Appearing as the main guest interview on Sky News’ Coincast TV, Linius Technologies’ (ASX: LNU) CEO Chris Richardson outlined how Linius’ unique video virtualization technology is making video blockchain possible for the first time.
And, considering that video accounts for approximately 80 percent of today’s total web traffic, that’s no small feat. Linius is actively working to launch the world’s first video blockchain.
Richardson’s interview begins at the 16:07 mark of Coincast TV, episode seven – the world’s first mainstream news program dedicated to everything blockchain:
Read Linius’ blockchain strategy announcement HERE >
Read Linius’ blockchain strategy overview HERE >
Cryptocurrency – a medium of exchange using encryption techniques that control and verify the creation and transfer of funds – is experiencing well-publicised market fluctuations.
But, the technology on which it is based – the distributed and decentralized digital ledger known as blockchain – provides a solid platform for solving both long-standing and new business challenges.
The Linius virtual video blockchain (Linius Blockchain) strategy applies Linius’ world-first Video Virtualization Engine™ (VVE) to video, overcoming file size and data complexity challenges. Challenges, which have prevented people utilizing blockchain as a means of distribution for video content.
When applied to digital video content, the Linius virtualization process breaks video down into blocks of data and creates extremely small virtual video files, which are a fraction of one percent of the original file size. Those virtual video files can then be easily transferred and managed by blockchain to protect, distribute and monetize video content.
“The challenge with blockchain is that it works really well for text-based environments,” said Richardson in his Coincast TV interview. “If you think about cryptocurrency, a coin is just a string of characters. But video is really, really large.
“As of six to eight months ago, the Bitcoin blockchain database was already over 150 gigabytes – just for tiny, little crypto transactions. You can imagine if you had 250 megabyte movies in there, instead of little coins, it would quickly become impossible. There’s no way it could scale to the amount of data needed, even in the entire internet, to support doing blockchain for video.
“Virtual video solves that problem. What we actually do is virtualize the video itself, so that the raw data is separated from the components that make a video, resulting in an infinitesimally tiny file, which can then be worked into the blockchain database.”
The advantages of distributing video content via blockchain are numerous; particularly for the media and entertainment industry.
For example, online video piracy cost the film and television industry an estimated US$31.8 billion last year. Using blockchain as a mechanism to distribute virtual video files has the potential to eliminate video piracy as we know it, with content transfer only taking place when both content owner and content consumer have confirmed its legitimacy.
“Your viewers, who understand cryptocurrency, will be familiar with the double-spend problem,” said Richardson. “The blockchain solves this notion that you can just have a coin, and copy it and spend it two or three or four times – effectively counterfeiting.
“We think of blockchain for video as solving the double-play problem. Today, once a video is out there, you can make a copy, you can share it with your friends – it goes everywhere.
“But, if you solve the double-play problem, you solve the piracy problem.”
And, the benefits of video blockchain don’t start and stop at anti-piracy. Video blockchain also has the potential to facilitate new revenue models, drive customer reach and deliver new flexible options for monetizing digital video content.
For example, content developers and distributors can track precisely when and what video content is played, enabling instant payments at the time of playback, based on digital blockchain contracts.
The complete transaction visibility and auditability offered by blockchain doesn’t merely represent a method for preventing unauthorized viewing of content. It also enables secure peer-to-peer transactions, meaning video producers and rights holders can leverage the blockchain to increase distribution of content at a scale never before seen.
For content consumers, video blockchain also represents a uniquely safe and secure framework for instantly accessing, and paying for, high quality video content.
“What we’re excited about, is the number of new applications that will be able to be built using blockchain and video virtualization in conjunction,” said Richardson. “You can think of whole new business models.
“Today, everybody is constrained by how they can distribute and charge for video. But, once you’re able to distribute video freely, and you have control over ownership and transactions, an entire world of new business models and monetization opportunities become possible.”
Linius Technologies Limited (ASX:LNU) has invented and patented the Video Virtualization Engine™ (VVE), which is available on Amazon Web Services, Microsoft Azure and IBM Cloud.
Amazon, Microsoft and IBM are investing billions in virtualizing video services (technologies) and Artificial Intelligence in the cloud. It is arguably the biggest battle on the internet, given that video accounts for nearly 80 percent of internet traffic.
Only Linius can expose the data that makes up the video file, making cumbersome video as flexible as all other forms of data. Accessing the data within the video file is the missing link for video cloud service providers, creating unparalleled value across the internet video industry.
Linius has the potential to transform many multi-billion-dollar markets, and is initially focused on:
For more on Linius Technologies, visit www.linius.com
Lachlan James, Director of Marketing and Communications at Linius Technologies, +61 (0)431 835 658 or firstname.lastname@example.org
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