WHAT WE DID
- Workshops
- Litepaper content strategy
- Litepaper copy
- Litepaper design
- Brand identity & standards
WHO?
Our client is a young founder with a passion for filmmaking. With several years of film industry experience under his belt, he had been fortunate to work on a range of incredible projects across the world, including in the US and China.
WHY?
Our client came to us as, while he loved working in film, he had recognized the gruelling challenge filmmakers faced to secure funding, particularly indie filmmakers. With the increasingly widespread adoption of Web3 technology across most industries, our client believed there had to be a way that decentralised technology could make finance more accessible, particularly for up-and-coming, indie filmmakers in emerging markets.
HOW?
We proposed the idea of an investment DAO (Decentralized Autonomous Organisation), that would leverage blockchain technology to enable filmmakers to crowdfund for their films. A DAO is an X. An investment DAO, more specifically, would allow film fans, investors and filmmakers to collaborate and X.
Film financing almost never flows from a single source – getting an individual film funded at a professional level usually requires an intricate balancing act between multiple investments, debts, and deals (that are often unconnected in any way except their purpose). These are the pain points for traditional centralized film financing:
Grants – Often managed by governments in order to stimulate employment, the local economy, and, possibly, tourism based on promotion of the region or culture.
Tax Credits and Incentives – Productions can only take advantage of them after the film is finished and all bills are paid.
Private Equity – Independent filmmaking is a high-risk investment, and high levels of risk tend to be faux pas for private investments over the long haul. Independent films rarely make money for their investors, and you must disclose this risk as well as all other investment risks or you could be held liable for misrepresentation and/or violating other securities regulations.
Crowdfunding – Depends on whether or not you can gain access the right audience.
Presales – Requires the filmmaker to either repay the loan based on the pre-sales or a direct payment from the distributors before profiting on the film, and the filmmaker will likely have to personally guarantee the loan or advance payment in the event the film cannot be completed.
Loans/Bridge Financing – A filmmaker will likely have to personally guarantee a loan and put up the film and related intellectual property as collateral.
Deferred Payments – The “risk takers” are working for free and relying on the film’s success for payment. Certainly a gamble especially since all deferred fees will likely be paid only after the loans and investors have recouped.