Copyright Tokens (ERC-20)

Fractional ownership and tradeable copyright shares

What are Copyright Tokens?

Copyright tokens are ERC-20 standard tokens that represent fractional ownership of a copyright. Each registered work automatically receives 1,000,000 tokens created by the TokenFactoryV9 contract.

Token Characteristics:

  • Standard: ERC-20 (Ethereum compatible)
  • Supply: 1,000,000 tokens per work (fixed)
  • Divisibility: 18 decimal places
  • Tradeable: Yes, on compatible exchanges
  • Royalty Rights: Proportional to token ownership

How Copyright Tokens Work

Automatic Creation

Tokens created automatically when work is registered

Ownership Proof

Token balance = percentage of copyright ownership

Royalty Entitlement

Royalties distributed proportionally to token holders

Transferable

Can be sold, traded, or transferred like any ERC-20 token

Calculating Ownership Percentage

Formula:

Ownership % = (Your Tokens ÷ 1,000,000) × 100

Examples:

  • 1 token = 0.0001% ownership
  • 1,000 tokens = 0.1% ownership
  • 10,000 tokens = 1% ownership
  • 100,000 tokens = 10% ownership
  • 500,000 tokens = 50% ownership
  • 1,000,000 tokens = 100% ownership

Initial Token Distribution

When a work is registered, tokens are automatically distributed to creators based on their roles:

Musical Work Tokens

Distributed equally among composers and lyricists. If there are 3 creators, each receives 333,333 tokens (33.33% ownership).

Recording Tokens

Distributed to performers and producers based on specified percentages. Custom splits allow flexible ownership structures.

Trading Copyright Tokens

Important: Selling Tokens = Selling Rights

When you sell or transfer copyright tokens, you are transferring ownership rights and future royalty entitlement. The buyer receives:

  • Proportional copyright ownership
  • All future royalty payments
  • Governance rights (if applicable)

Where to Trade

Copyright tokens can be traded on any ERC-20 compatible exchange or DEX (Decentralized Exchange). Popular options include Uniswap, SushiSwap, and others.

Token Ownership & Royalties

Royalties automatically follow token ownership. The RoyaltyDistributorV9 contract checks token balances and distributes accordingly.

Example: Token Sale Impact

Original Creator owns 500,000 tokens (50%)

Sells 200,000 tokens to Investor


New Ownership:

  • Original Creator: 300,000 tokens (30%) → receives 30% of their share of royalties
  • Investor: 200,000 tokens (20%) → receives 20% of creator's share of royalties

TokenFactoryV9 Smart Contract

The TokenFactoryV9 contract automatically creates ERC-20 tokens for each registered copyright.

Contract Address:

0x451f7CD81385D399176E1Ff25Acc2baA09c36B0A

Automatic Minting

1M tokens created per work registration

Fixed Supply

No additional tokens can be created

ERC-20 Standard

Compatible with all Ethereum wallets

Transparent

All transfers visible on blockchain

Managing Your Copyright Tokens

View Your Tokens

Check your token balance in the CopyrightChains Dashboard or any Ethereum wallet (MetaMask, etc.).

Transfer Tokens

Use your wallet to send tokens to another address. Standard ERC-20 transfer process applies.

Track Ownership Changes

Monitor token transfers on the blockchain explorer to see ownership changes over time.

Open Explorer

Common Questions

Can I create more tokens for my work?

No, the supply is fixed at 1,000,000 tokens per work. No additional tokens can ever be minted.

What happens if I lose my tokens?

Lost tokens cannot be recovered. If you lose access to your wallet, the tokens (and royalty rights) are permanently inaccessible.

Can I buy someone else's copyright tokens?

Yes, if they're willing to sell. Copyright tokens can be traded like any ERC-20 token on compatible exchanges.

Do I need all 1M tokens to receive royalties?

No, royalties are proportional. Owning any amount of tokens entitles you to that percentage of royalties.

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