White PaperV.1.0

V.2.0www.artube.video

www.artube.video

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Contents

  • Summary

    03

  • Introduction

    04

  • Market Environment of Webtoon Platform

    05

  • ARTUBE Webtoon Platform

    11

  • Market Environment of OTT Service

    16

  • ARTUBE Video
    Platform

    22

  • ARTUBE NFT
    Market Place

    29

  • Token Mechanism

    32

  • Governance

    34

  • Eco-system

    35

  • ARTUBE Platform
    Eco-system

    37

  • Token Distribution

    44

  • Road map

    46

  • Disclaimer

    47

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Summary

The new system proposed by ARTUBE Project moves beyond the existing business economic ecosystem that clearly distinguishes investors, developers, and content creators using platforms, providing a fair opportunity for everyone to participate in the business and enjoy its benefits by supporting various methods in which anyone can become an investor or a sponsor

This White Paper proposes a way to establish a new total digital content platform for the coexistence of business operators and investors through the ‘ARTUBE Project’, newly started by the ARTUBE Project Team. We will improve the processes of our previously traditional digital media content business based on traditional practice to explain a new investment method and a P2P system that directly connects content creators and consumers. The new system proposed by ARTUBE Project moves beyond the existing business economic ecosystem that clearly distinguishes investors, developers, and content creators using platforms, providing a fair opportunity for everyone to participate in the business and enjoy its benefits by supporting various methods in which anyone can become an investor or a sponsor.

In addition, ARTUBE Project will attract active investment from comprehensive media platforms, including video content, such as films, dramas, and variety shows, and webtoons, and participation in a long-term economic ecosystem development program to maximize the possibility of achieving secure revenue.

The existing face-to-face socioeconomic processes, which have recently raised numerous problems due to the prevalence of various diseases such as Covid-19, are being naturally converted to contactless digitalized processes. While legacy system-based companies are struggling, companies providing digital media content, such as over the top (OTT), webtoon and web novel platforms, are flourishing. In this White Paper, ARTUBE Project analyzes the present market conditions of similar companies dominating the market and describes the originality of the business model and differentiated service strategies to be developed and distributed in the future.

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Introduction

ARTUBE’s independent total digital media platform will resolve the abovementioned inequalities and introduce a system where consumers accessing the content can support and communicate with creators anytime, anywhere. A special community will be established between creators and consumers using blockchain to make this possible.

The digital media content platform market, such as the over the top (OTT), video on demand (VOD), webtoon, and web novel platforms which are currently booming in various fields, was only viable for large companies or groups with large investment support a few decades ago, even for simply implementing the concept. However, the popularization of various free software that conveniently produces diverse creative work, along with the dissemination of reasonably priced high-performance PCs and smartphones, have created an environment where anyone can create, upload, and share user-created content (UCC).

However, certain companies in absolute positions monopolize revenue in the economic system of the digital media content market, and content creators, who are the roots of platform operation, are constantly being pressured into competition and unfair revenue structure within the networks according to the algorithms and unfair contracts determined by the companies.

This unfair system with commercial intent becomes a significant difficulty for new content creators in exposing their content to consumers even if they produce and distribute high-quality content. Therefore, more people are increasingly saying that it causes creators to

pursue more stimulating and extreme subject matters than the quality of the content itself, raising ethical problems and bringing about negative social impact.

We plan to implement incubation and acceleration with general technological and funding support for producing digital media content by discovering talented creators through ARTUBE Project. Creators will produce more diverse content by securing funding through sponsorships and donations from central support services and consumers and providing content to consumers, expanding the opportunity to increase high-quality content with positive social messages.
ARTUBE’s independent total digital media platform will resolve the abovementioned inequalities and introduce a system where consumers accessing the content can support and communicate with creators anytime, anywhere. A special community will be established between creators and consumers using blockchain to make this possible. Consumers can support their favorite work and creators in more diverse ways through blockchain, and creators can clearly check the value of their work through the platform’s transparent and traceable characteristics.

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Market Environment of
Webtoon Platform

Market Environment of Webtoon Platforms

Since 2010, the digital webtoon market has been growing immensely with the dissemination of smartphones and already overpowering the publishing comic book market. Previously, webtoons were known to have less engagement than published work, but they have successfully secured the public interest by overcoming their limitation by securing quality through various directions and asserting accessibility of reading content anytime, anywhere as their key characteristic.

Along with the development of online services, webtoons have discovered and fostered mega-hit works called “Super IP”, and based on this, the direct service sales of the webtoon market exceeded KRW 1 trillion and the market size of KRW 7 trillion in 2021, according to the Korea Creative Content Agency. However, it doesn’t end here. The webtoon market is expected to continue increasing its overall industry size by expanding to secondary value-added creative work like films, dramas, animations, and games.

The expansion of the global market for Korean webtoons is also a major business strategy. Korean webtoons are already showing outstanding growth in the global market. For example, KakaoPage’s webtoon service is expected to be KRW 1 trillion in annual transaction amount in Japan, known as the Kingdom of Comics, and Naver Webtoon’s global service is approaching 67 million users. After successfully targeting Japan, Korean webtoons have entered the Southeast Asian region, such as Thailand, Taiwan, and Indonesia, and currently targeting the North American market.

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Market Environment of
Webtoon Platform

The Market Size of Chinese Comics

The Chinese comic industry has recently switched the dissemination of comics from paper to internet web services to align with the rapidly changing digitalization, similar to Korea, and settled in the new market of mobile webtoons, experiencing a second period of growth.

According to Qianzhan Industry Research Institute’s data, the average annual growth rate recorded 120% in 2019, and the production amount, including comics and animations, exceeded CNY 150 billion (KRW 26.7 trillion).

As the population consuming online comic content has reached about a billion, the entry of Korean webtoons into China, which has a content market size of about KRW 405 trillion, has been slow compared to the efforts made so far. However, recently, several works have reached top popularity rankings on China’s representative webtoon platform, “Kuaikan Manhua”, indicating the possibility for Korean webtoons to grow in the future.

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Market Environment of
Webtoon Platform

Entering the Global Webtoon Market

The U.S. and Japan, comic powerhouses, still have a deep history in paper comics, which is at the center of publications. Therefore, the most challenging task for Korean webtoons was overcoming the negative responses that webtoons with long scrolls for mobile devices are inconvenient to read and boring as they lack engagement.

However, the dissemination of smartphones has changed this entire perspective, contributing greatly to establishing webtoon as a new “genre”. To prove this, Yuanta Securities stated in a report called Webtoon Next Korean Wave in early 2021, “This new comic format created in Korea has excellent portability and is loved by the MZ generation in various countries, including Japan and the United States, the world’s top comic markets.” In addition, the expansion of webtoon IP content to films, dramas, and games through the One Source Multi-Use (OSMU) method, which is already actively progressing in Korea, is contributing to the growth of the Korean entertainment market.

이태원스캔들 웹툰페이지

Data : Maekyung Luxmen No. 129 (Jun.2021)

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Market Environment of
Webtoon Platform

Problems of the Current Webtoon Ecosystem

Webtoons have achieved enormous industrial and technological growth over the past 20 years. Currently, the rapid qualitative and quantitative development of webtoons, which people of all ages and genders love, has caused various problems and side effects.
The biggest cause of these problems is the power imbalance between creators, consumers, and platforms. Webtoons are serviced to consumers through platforms due to their nature as digital content. Therefore, they are highly reliant on platforms, and the distribution structure is also increasingly becoming distorted.

cause

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Market Environment of
Webtoon Platform

Problems of the Current Webtoon Ecosystem

Reduced serial opportunities due to platform monopolization

Creators give up on many things to be “selected” on the platform for the chance to serialize on a few large platforms.

In addition, creators are concentrated on limited opportunities, making it difficult for new creators to debut.

Creators’ reduced rights & forced revenue distribution

As minimum guarantee (MG) took place as a regular contract method between webtoon platforms and creators, the existing “fee for manuscript contract’ method has decreased, damaging the value of wages, and adding a sense of debt to creators.

In addition, more creators are experiencing reduced mental and physical health due to excessive work of handling deadly serial schedules, and assistants are hired, further reducing creators’ revenue.

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Market Environment of
Webtoon Platform

Problems of the Current Webtoon Ecosystem

Lack of transparency in revenue distribution and settlement

According to a survey on current webtoon creators, only 69.3% have experience receiving sales/revenue share reports, with over 30% of them saying they have never received a report or don’t know about it. (Source: Korea Creative Content Agency)

The indirect contracts due to the dual structure of creators > agency > platform are reducing the ways creators can raise issues on unreasonable contracts.

Lack of environment for creators to use their own IP

According to a survey on creators who have experienced unfair contracts, dissatisfaction with one-sided contracts that benefit platforms, such as secondary copyrights and overseas publication rights, was the highest.

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ARTUBE
Webtoon Platform

ARTUBE’s webtoon platform aims to establish a structure that liberates digital media content, including webtoons, from business models that monopolize rights by building an ecosystem that provides more opportunities through low entry barriers and diverse content sales models and allows both consumers and creators to coexist based on blockchain technology.

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ARTUBE
Webtoon Platform

Transparent Information Sharing Through Blockchain

People can use internal content through the basic cryptocurrency ATT and external PG services on ARTUBE’s total digital media platform. However, it can be used after switching to an internal currency with blockchain technology called Art-Point that is proportional to the corresponding value, no matter which method the funds flow.
Creators and consumers can both check the sales trends, which are difficult to know in the existing centralized platform operation formats, as the gap between cryptocurrency and fiat currency is minimized through Art-Point, the platform’s internal integrated currency with blockchain technology that cannot be forged. In particular, creators can clearly check the value of their work, providing significant support in determining their serialization direction.

Creating a Consumer-Centered Incentive Pool

The self-made “ARTUBE Platform incentive pool” is composed of a portion of fees incurred from overall economic activities on the platform. The incentive pool will be distributed differentially by measuring the contribution level to the platform of the webtoons, OTT video creations, and real-time live streaming, which will be added later. In addition, consumers will also receive the opportunity for incentive allocation if the set of activities lead to the creators, generating revenue from the content, such as participating in social media promotional events or translation or marketing support.

Ecosystem Operation Directly Participated by Members

Creators are informed of one-sided contracts in existing centralized webtoon platforms, but by staking ATT and contributing to the platform, they can participate more actively in determining the direction of the platform operation. Anyone with a certain contribution level to the ARTUBE’s governance community, whether a consumer or a creator, can propose an opinion and open governance according to the opinion. In addition, they can recruit ‘reporters’ to inspect harmful aspects of the platform, such as plagiarized content or content violating pornography regulations, and maintain a healthy ecosystem. Anyone in the ARTUBE community, including consumers, can apply to become a reporter. Rewards for reporting will occur through the ARTUBE incentive distribution mentioned previously.

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ARTUBE
Webtoon Platform

Providing Personal Uploading Space for New Creators

ARTUBE plans to provide a personal marketplace domain for creators to sell digital media content to consumers directly. The marketplace will support creators in converting various digital media content, such as videos, webtoons, and photos that they have created, into non-fungible token (NFT) format and selling them.
For creators, the marketplace can be an additional revenue tool, a small community to communicate with fans, or a space for creators to host events, while fans can possess the NFT work of creators. The active and voluntary participation of the consumers is expected to vitalize the community.

The marketplace will be provided after the vitalization of the personal creative space for new creators. In the beginning, it will be provided to creators with a direct serialization contract with ARTUBE Project, and then, after recruiting additional external applicants, it plans to develop into ARTUBE’s unique NFT market environment.

A Special NFT Marketplace that Connects Creators and Consumers

ARTUBE plans to provide a personal marketplace domain for creators to sell digital media content to consumers directly. The marketplace will support creators in converting various digital media content, such as videos, webtoons, and photos that they have created, into non-fungible token (NFT) format and selling them.
For creators, the marketplace can be an additional revenue tool, a small community to communicate with fans, or a space for creators to host events, while fans can possess the NFT work of creators. The active and voluntary participation of the consumers is expected to vitalize the community.
The marketplace will be provided after the vitalization of the personal creative space for new creators. In the beginning, it will be provided to creators with a direct serialization contract with ARTUBE Project, and then, after recruiting additional external applicants, it plans to develop into ARTUBE’s unique NFT market environment.

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ARTUBE
Webtoon Platform

Creator-Centered Reasonable Revenue Distribution

구성요소

ARTUBE Project aims to distribute creators’ revenue in a ratio that everyone can agree on. The Art-Point value spent on the platform is inversely calculated, and settlement is made according to the set ratio.

Webtoon creators’ revenue on ARTUBE is divided into paid webtoon payments and direct fan sponsorships. For paid webtoons, consumers make a payment by consuming Art-Points converted through ATT and PG services, which accumulate sales, and the creators’ revenue is determined by the contract conditions. In contrast, for sponsorships, the platform is structured to provide most of the revenue, excluding fees necessary for minimal platform operational support, to the creators.
The creators’ settlement of paid webtoon sales, which is expected to generate most of the revenue, is determined according to the platform contract. However, ARTUBE plans to provide additional funds by calculating the rank, such as the contribution level of creators who have continuously participated on the platform.

Once the contract is signed, the creator’s rank is determined through the ranking fluctuation after internal evaluation based on various factors, such as serial period, view count, and subscriber number. From the month the rank is determined, additional funds proportionate to the total revenue per rank will be provided to creators who have selected to receive ATT settlement.

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ARTUBE
Webtoon Platform

Active Support of
Global Advancement

IP stands for intellectual property. As mega-hit webtoons with high view count started appearing, changes to various genres and expansion to additional businesses have actively taken place through the webtoon content IP. In addition, this phenomenon isn’t limited to Korea, but reaching success in the global market.
ARTUBE, which aims for a total digital media platform, plans to advance into the global market in the webtoon and OTT service sectors, and its first step is targeted at China. As part of this, it has secured various webtoons that have recorded more than one hundred million view counts, reviewing the possibility of competitiveness. Based on this, ARTUBE plans to set the ground for entry into China with webtoons and OTT services (web dramas, independent films, etc.) directly discovered and contracted on the ARTUBE platform through cross-contracts with Chinese webtoon platforms.

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Market Environment
Of OTT Service

The Market Environment of OTT Services

The current market size of global OTT services is rapidly growing as internet-based media content consumption increased due to COVID-19 is spreading of contactless culture worldwide.

The current market size of global OTT services is rapidly growing as internet-based media content consumption increased due to COVID-19 is spreading of contactless culture worldwide. Boston Consulting Group predicted that the global OTT market size will grow to USD 110 billion in 2020 due to Covid-19, which is 20% compared to the previous year (USD 93 billion), and with the pessimistic outlook that Covid-19 will continue in the future, it predicted that the OTT market will grow significantly to USD 141 billion in 2022, which is 30% compared to the previous year.

The OTT market is also expected to grow significantly in Korea. According to Korea Communications Commission, the OTT market size was expected to grow to KRW 780.1 billion in 2020, about 22% compared to the previous year (KRW 634.6 billion). Korean companies, such as SK Telecom officially launched WAVVE, a platform that combines three terrestrial broadcasters, in September 2019, and recently determined a ‘global media and content cooperative’ with the global media company NBC Universal (NBCU), forming a partnership with a global OTT. Moreover, JTBC signed a contract to establish an OTT joint venture based on CJ ENM (Tving), and Watcha, which focuses on film content, attracted a Series D investment of KRW 19 billion, planning to strengthen its global competitiveness.

CAGR

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Market Environment
Of OTT Service

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Market Environment
Of OTT Service

Types of Over the Top (OTT) Services

The rapid development of internet technology and the dissemination of mobile devices that can connect to the internet have increased various types of OTT services. There are three methods in categorizing various OTT services. The first method is to categorize OTT services according to how they are provided. In Korea, most of the OTT services provided mainly use the method of retransmitting the video to the user through an application.

The second method is to categorize OTT services according to the businesses that provide them. There are two main types of OTT services for business categorization. One type is video platform operators providing their own OTT services through the internet. Netflix, which has been gaining great popularity, is a representative example, and in Korea, Watcha Play also falls into the category.

The next type is an OTT service based on a multi-channel network (MCN) method that aggregates internet personal broadcasts and UGVs and mediates them to users, which is related to ARTUBE’s main business model. This OTT service is the same as video platform operators that offer their own OTT services, but the biggest difference is that users and creators can upload videos, and video platform operators act as intermediaries. YouTube and AfreecaTV are representative OTT services in this category.

The third method of categorizing OTT services is based on what kind of revenue model they have. The revenue model of OTT services can be largely divided into ‘paid model’ and ‘ad-based free model’. The paid model is a revenue model that receives payment directly from

users who pay for the OTT service, and there are two types: the ‘subscription model’ that received monthly fees for signing up for the OTT service, and the ‘transaction model’ that receives fees for viewing certain videos or using certain services. Netflix is an example of the subscription model, and in Korea, there are WAVVE and Tving. Unlike the subscription model, the transaction model uses a method of charging user fees according to the order request of a certain video. The main target of the transaction is video on demand, which is also called transactional video on demand (TVOD).

Another transaction model is the sponsorship model in which users purchase virtual currency and gift it to creators of their favorite videos. AfreecaTV’s ‘star balloons’ on personal broadcasts, and YouTube’s ‘fan funding’ and ‘super chat’ are examples of the sponsorship model.
In the sponsorship model, the OTT service operator mediates the transaction between users and creators and receives fees from it. The user pays cash to the OTT service operator and purchases a virtual currency item. The creator gives a fee of the sponsored or donated virtual currency to the OTT service operator and converts it to cash. Currently, AfreecaTV deducts an average of 30% conversion fee.

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Market Environment
Of OTT Service

Types of Over the Top (OTT) Services

The ad-based free model gains revenue by attaching various types of ads to videos in return for providing the videos for free to all users. Among OTT services that use the subscription model, there are ones that provide ads, but usually MCN-based OTT services that provide amateur videos and UGVs use the ad-based free model. MCN-based OTT services secure various videos from amateur creators and users and sell user interests generating from the videos to advertisers.
This revenue model’s success depends on whether the OTT service can stimulate interest while accumulating numerous videos relevant to brands (advertisers). Therefore, most OTT services with the ad-based free model use a recognition and reward mechanism that lures amateur creators to produce and upload videos. In other words, they link monetary reward to the interest level to stimulate recognition desires of amateur creators who want to become famous through personal broadcasts or UGVs. YouTube has a ‘Partnership Program’ that distributes revenue from ads on amateur creators’ videos to the creators according to the number of ad views, which reflects the recognition and reward mechanism.

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Market Environment
Of OTT Service

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Market Environment
Of OTT Service

Single-Person Media, Multi-Channel Network (MCN)

A multi-channel network (MCN) refers to an organization that works with content creators (channels) on video platforms, such as YouTube, and shares a portion of the channel revenue by supporting production, funds, promotion, copyright management, revenue generation/sales, or customer acquisition. MCN is a channel network business that manages single-person creators, which came about with the diversification of video consumption methods and formats, and the increase in status of single-person content creators called creators or broadcasting jockeys (BJs).

As of 2019, 3,200 content creators belong to an MCN company. It is a 129% growth rate compared to 1,400 teams in 2016. There was an estimate of 100 MCN companies in 2019. Although it is difficult to confirm with just the number of single-person media creators and MCN companies, the industry is expected to grow, and the time has come to establish its foundation as an ‘industry’.

MCN gained popularity as a keyword that stimulated Korean start-up’s investment sentiment in 2014-2015. As many people gathered on digital media platforms like Facebook and YouTube, the market moved, and the overseas success stories were enough to support this. However, the performance of MCN companies at that time did not support the heated market. As of 2020, the performance of MCN companies increased significantly. This is due to an increase in single-person media users and usage time, which expanded the market’s pie, and the diversification of business areas, such as IP, education, commerce, branded content, and global advancement, rather than just advertisement revenue of content creators.

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ARTUBE
Video Platform

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ARTUBE’s ultimate objective is a ‘total digital media platform’. Currently, many OTT companies are facing difficulty overcoming the limitations of OTT and MCN, but what is needed for continued growth is ‘content differentiation’. Therefore, ARTUBE aims to overcome these by providing more possibilities and utilities to users through various business models.

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ARTUBE
Video Platform

Establishing ARTUBE’s Streaming Platform

ARTUBE’s streaming platform (web/app) allows creators to send real-time broadcasts and upload videos even if they are not affiliated with or receiving incubation support from ARTUBE’s MCN company.

Creators can receive a video uploading environment by creating an account and a wallet and settlements of revenue generated through donations from fans who are consuming the content or advertisements transparently.

On the other hand, viewers using the ARTUBE platform can support their favorite creators, such as donating to real-time streaming, by recharging Art-Points through various payment methods and recommending videos already uploaded.

Through a subscription model supported by other live streaming services, ARTUBE viewers can select whether to watch certain videos of creators without ads, or watch videos already broadcasted or uploaded after edited without ads.

Content creators can exchange Art-Points obtained through viewer support with ARTUBE’s exclusive token, ATT.

The exchanged ATTs will be paid to the cryptocurrency wallet opened when they acquired transmission rights.

During the content consumption and sponsorship process of creators and viewers, a certain amount of fees is generated, and a small portion of them will be used for maintaining the development of the ARTUBE Project Team, while the remaining small portion will be accumulated in the incentive pool for ARTUBE ecosystem maintenance.

In addition to the simple sponsorship fee model already provided by other OTT services, ARTUBE will introduce a growth benefit system according to the amount of Art-Points moved between creators and viewers and provide fee discounts and a variety of special rights to creators and viewers, such as the right to directly host special events.

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ARTUBE
Video Platform

Exchange Fee Between ARTUBE Token (ATT) / Art-Point

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Art-Point is the trading resource between content creators and end content consumers. Art-Point is an internal ecosystem distribution resource that can be exchanged to ARTUBE Token, ATT, and a utility method to consume various content and use ARTUBE Platform’s products and services.

When it’s exchanged to ATT, which can be used for external trades, a certain amount of fees will be generated, and a portion will be added to the ARTUBE incentive pool to be distributed differentially to participants who contributed to maintaining the platform ecosystem.

ARTUBE’s ultimate objective is a ‘total digital media platform’. Currently, many OTT companies are facing difficulty overcoming the limitations of OTT and MCN, but what is needed for continued growth is ‘content differentiation’.

Therefore, ARTUBE aims to overcome these by providing more possibilities and utilities to users through various business models.

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ARTUBE
Video Platform

Realizing Direct Trade of Creative Works

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ARTUBE plans to establish not only an MCN company that nurtures and supports creators but also a platform that supports OTT services that runs on its own. However, it also aims to go beyond the limitations of OTT platforms that ultimately and simply support streaming to evolve into a total digital media marketplace where creators can trade and download audios, videos, images, and documents they have created.

ARTUBE services allow content sellers to generate additional revenue by connecting to consumers directly and selling even the user rights of the content through NFT technology, instead of indirect revenue through existing content. They can also receive transparency in revenue distribution as ARTUBE will resolve problems of ownership registration, proof, and content protection and opaque usage procedures. In addition, they can easily and quickly check information on content sales statistics through an integrated interface.

Users can effectively and reasonably purchase their desired media content by searching for specific content to obtain user rights or requesting desired content in a reverse auction method. In addition, they can directly connect with the original creator to consult relatively freely on problems related to user rights.
All these processes provide safety in ownership trading and management of the content production through blockchain-based technology, prevent forgery in trading records, and increase opportunities for re-creation following transparent revenue redistribution.

The money used to establish this market economy between creators and users is fundamentally divided into ARTUBE’s token, ATT, and the internal platform’s virtual currency, Art-Point.

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ARTUBE
Video Platform

ARTUBE Marketing Plan Subscription Model

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Content creators using the ARTUBE platform receive a video uploading environment and can apply to the ARTUBE Marketing Plan to promote their channel. The Marketing Plan subscription consists of a general payment method using ATT and a subscription to a time-based staking product, which will be supported in the future.

Videos of channels subscribed to ARTUBE Marketing Plan can increase their basic exposure count indicated on the ‘Recommended Video Section’. They also have a greater possibility to be chosen for the curation section created with special themes shown on ARTUBE’s main screen. Through this, ARTUBE aims to support creators in exposing their uploaded videos to more people and gain competitiveness.

ARTUBE’s ‘Recommended Video Section’ is located at the top of each channel category, and a video included in the channel category is randomly exposed. The exposure standard is videos with an exposure count that is not zero, thus newly uploaded videos can gain a basic exposure count. The video is exposed to a random target and time until the exposure count is completely used up, and videos that have exhausted their exposure count will not be shown on the Recommended Video Section. Exposure count cannot be recovered in a common method and can only be recovered through viewer recommendations and sponsorships.

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ARTUBE
Video Platform

V-Commerce Promotional Sales Contact Support

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V-Commerce stands for video commerce, referring to attracting product purchases and selling them through videos. Initially, it began with uploading interest-oriented simple promotional videos through social media, but now, it is leading marketing trends by actively using influencers on various internet shopping malls, video platforms, and streaming platforms, gaining the term, V-Commerce 2.0.

Although V-Commerce has similarities with cable TV’s home shopping, V-Commerce content can manage far more diverse topics and has the advantage of being produced and distributed without being bound by format. In conclusion, its objective to increase product sales has not changed, but the promotional video itself has an entertainment element and is recognized as a content of its own, therefore the possibility of expansion of the channel is limitless.

ARTUBE aims to support the production of content that can enter V-Commerce on external video platforms or social media, including promotional marketing on ARTUBE’s internal platform, and single-person content creators to generate meaningful revenue by systematically analyzing creators’ tendencies and strengths and in/directly connecting them using unique content.

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ARTUBE
Video Platform

Independent Film Center OTT Service

ARTUBE will operate a film center that proposes new solutions on global distribution and transparent settlement to film professionals who face difficulty finding viewers for their independent or short films due to the challenges of screening and selling. Through this, ARTUBE will screen films in all regions with the ARTUBE service and provide fast and transparent settlement using blockchain technology.

ARTUBE platform users can support the films by viewing, evaluating, voluntarily sponsoring, or donating. The generated revenue will be distributed reasonably and contribute significantly to establishing the unique ecosystem where people can receive fair rewards that ARTUBE pursues.

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ARTUBE
NFT Market Place

According to PWC, the world’s No. 1 multinational accounting audit firm, the market size derived from changes in the economic environment expanding due to metaverse is predicted to reach about ₩300 trillion by 2025. The importance of digital ownership secured by NFTs will become more important moving forward in the metaverse, which is expected to be as powerful as the arrival of the Internet and smartphones.

he metaverse’s realization, are announcing plans to introduce NFTs and partnerships with blockchain companies. As a result, the overall expectations of content economic activities that NFTs will change have reached their peak.

As a new-generation digital media content platform, ARTUBE is also planning a decentralized marketplace where creators contracted with ARTUBE and all external creators can directly mint their works as NFTs and sell.

ators to mint various digital media content, including videos, webtoons, photos, and paintings that they’ve created, and register and sell them in the market directly without the intervention of intermediaries during the process.

The decentralized ARTUBE marketplace aims to establish stronger copyright and guarantee maximum profit for creators. Stepping away from the centralized and standardized environment of exclusive platform operators, we believe the decentralized marketplace with an active application of blockchain technology is the solution to generating maximum profit and exercising distribution and ownership.

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ARTUBE
NFT Market Place

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ARTUBE
NFT Market Place

The creators who have signed contracts with ARTUBE are guaranteed the basic rights to mint their works as NFTs and register in the marketplace. External creators who are not contracted can obtain the rights to use the marketplace after enough contribution to the platform by staking a certain amount of ATT.

a work in the market, registration and sales fee are generated. However, the ARTUBE marketplace uses a post-payment method in which all fees are paid when the work is sold to increase the accessibility of creators to the market and desires to sell.

NFT content can simply sign up to the ARTUBE platform and connect their cryptocurrency wallet to purchase NFT content in the marketplace. We ensured no additional fees besides blockchain network transaction fees are generated during purchase to minimize pressure on buyers.

What makes all these possible is the decentralized marketplace structure with numerous smart contracts. Through ARTUBE, creators can sign the ARTUBE smart contract and store digital content NFTs through the P2P transfer. At the same time as archiving content, creators can decide how they are sold as NFTs.

We aim to create an environment where creators can directly set and combine various sales conditions when registering works, such as ‘immediate purchase price’, ‘minimum bidding amount’, affiliate sales fee’, and ‘Dutch auction’, through ARTUBE’s marketplace registration manager (AMR).

ARTUBE supports NFT minting through Klaytn-based (KCT) KIP-17 to reduce the pressure of network fees on all sellers and consumers using ARTUBE’s NFT marketplace and solve the issue of overall speed that Ethereum blockchain networks have.

In addition, ATT, the ARTUBE platform’s key currency, was swapped with KCT for the same reasons. ATT was first issued as ERC-20 based. However, due to high transfer fees and frequent slow speed from the network load of Ethereum-based tokens, ARTUBE established a long-term goal and decided on a Klaytn-based token (KCT) swap for small platform payment and smooth implementation of NFT smart contracts. All transactions occurring in the ARTUBE marketplace can be conducted through ATT.

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Token Mechanism

The ARTUBE ecosystem is a multi-sided platform where content creators and users participate simultaneously. Therefore, ARTUBE established an economic system and an incentive
mechanism where all participants can engage in fair, autonomous, reasonable,
and continuous value-generating activities.

The ARTUBE ecosystem is a multi-sided platform where content creators and users participate simultaneously. Therefore, ARTUBE established an economic system and an incentive mechanism where all participants can engage in fair, autonomous, reasonable, and continuous value-generating activities.

The ARTUBE ecosystem has a dualized structure of ARTUBE Token (ATT), which follows Ethereum’s ERC-20 standard, and ARTUBE chain-based Art-Point, a resource for maintaining the internal ecosystem. ATT is a token that can be used outside of the platform, while Art-Point aims to circulate within the platform ecosystem. Art-Point does not just indicate the value required for calculation. It uses blockchain-based cryptocurrency technology, thus it has a similar technological structure, but the differences are that it is managed through ARTUBE’s blockchain and circulates only within the platform ecosystem.

For example, content creators who receive sponsorship with Art-Points from viewers operating specific channels within the ARTUBE ecosystem can exchange Art-Points with ARTUBE Tokens (ATT). ATT is paid following ARTUBE Token Manager’s standard when this request occurs, and the requested Art-Points are collected.

The collected Art-Points are expiry to prevent reuse as internal currency issued according to ATT’s supply rate or other objectives. Theoretically, Art-Points can only be produced as much as ‘the total circulation amount of issued ATT X exchange ratio of Art-Point’ according to the contract.

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Token Mechanism

The ARTUBE ecosystem is a multi-sided platform where content creators and users participate simultaneously. Therefore, ARTUBE established an economic system and an incentive
mechanism where all participants can engage in fair, autonomous, reasonable,
and continuous value-generating activities.

The issuing and circulation of Art-Point, managed by its own blockchain, is completely controlled based on ATT, an ERC-20 token. In other words, Art-Point has a technological characteristic that guarantees execution and record based on blockchain, and individuals or groups cannot arbitrarily be involved in the issuing and circulation mechanism.

In addition, Art-Point, which has been self-encrypted for platform circulation, allows transparent management that differentiates it from other platform services where operators can arbitrarily issue, incinerate, and change policies.

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Governance

On ARTUBE, users can use and participate in diverse platform content, such as webtoon services and the NFT market, through the platform’s key currency, ATT. As transactions are made through one unified product, ARTUBE is increasing reliability through blockchain explorers and smart contracts where all transactions are disclosed.

However, to reach the final destination of decentralization, ARTUBE aims to introduce a decentralized governance system where creators or platform users can actively set forth and participate in the overall operation instead of a centralized operation system of existing webtoon platforms where decisions are made unilaterally

RTUBE is staking, which maintains the platform ecosystem. Users can participate in the governance vote presented by the ARTUBE team by staking more than a certain amount of ATT in the staking pool.

ARTUBE’s staking is a method with a long-term goal that provides additional rewards and voting rights to participants who delegate ATT. By staking ATT, participants can participate in the governance voting proposed by the ARTUBE team, such as the direction of the incentive pool’s use.

The ARTUBE team presents the governance of the first large ecosystem operation until the staking pool is opened and the contribution of the pool sufficient to secure reliability is distributed and voted. We are considering ways to gradually develop into detailed topics as time passes.

In the future, the ARTUBE team can consistently upgrade into a staking system that provides better rewards to participants who add significant value to the platform ecosystem, including the marketplace. Additionally, we will conduct R&D regarding securing the reliability of governance.

거버넌스

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Eco-system

Ecosystem Maintenance Measures

The ARTUBE platform issues and exchanges ARTUBE Token (ATT) and Art-Point as a medium for mutual interaction between participants.

ATT can be used as an incentive for participants’ voluntary data entry, the price for data usage, the price for dispute mediation, payment for providing services, and collateral for guaranteeing contract implementation, and ultimately, it can be used as trading means for consuming all content on the ARTUBE platform.

As the platform becomes active, content consumption activities processed on ARTUBE, advertising revenue distribution to creators, or the trading amount from payments through events will increase, and ATT’s value will rise in proportion to the growth of the ARTUBE platform.

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Eco-system

TPS & Fees

Ethereum Mainnet’s ERC-20 was issued as the initial token environment because the ARTUBE team’s ultimate goal was a decentralized ecosystem.

However, when the content supported on the ARTUBE platform was integrated through the blockchain environment and offered as a service, the biggest problem was the transfer speed and fees.

The transfer speed on the blockchain network changes according to TPS (the number of transactions per second). Recently, the Ethereum network had too many loads to handle immense transfer requests that frequently happen, along with an explosive increase in the number of users, causing slowness in speed and a gradual increase in fees.

Therefore, ARTUBE, which aims to be a decentralized platform using smart contracts on the blockchain network, selected Klatyn-based KCT swap for the ATT to allow more users to easily access with fast speed and low fees.

The lower fees through KCT will allow the platform to move closer into a decentralized form where creators and consumers can directly connect without unnecessary intermediaries through diverse smart contracts.

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The ARTUBE
Platform Ecosystem

The digital media platform industry is continuously evolving and expanding as digital media, including webtoons, is experiencing global popularity. This leads to an increase in creators and content. However, due to the rapid development, creators and users are having difficulty keeping up with the more complex and advanced platform changes.

ARTUBE aims to solve the task of providing a platform where creators can freely offer content and users can easily engage with preferred content. It also aims to provide an environment where they can actively contribute and participate meaningfully to the ecosystem by combining blockchain technology and a decentralized system to improve business performance.

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The ARTUBE
Platform Ecosystem

Creating Platform Incentive Pool

ARTUBE organizes and operates an ‘incentive pool’ to activate communication between creators and consumers, rather than unilateral content consumption, to provide a stable upload channel and an ecosystem environment for platform participants.

The incentive pool is a system that provides rewards to all participants (creators, consumers) contributing to the platform according to their activities. Participants can increase their contribution level to the platform through diverse methods, such as , , , and .

The platform contribution level refers to a participant’s qualification in receiving various rewards, such as events, services, and airdrop for users, provided through the incentive pool based on a kind of internal grading standard generated when using and supporting the ARTUBE platform.

ARTUBE’s incentive pool is activated after an advance notification is made for ecosystem expansion and development since a certain level of users and profit is generated, stabilizing the ecosystem.

The incentive pool is maintained so that a certain amount is automatically accumulated in most decentralized transaction activities occurring on the ARTUBE platform.

Until the ARTUBE platform stabilizes, establishing an incentive pool based on ARTUBE fees may not be enough to provide rewards for all participants.

Therefore, ARTUBE plans to distribute a portion of the token issued in the beginning to the supply for initial incentive payment. In the long run, we predict that the incentive pool can be operated solely on the fees that occurred on the platform through the increase in ATT’s value and platform vitalization.

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The ARTUBE
Platform Ecosystem

ARTUBE Webtoon Translation Participation

Recently, Korean webtoons are experiencing unparalleled popularity worldwide fueled by mobile optimization and digital globalization. ARTUBE plans to enter the global market by translating many of the webtoons on the platform in line with this trend.

In order to offer webtoons worldwide, it’s necessary to localize based on a deep understanding of the culture and people’s character suitable for the target country. This is because, due to the nature of webtoons, the creator’s intention and delivery of details such as the humor of each country determines the webtoon’s success.

However, the biggest problem of webtoons entering the global market is the lack of translators and errors in translation. The cause of this problem is the insufficient compensation for webtoon translators and an environment where they’re rushed to meet the schedule.

The ARTUBE webtoon platform aims to create an environment where fans, contributors, and experts, including general consumers participating in translating webtoon content, receive proper rewards based on the incentive pool and gain competitiveness in entering the global market. We’re also considering maximum rewards (e.g., royalty distribution occurred from the work) for those who provide more than a certain level of translation on certain webtoon content and contribute to the platform.

The rewards for those contributing to translations occur through the ecosystem’s recursive structure centered on ARTUBE’s incentive pool, which prevents pressure in profit on collaborative relationships, such as with partners and publishers, and creates a steppingstone for ARTUBE’s content to enter the global market.

Webtoon translation is divided into a translator who translates the text and an editor who modifies the translated text. However, most of the fans, consumers, or language experts who want to participate in translation will have little knowledge of graphic work; therefore, ARTUBE plans to provide a translation tool for translating the webtoon text and allow anyone to easily participate in the translation work.

Since it is difficult to target many webtoons at once, the webtoon translation tool selects a small number of webtoons based on the recommendation of creators or publishers actively participating in the global expansion, then undergoes a translation participation test, followed by a consideration of the direction of the webtoon translation.

In addition, ARTUBE’s final goal is to create an environment where anyone from anywhere in the world can participate in the translation by supporting a mobile version of the translation tool in the future, beyond a web-based translation tool.

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The ARTUBE
Platform Ecosystem

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The ARTUBE
Platform Ecosystem

Direct Sponsorship System

Users of the ARTUBE platform will be given an environment where they can directly sponsor certain creators with ATTs or support a creator to debut in the ARTUBE Challenge, beyond the unilateral method of simply receiving content.

The existence of “communities”, which are groups created by fans who have similar interests or support specific creators sharing their values with each other, is one of the best values that the ARTUBE platform pursues. Communities that move with a sense of belonging show strength in the development of the platform.

However, creating communities is difficult because there’s a lack of communication space between users or users and creators since on existing platforms, these communities are formed through simply comments on specific content.

Therefore, on the ARTUBE platform, users can sponsor creators with ATTs, and the sponsored amount will be transparently revealed through blockchain technology. Furthermore, it will evolve into a form of investment like crowdfunding to offer higher quality content on the platform.

In addition, a portion of the amount directly sponsored to the creator will be accumulated in the incentive pool, and the platform contribution level can be obtained according to the accumulated amount.

As the number of sponsorship targets, amount, and number of donations increases, additional contribution is generated. Through this, users can participate in ARTUBE’s virtuous ecosystem that uses the incentive pool.

ARTUBE plans to open an ARTUBE Challenge to discover new creators. The ARTUBE Challenge will provide more opportunities to creators who wish to debut or dream of a comeback and become a space of harmony where consumers can meet creators with the potential to grow.

The platform users can support both the platform and creators and gain contribution levels by viewing, supporting, and sponsoring content registered in the ARTUBE Challenge and the official content already provided by creators through contracts with the platform.

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The ARTUBE
Platform Ecosystem

Governance Participation

The most definite way to participate in the governance that ARTUBE plans to apply is the delegate ATT to the staking pool to develop the platform. Through staking, participants can most certainly gain a high platform contribution level.

ATT staking is a means to simply increase the platform contribution level and gain voting power to participate in the decentralized governance across the ARTUBE platform.

ARTUBE continuously strives to ensure that, once users gain the rights to participate in governance, they can participate in the governance proposed by the ARTUBE team, from the direction of the incentive pool’s use to the overall detailed operational policy, and even directly propose governance. For more details on governance, please refer to the governance section in the White Paper.

Staking is not only used by general users but also to gain rights to register and sell works in the NFT Marketplace expected to update in the future. For creators who are already officially contracted with ARTUBE, they will receive rights to NFT minting or registering in the Marketplace for basic digital content. However, creators accessing from outside the platform can gain rights to register in the ARTUBE NFT Marketplace through ATT staking as a deposit for market use.

참여

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The ARTUBE
Platform Ecosystem

Providing Content

The most basic way to contribute to the platform is to provide high-quality content on the platform through an ARTUBE contract. Users can gain the most contribution level with regular serial work, including webtoons.

The value of the content is determined based on various elements, such as viewing counts, frequency, period, trend, and reliability. ARTUBE aims to regularly adjust and fairly determine the weight of each element.

Through these methods, we will push more rewards to be made in situations where the absolute value of the content accumulated on the ARTUBE platform is insufficient, offering merit to early content providers to motivate them to participate in the platform vitalization and produce higher quality content.

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Token Distribution

Coin Allocation Information

ARTUBE will invest 750 million of 5 billion ATTs to the incentive pool to maintain the initial ecosystem, so that they can be used as a resource for differentially rewarding initial participants contributing to the ARTUBE platform based on their contribution level. In addition, 750 million ATTs will be used to expand the initial marketing and network of the ARTUBE platform.

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Token Distribution

Incineration Policy

ARTUBE has an incineration policy that adjusts the circulation amount of ATTs in the market as one of the ways to maintain ATT’s value.

Fundamentally, the key revenue model of the ARTUBE platform is based on receiving a portion of the revenue generated from a set of economic activities on the platform as fees and selling secondary copyright goods through advertisements and IP sales.

ARTUBE will allocate a portion of the generated revenue in this business model as ATT buy-back funds and plan to allocate to the reserve amount when the incentive pool is exhausted.

ATTs traded as exchange market price through buy-back will be included in the reserve amount for a certain period and go through a ‘waiting period’.

If the incentive pool does not face a liquidity shortage until a certain period, the buy-back amount is burned to increase and stabilize ATT’s value.

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Road map

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Disclaimer

We at ARTUBE (which refers to the ARTUBE Project Team and its shareholders, employees, and affiliated companies) created this White Paper to provide detailed information on ARTUBE Team’s plan for reference purposes to those interested in ARTUBE.

This document is not written to encourage sales proposals or investments and is not in any form a general suggestion or a general advertisement for the benefit related to investments directly or indirectly managed by the representatives/partners.

Unless otherwise specified, this document is provided in resistance to events and conditions that exist ‘at the time of creation’, thus does not guarantee that all content in this White Paper, including the conclusions, will be accurate in the future.

Any delivery of this document or sales related to this document includes ARTUBE’s specific assertions, estimations, and predictions associated with ARTUBE’s potential future performance after the document’s date of creation but does not guarantee that ARTUBE’s actual performance will correspond to these estimations and predictions.

In addition, ARTUBE’s actual performance may be significantly different from these estimations and predictions. ARTUBE does not testify or guarantee the accuracy of any matters related to this White Paper and does not bear any legal responsibility for it.

Furthermore, assumptions based on assertions, estimations, and predictions presented by the board of directors may be inaccurate.

Such assumptions are fundamentally influenced by uncertainties and emergencies, and a considerable number of these uncertainties and emergencies are a matter that cannot be controlled by ARTUBE and its board of directors.

ARTUBE does not guarantee 1) if this White Paper has been created based on rights within a legitimate scope and if it does not violate the rights of a third party, 2) if this White Paper has a commercial value or usefulness, 3) if it is suitable to achieve specific objectives of the readers of this White Paper, and 4) if there is no error in the White Paper content.

In addition, we would like to state that the scope of liability exemption is not limited to these examples.

If this White Paper is used (including referencing the document or using it as evidence, and not limited to these), please note that the ARTUBE Team does not take responsibility for all consequences that occur from it, including compensation or other liabilities, even if damage, loss, or debt are incurred from using this White Paper, regardless of profit or damage.

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