Mad Invest announced the launch of a new blockchain-based film financing and distribution model.
The team, who produced one of the world’s first fully fan-funded films, namely Mad Heidi, he has already worked on crowdfunding involving many stakeholders around the world.
In a similar scenario, the use of the blockchain allows you to significantly reduce the costs of managing the process by automating transactions and ensuring trust between all parties.
Mad Invest has decided to use ERC20 tokens, based on the Ethereum network, which are minted every time an investment is confirmed, and to use smart contracts that reduce costs and human errors.
Revenue distribution, based on blockchain, is supported by Filmchain , a UK based company, and all the proceeds from the film are paid directly into the Filmchain.co blockchain collection account, and then into the Mad Investors wallets. Each investor can then transfer their share of the income to their bank account once their portfolio balance has reached a minimum of 30 Swiss francs.
I Mad Investors have already had the opportunity to register in advance to purchase shares of Mad Heidi, which so far has already raised 250,000 Swiss francs, but now anyone can buy shares on invest.madheidi.com.
To start the production of the film it will be necessary to raise a minimum of 1 million francs (set as a soft cap), while to collect this figure 4,000 shares of 500 francs were issued, equal to a hard cap of 2 million francs.
If the soft cap is not reached, the investment will be returned to the investors.
The distribution of the film will be controlled by the production team, in order to reduce the risks related to piracy, and the costs of distributors and agents.
Investors will participate in all net revenue of the film, including those from digital streams, downloads, from sales of DVD, Bluray or other physical formats, or from movie releases and TV sales. Investors having invested more than 5,000 francs will also participate in the net revenues generated by the sale of merchandise.
The film is dedicated to the “return” of the mythical girl who lives in the Alps, now raised in an alternative Switzerland that fell under fascist rule. His desire for freedom will be the spark that will ignite a revolution.
Mad Heidi is an action-adventure-comedy-horror parody, a kind of Kill Bill meeting The Sound of Music.
Co-producer of the film, Tero Kaukomaa, said:
“Using the power of the blockchain, MAD HEIDI is proving that fan-funded films for a worldwide audience are not only fun, but also a profitable investment opportunity. The MAD INVEST model is a first in that backers can participate directly on an equal footing in financing a global film, share the net revenue, and unlock invaluable bonus rewards, such as being in the film, visiting the set or even getting their name in the titles of tail. Using a collective investment model, blockchain technology, and a simultaneous global release, MAD HEIDI will also eliminate the problem of piracy as well as the many intermediaries such as distributors and sales agents who take their share and reduce revenue. It’s a win for the film’s supporters, fans and the film industry in general. ”