In many of our past blog posts, we’ve gone on about the intricacies of the literary Web3 world and the ins and outs of relevant book NFT processes: Web3 crowdfunding, Web3 investing, and more.
But we’ve yet to go on about what exactly is, or can be a book NFT.
You can imagine that’s what we’ll be covering in today’s blog post.
So, what is a book NFT?
What is an NFT Book?
When it comes to practicality, an NFT book isn’t too different from an ebook. It’s a file that you purchase, download, and read at your leisure on an e-reader.
The thing is that usually these ebooks are either sent as PDFs or epubs that anyone can steal and use without your consent, or are linked to a specific app (like Kindle) and thus impossible to use out of them.
Most people don’t care about these issues, but that’s because they’re accustomed to the limitations of the traditional e-book, which rarely can be combined with other types of media without turning into a cumbersome file. Unlike traditional eBooks, NFT books can be bundled with various types of media, including images, audio, video, and interactive elements. This opens up a world of possibilities for authors and publishers to create unique and engaging reader experiences that go beyond the confines of a static text file.
Imagine reading a fantasy novel where each chapter is accompanied by stunning illustrations and sound effects that bring the story to life.
That’s not to say every single book NFT will include a voiceover or an in-bound short film, but you can be sure that the ones that want to sell well, will always include extra media to add more value to the reader.
NFT Books Offer Authenticity
On top of that, NFT books, by virtue of being NFTs, are recorded and encoded using blockchain technology. This means that every single copy is recorded as a standalone individual, with a precise edition number and transparency of its change of hands. This is the polar opposite of traditional ebooks, as an endless array of them can be generated with each purchase on platforms like Amazon or Google Books.
Nope, NFT editions are constrained, recorded, and encoded using blockchain technology. Consequently, readers can ascertain the precise edition number they own, transparency extended to all. This scarcity imbues NFT books with value, paving the way for a secondary market for their resale—an option currently unavailable with other eBook formats.
But wait – if these NFT books are so fundamentally different from their Web2 contemporaries, then the process of creating one would logically be different, right?
Indeed, let’s take a look now at how the creation process of an NFT book differs.
How Are NFT Books Created?
A traditional ebook follows a streamlined creation process: the author pens a manuscript, the manuscript is edited and formatted into an e-book format (such as epub or PDF) and then submitted to a digital marketplace like Amazon KDP, Draft2Digital, or Ingram Spark. Then, buyers can purchase it and download it.
Book NFTs, as you can imagine, follow a different process. While the manuscript is still penned, edited, and formatted into an ebook format, the author eventually reaches a crossroads of options to take for their next step.
Namely,
Challenges of NFT Books
But let’s be real for a minute: if NFT books are perceived as essentially the same as regular eBooks but with added complexity and potential restrictions, consumers may not see sufficient value in purchasing them.
The process of purchasing, downloading, and reading NFT books may be perceived as more complex and cumbersome compared to traditional eBook purchases. This additional friction could deter mainstream adoption, particularly among less tech-savvy consumers.
NFT books offer a unique value proposition by providing verifiable ownership and authenticity through blockchain technology. Unlike traditional eBooks, where ownership is tied to a centralized platform, NFT books are tokenized assets with a transparent and immutable ownership record on the blockchain. This unique feature enhances the perceived value of NFT books and distinguishes them from traditional eBooks.
An NFT book, or book NFT, is a digital representation of a book that is minted as a Non-Fungible Token (NFT) on a blockchain.
Benefits of Book NFTs
For Authors and Publishers:
- Direct Royalties: Smart contracts can automate royalty payments, ensuring that authors receive a fair share of the revenue not only from the initial sale but also from any subsequent resales of their Book NFTs.
- New Revenue Streams: Authors can sell limited edition digital copies, offer exclusive content, or engage in crowdfunding by selling pre-release Book NFTs.
- Enhanced Control: Authors and publishers retain greater control over the distribution and pricing of their works, reducing dependence on traditional intermediaries.
For Readers
- Collectibility: Readers can own unique digital editions of their favorite books, which may increase in value over time.
- Interactivity: Book NFTs can offer interactive features and multimedia enhancements, creating a richer and more engaging reading experience.
- Community Engagement: Owning a Book NFT can grant readers access to exclusive communities, events, or content directly from the author.
FAQ on NFTs
What is an NFT?
NFTs, or Non-Fungible Tokens, are unique digital assets verified using blockchain technology. Unlike cryptocurrencies such as Bitcoin or Ethereum, which are fungible and can be exchanged on a one-to-one basis, NFTs are one-of-a-kind. Each NFT has distinct information or attributes that differentiate it from any other NFT, making it impossible to replace or exchange on an equal basis.
How Do NFTs Work?
NFTs are built on blockchain technology, a decentralized digital ledger that records transactions across a network of computers. The most commonly used blockchain for NFTs is Ethereum, though others like Flow and Binance Smart Chain are also gaining popularity.
Who Owns the NFT?
When someone purchases an NFT, they gain ownership of a unique digital asset. This ownership is recorded on the blockchain, providing a transparent and immutable record of the transaction. The blockchain ensures that the ownership history of each NFT can be traced back to its origin, verifying its authenticity and provenance.
What makes NFTs valuable?
Each NFT is encoded with metadata that describes its unique characteristics. This metadata can include information such as the creator’s identity, ownership details, and properties of the digital asset. This uniqueness is what gives NFTs their value, as they can represent anything from digital art to virtual real estate, and in our case, books.
