Web3 video streaming platforms could take on Netflix & YouTube as decentralisation shapes the future of streaming

In recent years, the rise of blockchain technology and the web3 movement has brought a paradigm shift to various industries, including the media and entertainment sector. Web3 video streaming platforms are emerging as a disruptive force, offering users decentralised alternatives to traditional streaming services like Netflix and YouTube.

While the current news of Netflix retracting its password-sharing option has upset a considerable number of its userbase, could the advent of web3 streaming platforms be the answer to these problems?

Traditional platforms rule the roost, but...

Traditional streaming platforms like Netflix and YouTube rely on centralised servers to host and distribute content. While they have provided convenient access to a vast library of content, they also come with certain limitations. One of the main drawbacks is their centralised nature, which gives control over content curation, monetisation, and access to a single entity.

This control can lead to issues like content censorship, arbitrary algorithmic recommendations, and revenue distribution imbalances between content creators and the platform. In this specific case, its password-sharing policies.

Clearly, these centralised platforms have their hands on the the remote controller.

Benefits of web3 video-streaming platforms

Web3 video-streaming platforms, on the other hand, leverage blockchain technology to offer a decentralised approach. Content is distributed across a peer-to-peer network of nodes, making it more resistant to censorship and creating a more democratic system where content creators and consumers have more control. This unlocks benefits in terms of the platform’s pricing policies as well. One of the significant benefits of web3 video streaming platforms is improved content monetisation.

With blockchain-based smart contracts, creators can directly receive payments from users without intermediaries taking hefty cuts. This ensures fairer revenue distribution and empowers content creators, especially independent artists and smaller creators, to monetise their work effectively.

Moreover, web3 platforms often incorporate native tokens or cryptocurrencies, enabling innovative tokenomics models. Creators can mint their tokens, allowing their audiences to invest in their success. As a creator's popularity grows, the value of their tokens may increase, offering potential returns for early supporters and investors. Not only that but the people watching the content can also be paid for the number of hours they invest in watching the content. That’s the beauty of blockchain-based tokenomics.

Another crucial advantage of web3 video streaming platforms is enhanced data privacy. With traditional platforms, user data is collected and stored on centralised servers, leaving it vulnerable to data breaches and misuse. Web3 platforms use decentralised storage and encryption mechanisms, granting users greater control over their data, ensuring it is not in the hands of a single entity, and promoting a more secure online environment.

Challenges with web3 video-streaming platforms

Despite these advantages, web3 video streaming platforms also face challenges. The current state of blockchain technology, particularly regarding scalability and energy consumption, can hinder seamless video streaming experiences. As this technology continues to evolve and scale, these issues are expected to improve. Additionally, user adoption remains a significant obstacle.

While blockchain enthusiasts and early adopters may embrace the decentralisation aspect, the average user may find the transition cumbersome. Simplified user interfaces and seamless integration will be key to encouraging wider adoption.

Conclusion

In summary, web3 video streaming platforms represent an exciting and disruptive evolution in the streaming industry. By leveraging blockchain technology and decentralisation, these platforms offer benefits such as improved content monetisation, enhanced data privacy, and increased content control for both creators and users. At the moment, there a few decentralised video-streaming platforms operating in the web3 space, namely LBRY and D.Tube, however, they lack the massive userbase that traditional centralised platforms have been able to garner over the years. 

Challenges related to scalability, energy consumption, and user adoption must be addressed to fully realise the potential of web3 video streaming platforms. Looking ahead, the future of streaming indeed appears to be centred around decentralised platforms.

As centralised platforms like Netflix, YouTube and several other platforms are more centred around revenue-generations models where premium subscriptions get users quality content, decentralised platforms may give the creators and even the consumers of the content a chance to earn a share of the pie.

As more users recognise the value of decentralised content distribution, and as blockchain technology advances, web3 video streaming platforms are likely to gain momentum. Ultimately, this paradigm shift has the potential to reshape the streaming landscape, fostering a more open, transparent, and equitable environment for creators and audiences alike.