I like digital books a lot more than the regular book, maybe I’m the opposite of a lot of people of my generation. But that’s what I am.
So being interested in that, I started to study that domain, because I was wondering why digital books were not more advanced than that. I was comparing that market, to the music industry, to the movie industry. And I was seeing that they were far more advanced in the digital world compared to books. I realized that blockchain could bring a lot to the digital world of the book publishing industry. And from that, I decided to start Scenarex in 2015.
I studied the market a lot, the first two years in 2015 and 2016. And then after that, I realized that there was a need for publishers and authors to benefit from the blockchain.
One may be left wondering how an artist, or even a group of 1,000 artists, could generate 10,000 individual, unique NFTs so quickly. In a way, they don’t. That’s where computer software, sometimes with an underlying artificial intelligence or machine learning component, comes into the mix.
Is It Generation or Creation of NFT Collections?
The layering effect.
NFT Collections start with an artist (or artists) creating a base frame or outline of a character’s head for their NFT collection, such as an ape, punk, or cat.
The artist then creates a set of unique attributes in the form of easily manipulated digital image layers.
Nft author rights
Right at the beginning you talked about starting blogging in 2006. I started in 2008. So you started before me, and you’ve been going a long time, and you’ve built a business based on a blog.
And now we’re talking about these future things.
This is something I think about all the time. What do you do when you’re a mature business like we have, and these technologies are changing so fast?
How are you thinking about your business for the next decade in terms of what’s changing?
John: I feel like it’s very important to be an early adopter.
Obviously, we were both early adopters of the technology of blogging and that’s really paid off for us. So now, what’s the next thing that we need to be an early adopter of?
You’re doing a great job with your podcast to get your audio out there, I think that’s awesome.
Ya authors nft
For further discussion supporting copyright laws recognizing computer users initiating the creation of computer-generated works, see “Ex Machina: Copyright Protection for Computer-Generated Works and Session Two of the February 2020 USCO and WIPO event, Copyright in the Age of Artificial Intelligence.
Section 306 of the Compendium of U.S. Copyright Office Practices, Third Edition, (Compendium) explains that works by non-human authors will not be registered.
The Compendium entry references two cases from the late 1800s: Trade-Mark Cases, 100 U.S. 82, 94 (1879) and Burrow-Giles Lithographic Co. v. Sarony, 111 U.S. 53, 58 (1884).
Authors using nfts
You can do this on your own, but we recommend you combine together with others to create a community to make it easier to spread the word.
The bigger the community the better its chances are. That’s what we’ve created at BooksGoSocial. See our first collection here.
We will be expanding our community in the future as more great authors join us.
The time involved and the effort needed depends on who will provide the key graphic/cover file and what extra content you want to add.
This will depend on what your book is about.
I imagine a poetry book might include recordings of the author reciting the poems and an historical novel might explain your sources.
Authors of pain nft
If you’re with a traditional publishing house you have to be wary of whether you’re breaking your contract by creating NFTs.
We’ll let the IP lawyer sort that stuff out, but you’re right that that’s a thorny minefield.
I do think there’s all sorts of cool stuff you can make. I saw on Mintable someone had written a 64,000-word novel, and they combined all the texts into a single image. So it’s just super, super, super small writing, and they’re selling that image. So they made their book into artwork, which I thought was really cool, and not a lot of extra work. He is just creating an image from the text itself.
Joanna: Did they sell just one version of that, or did they have, say, a limited run?
John: I’m forgetting. I don’t know.
And let’s be honest, I feel sometimes I’m a little bit ahead of the literary industry, as of course, you are in this case.
We are way behind the art industry and the music industry in this, right? They’ve been doing this for a while.
John: Yes, absolutely. That’s why NFTs blew up first with artwork. It’s really easy to sell digital artwork and people are used to being like, of course, like, now I can own this digital artwork and actually prove it, not just see it, not just like see a copy of it, but actually prove that I own this artwork.
If you Google NFTs on Instagram or something, it is all original artwork, books are not quite into the mainstream part of it, but I think they will be in the future.
Joanna: I agree with you.
Let’s just think of some other things that people could do.
As a result, an NFT purchaser does not obtain the copyright or other intellectual property associated with an NFT unless those rights were explicitly transferred to the purchaser as part of the NFT purchase. Upon subsequent sales, license and royalty payments may be due to the creator or subsequent license holders.
If so, these requirements would be reflected in the NFTs metadata. This additional revenue would be taxed as ordinary income (Code § 1221(a)(3)).
CHARITABLE CONTRIBUTIONS OF NFTS
Because each NFT is unique and value is only set by a willing buyer and a willing seller, it is difficult—if not impossible—to value it.
This makes it impossible for many people looking to make charitable donations to meet necessary tax requirements.
I mean, maybe think about this more as like a Kickstarter where all the rewards are digital.
Now you might think this is crazy. You might be like, what are people doing? There are a lot of big numbers being talked about in the media, like multi-millions of dollars for music tracks or a digital clip of someone dunking a basketball and all these kinds of different things.
Artworks that you can just download for free selling for multi-millions.
Even a tweet, for example, by Jack Dorsey. [The Verge] But I actually know people, real people who use sites like Second Life who will pay serious amounts of money for a designer dress for their avatar to wear online.
After reading some of Amazon’s Terms & Conditions, it seems your access to content bought and stored on the Kindle is at Amazon’s discretion.
But the fear of losing your digital library is contingent on 1) Amazon vanishing with no warning and 2) no plan in place to support existing purchases if Amazon did go under. Similar to the way books loaned using Libby by Overdrive expire and leave your device, Amazon could pull back all the content you’ve ‘bought’ because you’ve really only paid them for access to that content.
If the ebook you buy includes an NFT you would own that ebook.
Period. No company would have a right to reclaim or remove the file from your device. Because you would have the blockchain entry showing your ownership of that specific piece of content.
The application here is sort of impractical.
Sure, you own that ebook.
People who praise Non-Fungible Tokens have yet to address the fact that ebooks are inherently fungible.
Before this century, books had to be printed. Which meant we had to kill trees, process them into paper, and expend gobs of ink to create a single book.
Books were inherently limited by their resources and manufacturing costs, not to mention distribution.
The internet changed that. A ebook file is so small, it can be sent in an email.
Anything digital can be replicated infinitely, for no cost except the power that feeds your device. Which means, if you want to sell an NFT of your book, you are going to use artificial scarcity.
Will readers buy NFT books?
Only if they’re easier or less expensive to buy than any other ebook.
The data that comprises the NFT acts as a ‘certificate of authenticity’ proving ownership of a digital asset.
One example I found helpful when understanding NFTs is to think of them as the title on your car. The document (your title or NFT) shows that you are the owner of that specific thing (your car or digital asset).
To track your ownership of the digital asset, the NFT is stored on the blockchain—giving you the security that your ownership won’t change or be ‘hacked.’
So with this technology, you can ‘own’ digital content in ways that were never possible before. That’s how a piece of digital art sold earlier this year for $69.3 million dollars.
Yeah, that’s right, someone paid that much money to own a JPG you can see in the article I linked above.