Proof-of-Content is a cryptocurrency consensus mechanism for processing transactions and creating new blocks in NIM native blockchain CopyrightsChain. A consensus mechanism is a method for validating entries into a distributed database and keeping the database secure.
Decentralization is essential to the NIM infrastructure of technology. There’s no central gatekeeper to manage the record of transactions and data. Instead, NIM relies on many of participants to validate incoming transactions and add them to the CopyrightChains.
Proof of Content is based upon Proof of stake.
Traditionally a consensus mechanism helps choose which participants get to handle the lucrative task of validating new data. We have achieved consensus when a transaction is deemed legitimate and added to the blockchain. With Proof of stake, participants referred to as “validators” lock-up set amounts of cryptocurrency or crypto tokens—their stake. Proof-of-Content does exactly that, locking up content giving all content a certain measure of value.
A measure of value.
Before NIM, there was no other alternative to the mechanism used by the market to set, determine, or measure the value of various goods and services. With NIMs CopyrightChains, that has changed!
NIM Tokens need to have constant intrinsic value and stable purchasing power to serve as a measure of value and a medium of exchange. Determination of price is an essential condition for justice in exchange. The vital function of a medium of business is to be widely accepted and have relatively stable purchasing power (actual value).
Proof-of-Content is backed by royalties.
Backed by the very lifeblood of the Internet the value of NIM ecosystem is stable. Digital Service Providers (DSPs) must pay a licensing fee (royalties) in Royalties tokens. Alternatively, Royalty tokens represent reports that are the base of invoices. Royalties tokens can only be exchanged to fiat or CREATIVES – if exchanged to CREATIVES, a transfer of Euro representing the value of Royalties tokens will be transferred to NIM escrow bank account and CREATIVES will be issued
CREATIVES are the currency of royalties (created by all digital cultural content):
• copyright owners and investors in copyrights will use CREATIVES.
• DSPs can use CREATIVES to buy Royalties tokens.
• DSPs will allow their subscribers to pay their subscription with CREATIVES
• CREATIVES will become the “de facto” currency for all digital cultural content.
• The value of CREATIVES will increase over time.
• New Internet Media manages the supply of CREATIVES.
To be clear:
When ROY is exchanged to fiat in escrow, ROYs is burned (deleted) when the equivalent amount in Euro is transferred to the Copyright holder’s bank account. When ROYs is exchanged to CREATIVES, the ROYs is burned (deleted) when the equivalent amount in Euro is transferred to NIMs escrow bank account.
At the same time, the CREATIVES will (after the current price swap/exchange) be transferred to the holder of the CopyrightShares wallet. The exact amount as CREATIVES in NUT will also be transferred to the Copyright holder’s wallet for use in the CopyrightChains of NIM.
Consequently, if you are a Copyright holder, you will receive NUT for free when you exchange ROYs to CREATIVES. If you are NOT a CopyrightShares holder (i.e. receiving royalties), you will have to pay for NUT to access the services in CopyrighChains and NIM ecosystem