1. The MRT
The MRT is a non-fungible utility token designed as a smart contract, on the Tezos blockchain. Each MRT is attached to a single Film. MRTs generate license fees from each paid Film view to which it is attached. The MRT is attached to a Film through the FilmPod platform, a desktop and mobile app which interfaces with audience.
1.1 – Each MRT, upon registration on the FilmPod system, is attached to a specific Film.
1.2 – The specific Film is a title from the FilmPod catalog.
1.3 – Alternatively, the MRT owner can select a particular Film from within the FilmPod catalog..
1.4 – The Film is streamed on demand to a global audience through the FilmPod app, which is available worldwide beginning summer, 2024. The FilmPod title also streams through independent streamers, exhibitors, and television stations who are FilmPod partners.
1.5 – Titles are monetized in an AVOD structure by default, but can also accommodate TVOD and in the case of a full channel or series, a special subscription arrangement.
1.6 – The MRT accumulates a license fee for each monetized view to which it is attached.
1.7 – The MRT owner has the freedom to decide when to collect the license fees, or even to donate them to a charity. The MRT license fees are redeemable by the MRT owner for up to three years from generation, in fungible tokens on a stable coin (currently the USDC coin).
1.8 – Accumulated license fees, if not claimed within three years, will be donated to the 501(c)(3) registered charity Tailor Living Charities for use in its Virtual Theatrical new media development program.
1.9 – This permits the MRT owner to choose when and how much of their accumulated license fees to redeem, and allow them to fine-tune their tax liability. Because there is a potential gift over of the sum outstanding at all times it cannot be income until claimed.
1.10 – This also avoids the common problem of orphaned or lost tokens which accumulate value but will never be claimed by anybody. This is a common issue on all blockchains, which effectively take value out of the system forever.
1.11 – The MRT is a utility token which generate license fees the owner in perpetuity. However, as with all license agreements, it can also be resold and assigned without restriction on the aftermarket.
1.12 – Additional annual rounds of MRTs will be issued as the catalog of titles and streaming numbers outlets grow.
1.13 – The Annual rounds of MRTs will be issued with a MSRP which will not be less than the first round price per MRT.
1.14 – An MRT owner is contractually an exhibitor of the MRTs assigned title.
1.15 – The monetization of the MRT is completely at the option of the MRT owner. The MRT owner can avail her or himself of the default mechanism described above. On the other hand, the MRT owner may additionally (a) embed the title into their own website or app, and (b) arrange for their own exhibition on theatrical space or private screenings. In such cases:
(a) where the MRT title is embedded, the MRT will accumulated license fees as normal, based on views and with AVOD feed from the FilmPod server.
(b) where the MRT owner licenses for a screening the MRT account will be assessed a basic usage fee deducted from the already accumulated license fees. The MRT owner will then retain all TVOD or other earnings they make through that particular arrangement.
1.16 – the MRT owner will also receive a royalty on any merchandising income which is tracked through the stream to which the MRT is attached.
1.17 – This puts the potential license fee stream at the complete control of the MRT owner, while keeping it very simple to manage.
1A. MRT Initial Distribution.
The first round MRT will produce a total ten million MRTs. The distribution will be as follows:
Public Sales: | 58% |
Promotional Allotment: | 7% |
Team Members/Devs: | 5% |
For Film Titles: | 5% |
For Advertisers: | 10% |
For Streamer Channels: | 5% |
Reserve: | 10% |
The Reserve will be used for additional public sales and/or to link to more Film titles, if MRT licensed titles and advertiser streams accumulate beyond the capacity of the system. If the reserve is not used, it will be included in the next round of MRTs.
Additional rounds may be issued in the future, when needed to service the growing global decentralized network. Future tokens will have an MSRP no less than the MSRP of the initial round.
*Advertisers who monetize the AVOD system will be linked with an MRT which tracks each advertising stream.
**Streamer channels who license their Films through the MRT/FilmPod platform will all be tracked with an MRT. There will be many titles on each channel.
2. The FilmPod
The FilmPod app is designed specifically to be familiar to audiences, easy to use, and to expand upon current streaming apps. It integrates with the MRT to track views and merchandising sales. In addition, FilmPod app inventivizes audience to generate word-of-mouth, which stimulates more views.
2.1 – The FilmPod app improves upon established and widely used streaming apps, and is designed to be familiar to audiences and easy to use.
2.2 – The FilmPod app includes the option for audience to interact with the producer of the Film title. The level of interaction is at the discretion of the Film producer. It may include such things as a fan club sign-ups, email lists, or direct chats with producer, director or talent that the audience has seen on screen.
2.3 – The Filmpod app, provides various ways to incentivize user-generated word-of-mouth and grassroots publicity for the Film. These include such things as free downloads, discounts on merchandise, and accumulated credits towards normally paid services, or other incentives provided by the Film producer.
2.5 – Audience members will have an option to purchase an MRT for the title they are watching. This will welcome them into a film titles growing brand and fan base, and it will further allow them to participate in a meaningful way in promoting their favorite franchise. Again, this is at the option of the film producer.
The MRT will natively track views on the FilmPod app experience, as well as any other stream connected with the MRT-linked Film title.
The FilmPod app is an AVOD “free to view” media experience paid for by sponsors, and which incentives audience to spread word of mouth and thus generate more views.
TVOD (paid), SVOD (subscription) views & merch sales are also tracked with the MRT.
3. Tezos Blockchain
The Tezos blockchain has been chosen, being a Turing complete code base, upon which nonfungible tokens can be designed with simple or complex smart contracts.
3.1 - The MRT utility token is the first step in the development of a comprehensive, ongoing and permanent solution which will empower the Film producer to access audiences and generate more paid views.
This first phase of the MRT forms the basis of this new paradigm. Initially, it will increase license fees on a view by view basis, throughout the Film and distribution pipeline. It will evolve into areas such as digital rights management across legal jurisdictions, and accommodate new media forms such as the Virtual Theatrical form being developed by the IPG, and it will integrate with a fully decentralized Film accounting and distribution system.
3.2 - The Tezos blockchain permits the development of all these things, in conjunction with brick-and-mortar realities. The low transaction costs, combined with the unrivaled flexibility it provides in smart contract design, makes it the best choice for the MRT utility token.
3.3 - In spring 2025, we will adapt a custom version of the open source Tezos blockchain for application specifically to the MRT and FilmPod paradigm. This will allow us to adapt to the changing global streaming and distribution environment, and further add unprecedented functionality and value to the MRT and FilmPod paradigm. This blockchain solution will integrate with various Film funding options, including crowdfunding, Regulation CF campaigns, and even institutional funding.
3.5 - MRT owners of the earlier generations of MRTs will be grandfathered onto the new blockchain with new generation utility MRTs, at their option. License fees accumulated to that point will still remain claimable as originally designed.
