first thing mentioned regarding this topic tends to be that blockchain tech can be used to solve piracy issues in film distribution. But there is also potential for cryptocurrency itself to meaningfully disrupt the film industry — in this case, through funding. Already there are a few examples of small-scale films that have been funded via cryptocurrency, and this could ultimately prove to be a growing trend. Whether through ICOs (new crypto tokens investors could buy essentially to “invest” in films) or simply outreach to crypto enthusiasts, we could begin to see movies that wouldn’t otherwise get made rounding up the funds to give it a go.
Casino Gaming
Just last week Now Hear This President Bruce Wawrzyniak returned from a week-long trip to Las Vegas where, among other activity, he met with a current client, a past podcast guest, and certainly saw and heard lots of ringing machines. Casino gaming hasn’t seen a massive impact from cryptocurrency just yet. That said, we’ve likely seen the beginnings of such an impact in the form of some early crypto-driven gaming platforms. Basically, these platforms allow gamers to play poker, spin digital slot reels, and more — depositing and winning cryptocurrency rather than regular cash. A lot of gamers prefer this option for the perceived security, speed, and anonymity that come with crypto transactions.
Even more significant than this, however, is the possibility that cryptocurrency could be a sort of gateway for the return of the entire online poker business to the United States — which was once a massive market. Right now, a majority of states still prohibit the use of real money at online poker sites. According to Poker.org, however, there is a chance that sites operating with cryptocurrency can get by without violating the law. We can’t say for sure, but this might ultimately lead to more poker rooms embracing cryptocurrency in an effort to reopen the U.S. online casino market.
Video Gaming
Twelve days ago on Episode 384 of the weekly “Now Hear This Entertainment” podcast you heard composer, artist, and producer Steve Ouimette talk extensively about all the work he has gotten with the likes of Guitar Hero and Just Dance, among others. Video gaming also figures to see a lot of benefits the further we advance into the crypto era. Some of these benefits are similar to those mentioned in categories above. For instance, game creators might, like musical artists, gain more autonomy regarding payment and distribution. Aspiring developers may, like filmmakers, find that they can get their projects funded more easily. And games themselves may be distributed via blockchain. However, additional benefits explained by Hackernoon speak to how cryptocurrency may actually change the experience for gamers as well — primarily by infusing games with tokens and NFTs that carry real-world value. Players could conduct transactions, earn wealth through in-game achievements, and more.
In all of these ways, different facets of the entertainment business are being altered and shaped by cryptocurrency. And it’s likely that these changes have only just begun.
Josh Frazier is a freelance writer and blog contributor based in Texas. He writes about topics relating to tech, startup culture, investing, and cryptocurrency.