Can Copyright be Tokenized?
Non-fungible tokens (NFTs) have taken the world by storm, with the success of play-to-earn games and projects such as Bored Apes. However, there are many other industries in which NFTs can be applied to achieve specific business goals. In this article, we will explore a specific example of a real-world application. One example is Tokenized patents and copyrights, which can benefit from this technology in several ways.
Patents and Copyright
The current patent system relies on patent registries governed by authorities to register, cancel, and track licenses and ownership. However, it can be difficult to put the value of patents on a balance sheet.
There are many lawsuits over intellectual property theft or disputes to determine the originality of an idea.
The problem is, how do you value a patent? How do you put a patent on a balance sheet and what do you then do with that patent? There are companies that just buy patents, such as those that buy domains for websites.
For all companies that own patents, the use case for an NFT is clear: they can now tokenize those patents. And this is where the greatest value arises. Making it possible to buy, sell, lease, or license them. They can also be divided so that potential investors can own a portion of a patent and split the income from its use.
Reasons for Tokenized copyrights
NFTs are a great way to protect and tokenize intellectual property and patents.
NFTs provide proof of ownership and track the entire history of intellectual property (IP) securely recorded on the blockchain. The blockchain is immutable, which means that the owner of the NFT could prove that they are the original creator of the work at any time. This makes NFTs a practical tool for automating and simplifying these processes, providing a more liquid experience for innovators and investors.
Once digitized, NFTs can be used to record and track the entire IP history. Any change, update or history of ownership can be tracked at any time and securely recorded on the blockchain.
IPwe and IBM proposed IP tokenization using NFTs to represent patent records and securely record them on IBM’s blockchain. Once the infrastructure is in place, patents will be easier to track, sell, trade, market, or monetize, providing a more liquid experience for innovators and investors. NFTs have made it possible to protect intellectual property and patents, allowing users to prove ownership and track the entire history of IP securely recorded on the blockchain.
In summary, NFTs for patents and copyright is a valuable tool for protecting intellectual property. Leveraging this technology, companies can take a competitive advantage and achieve real business goals. The possibilities are endless, and the potential for growth is enormous.