The integration of Artificial Intelligence (AI) in art and creative sectors brings forth both opportunities and challenges, which calls for a thorough understanding of the legal framework to ensure compliance and safeguard intellectual property. This article delves into the role of blockchain in securing artwork royalties and its impact on taxation.

Virtual assets (VAs) and crypto-assets, synonymous terms, refer to digital assets issued or transferred through distributed ledger or blockchain technology. Blockchain technology emerges as a robust solution for safeguarding art by establishing a transparent and unchangeable record of ownership and provenance. By leveraging blockchain, artists can retain control over their work and receive royalties from subsequent sales through smart contracts, promoting fairness and transparency in the art market.

The use of means such as Non-Fungible Tokens (NFTs) are reshaping the balance of power, shifting it from intermediaries back to artists and creators. With blockchain’s incorporation in NFTs, tracking royalties and direct payments to artists become feasible, allowing for continuous benefit when their art is commercially disseminated. This alteration in business models within creative industries signifies a substantial change, offering artists ongoing compensation for their work.

Legal Challenges in Using Blockchain Technology in Securing Royalties for Artwork_en