TL;DR
The ownership economy is highly profitable, with a market size estimated at $104.2 billion as of 2022. Intellectual property (IP) provides the basis for making money from creativity. To succeed in the upcoming ownership economy, individuals must become owners and create a symbiotic creator community by developing minimal creating skills and curating before writing.
*This article is the first post of the week 1 of the Ethereum.org Writers Cohort in May 2023.
Table of Contents
Growth and Future of Ownership Economy
Ownership economy : Value Capture Your Media Asset
Content is King - Hubspot's Acquisition of Hustle for $3 Billion
Conclusion & Preview of Next Episode
1. Growth and Future of Ownership Economy
Global Creator Economy Market Predictions
The creator economy is highly profitable, with a market size estimated at $104.2 billion as of 2022 - more than double its value since 2019. Some interesting facts about the creator economy include:
an average of 2.67 million simultaneous viewers watched Twitch streams on over 95,000 live channels (2022).
The global eBook market size is estimated to be valued at US$ 19.95 Billion in 2022 and is projected to reach US$ 32.19 Billion by 2032.
YouTube has over 2.6 billion users worldwide.
IP(Intellectual Property) : monetize your creativity.
Then, let’s ask. What is the definition of intellectual property?
Intellectual property rights are legal protections given to intangible creations that have value, such as knowledge, information, technology, expression, and representation. These creations are generated or discovered through human creative activities or experiences, and are worth safeguarding. The term "intellectual ownership rights" is also used to describe these rights.
In essence, intellectual property (IP) provides the basis for making money from creativity. Creativity is often viewed as a mere hobby, overshadowed by practical concerns such as obtaining college degrees, finding employment, and buying a house. Even when we engage in creative activities, there are often conditions attached. We may believe that money secures creativity.
but can we truly use creativity to secure money?
2. Ownership economy : Value Capture Your Media Asset
Li Jin, co-founder of Variant Fund, defines the ownership economy as a way for creators and users to own their content in new, previously impossible ways. NFTs allow artists to earn revenue from their fans, and Lens protocol(Decentralized social media) is experimenting with tokenized collections of posts and tipping as a form of commercialized social influence.
several key questions : What exactly is it? How big is it, and where is it headed? here are some interesting answers Ownership Economy Playbook, from Variant Fund.
source : https: variant.fund articles the-ownership-economy-2022
The term "ownership economy" comes from the economic concept in which users become owners. Discord's popularity is aligned with that of DAOs, demonstrating an interesting phenomenon. In fact, most crypto projects, not just DAOs, communicate through Discord. One reason for this may be the availability of plugins that can program activities such as verification, invite checks, voting, and NFT authentication.
Valuing social media posts or artistic expressions in monetary terms may seem distasteful to those who are tired of everything being commodified. However, the recent trend towards tokenizing everything suggests that this value has always been present, but only accessible to a select few.
As we enter Web3, the creator economy becomes an ownership economy, where intellectual property is supreme.
As we enter the Web3 era, we can see that the creator economy is evolving into an ownership economy. This shift is driven by a number of factors, including the growing importance of decentralized platforms and peer-to-peer networks. As more and more creators turn to these platforms to share their work and build their audiences, they are also beginning to explore new ways to monetize their content and retain control over their intellectual property. At the same time, consumers are becoming more aware of the value of their attention and the content they consume, and are increasingly demanding a greater say in how that content is created, distributed, and monetized. This has led to the emergence of new models of ownership and participation, including tokenization and decentralized autonomous organizations (DAOs), which offer creators and their audiences new ways to collaborate and share in the value of their work.
How to Survive in Ownership Economy
Creators have earned revenue through platforms such as Google, TikTok, YouTube, and Instagram. However, when someone else pays their salary, creators become dependent on the platform for their identity. What is the best way to monetize content without intermediaries? The answer is to prepare for the Ownership Economy, which will come with Web3, by securing a minimum viable audience. This concept is explained through the book <Lean Startup>.
In his book "The Lean Startup," Ries emphasizes the significance of learning in the product development process through his definition of Zapier's acquisition of Makerpad: "The Minimum Viable Audience is the version of a new product that allows a team to gather the maximum amount of validated learning about customers with the least effort."
source : https: fourweekmba.com minimum-viable-audience
The Minimum Viable Audience concept suggests that entrepreneurs should think more like artists. As Seth Godin defines it, this is "the smallest group that could possibly sustain you in your work." He goes on to ask, "If you could choose your audience and needed to delight them because you had no one else available, would your product or service improve? If you had no choice but to ignore the naysayers (they're not in the group) or the people who don't think they need you or your work, would that force you to stop compromising and start excelling?"
Minimum Viable Audience
To apply the concept of Minimum Viable Audience to the Web3 world, we can find our MVA by focusing on a specific and unique niche. For instance, if we start an online bookstore, we must concentrate on the publishing industry and carve out our unique niche. eBook Platform's search engine can help us identify our category, which is only the first step towards success.
Our goal is to create media assets that enable direct communication with our audience without any reliance on authorization from any media gatekeepers.
3. Content is King - Hubspot's $3 billion acquisition of Hustle
In today's world where distractions are abundant, our attention is a scarce resource. With so many things vying for our attention, it can be difficult to focus on any one thing for an extended period of time. This is where the importance of content comes in - it is king.
Moreover, the way we consume and engage with content is changing. Rather than relying on platforms to upload and distribute content, creators must find ways to directly connect with their audience. This is where leveraging our intellectual property (IP) comes in - it allows us to maximize its value and potential.
In order to succeed in this new landscape, we must focus on creating quality content that engages and resonates with our audience. And as we continue to navigate this ever-changing landscape of ownership economy, it is essential to remember that content is king. Two decacorn companies have proven that :Hubspot acquires Hustle for 30 billion and Zapier acquires Makerpad. If we can make the process of creating content easier, a pretty good model could emerge.
In summary, attention is a valuable resource in today's content-driven world. By creating high-quality content that resonates with your audience, you can build a loyal following and create fandom. Hubspot's success in this area is a testament to the value of focusing on attention and high-quality content in today's market.
4. Conclusion & Next Episode Preview
How to Prepare for the Upcoming Ownership Economy
Develop minimal creating skills that can contribute positively to the ecosystem.
The ability to "curate before write" : we should consider what the Web3 ecosystem needs.
Discovering your own unique category and securing your MVA.
Next topic preview: The future of community marketing.
Look at the statements of the famous community and NFT artists who gained popularity in the early market. Their personas will be revealed. I particularly paid attention to Pak's tweets and works. It is time for content marketing tools to evolve into community marketing tools.
Analyzing the basic audience's characteristics now begins with analyzing the representative personas of the community, not data.
More details will be discussed in the next episode.
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