Indie Filmmaking Embraces Film3 Crowdfunding at Cannes

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A 🧵 on Crypto and NFT Film Financing This year, #Cannes2022 attendees had another event to add to 12 days of screenings, photocalls, and deal-making — the #NFT release. Alternatively, read more: 0xilluminati.com/all-content/indie-filmmaking-embraces-film3-crowdfunding-at-cannes

Like the art, gaming, and music industries, the seventh art is moving to the interconnected Internet, #Web3, and democratizing how #films are financed and distributed.

An NFT release, also known as an NFT drop, is an event at which movie producers launch their film content but notably as an NFT — a unique digital representation of content registered on the transparent digital ledger called the #blockchain to prove ownership and authenticity.

From a film prop to a full-length feature film, all film content can have a digital twin in the ERC-721 standard for an NFT. Buyers of NFTs in films can buy, sell, and trade them in NFT marketplaces like a company's shares. hollywoodreporter.com/movies/movie-news/cannes-nfts-film-industry-blockchain-1235149444/

Current Players: - Decentralized Films - First Flights - NFT Studios

@DCP_Foundation, a non-profit run by Roman Coppola with partnerships with the big agencies (CAA), managers, and distribution companies, expects some great films to evolve from its relationships with all the film schools in the US. twitter.com/DCP_Foundation/status/1525228612760358913?s=20&t=4W4YwY_8q9nJPG1S66TTDQ

@firstflightspro, a Web 3 crowdfunding model behind the first NFT-funded short film, The Dead of Winter.

@NFTStudios_io, founded by producer Niels Juul Executive (The Irishman), seeks to raise $8 - 10 million to sell 10,000 NFTs. NFT Studios plans to announce its NFT-financed film pipeline at the Cannes Film Festival.

This opportunity to democratize film financing was the main topic at Film3 events at Cannes, including the NFTCannes Summit, The Future of Film Financing at the Marché du Film, and Film3 beach parties.

Film3 Financing Models: - Fractionalized Film Ownership - Film Distribution Rights - Film Merchandise Sales

Fractionalized Film Ownership The NFT film financing model is based on fractionalized ownership. NFT holders collect a proportional share of revenues from the film and potentially collectibles. Indie producers have been the first movers in NFT film financing.

Film Distribution Rights @ThatKevinSmith plans to sell NFTs to finance and distribute his latest movie Killroy Was Here. 5,555 NFTs will be sold on the Legendao platform. Killroy NFT holders will also gain exclusive distribution rights.

Film Merchandise Sales The sales of filmobelia as NFTs could rake in more than the movie revenues. In the first quarter of 2022, Collectibles made up 76% of the $16.5 billion global NFT sales, followed by Gaming and Art (with an 8% market share each).

Following a popular trend amongst blockchain platforms, most of these NFT film studios will choose to run as decentralized autonomous organizations (DAOs).

A DAO is an automated organization whose members propose and vote on major decisions based on rules encoded in a smart contract. Thus, all token holders have governance rights to propose and vote on issues regarding what movies to finance.

Cannes has opened its doors to NFTs this year, and we have no doubt the Croisette will be rolling out the red carpet for NFT-financed films in future years. Film doesn't have an NFT category like art, games, and music, but that should change by the 76th Cannes Film Festival.

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