WHAT IS INTELLECTUAL PROPERTY IN ARTIST TERMS?
Any creative output, including literary and creative works, inventions, designs, symbols, names, and images, as well as computer code, is referred to as intellectual property.
Copyright, trademark, and patent law all fall under the purview of intellectual property law, which was established to safeguard creators.
Therefore, the word "intellectual property" refers to both copyright and industrial property, including trademarks, patents, and inventions.
WHAT IS COPYRIGHT IN ARTIST TERMS?
Copyright, in and of itself, is considered a form of intellectual property.
According to the U.S. Copyright Office, copyright is:
A collection of exclusive rights granted to the owner or copyright holder of an original and creative work of authorship that has been permanently incorporated into a material form of expression.
A brief period during which a copyright holder (life plus 76 years) has the exclusive authority to market work. A user of a work covered by copyright may, under some circumstances, exercise an exclusive right without obtaining permission or paying a license fee.
Copyright covers creative and literary works such as:
Books, plays, movies, and poetry.
Musical pieces that include any musical accompaniment.
Artistic creations like sculptures, paintings, photographs, and sketches.
Architectural designs.
Pantomimes and choreographic pieces (such as dances).
Motion pictures and other audiovisual works (including TV shows, commercials, and others).
Sound recordings (whether it be in digital forms, like an iTunes file, or tangible form, like a CD).
Artists’ rights related to copyright include those of performing artists in their performance, phonogram creatives in their recordings, and broadcasters' rights in their radio and television shows are all covered by copyright laws.
(Source: "Copyright Basics" by the U.S. Copyright Office, available here).
You may be wondering, what are these "exclusive rights" under the U.S. Copyright Law?
According to Section 106 of the 1976 Copyright Act, the owner of the copyright traditionally has the following rights:
Duplicate the work.
Prepare derivative works from the original (also known as derivative works).
Publicly distribute copies of the work (by sale or other transfer of ownership; by rental, lease, or lending).
If the work is a literary, musical, theatrical, or choreographic piece, or if it is a painting, graphic, or sculpture—including stills from a movie or other audiovisual production—perform the work in public.
If the art is a picture, graphic, or sculpture—including stills from a movie—or a literary, musical, theatrical, or choreographic production, it must be displayed in public.
Perform the work publicly or through digital audio transmission (if it’s a sound recording).
It is recommended to think about these groups generally. For instance, computer programs and the majority of "compilations" may be categorized as "literary works," whereas maps and architectural blueprints may be listed as "pictorial, graphic, and sculptural works."
Bottom Line: what rights do you have to your art when you create a piece of art?
Artists who have produced fixed, tangible works are granted a number of rights in such works under copyright. The rights guarantee that artists can make money off of their creations while also protecting aesthetic integrity. The rights to reproduce, distribute, perform, publicly display, and create derivative works from an artist's original work follow the creation of the original.
Not all of those rights are transferred to the collector who ultimately purchases the work. While many NFT collectors believe that when they purchase a painting or sculpture, the copyright to that work is transferred, this is not the case. The creator's copyright only transfers to the new owner of the work if the creator demonstrates that it is intended to do so. What exactly does this mean? If you purchase a Jason Matias Aria, you will be able to display your unique copy of that Aria. However, you do not have the legal right to photograph the work, reproduce it in any way, and sell them unless you have the artist's express permission, which in this case would be mine.
WHAT RIGHTS DO NFT HOLDERS HAVE WHEN COLLECTING ART?
Technically, none.
As an NFT holder, collectors are only entitled to the rights outlined in the smart contract embedded in the non-fungible token. The creator retains sole ownership of all other rights. Additional rights must be obtained from the creator.
The common misconception is that when a collector buys an NFT, they automatically own all of the intellectual property associated with that NFT. This is not true. The collector's rights as a token holder are strictly limited to what is specified in the smart contract. Unless otherwise stated in the smart contract, even if they purchase a beautiful piece of artwork, it does not mean they own the artwork itself.
As an NFT creator, you must include your terms in the smart contract of your NFT. Here are some terms to consider when creating your own non-fungible token:
What benefits does the token holder receive?
What exactly does the token holder own?
What are the token holder's ownership rights?
Is there any restriction on what can be done with the content?
When creating terms for your NFT, being specific and transparent makes it simpler for the buyer to understand exactly what they are purchasing.
Copyright protects an NFT's intellectual property. Copyright refers to the legal right to the intellectual property of the NFT owner. Sections 107 to 122 of 17 U.S. Code apply to all NFT creators. 106 - Exclusive rights in copyrighted works. The creator of the NFT has the sole authority to do and authorize any of the following:
Reproduce.
Create derivative works.
Distribute duplicates.
Perform the copyrighted work publicly.
Publicly display the copyrighted work.
To summarize:
When creating and collecting your own non-fungible tokens, it's important to consider the legal aspects that many people overlook. Unless you as the creator state otherwise in the terms, the collector does not own any rights to your NFT. The only thing you own is the non-fungible token itself, which is a blockchain transaction that represents another asset located elsewhere.
As an NFT creator, it is critical that you provide your customers with detailed information about the terms and conditions of the NFT. This not only protects you and your copyright but also allows for a simple and transparent transaction between you and your buyer.
If you have any questions about copyright laws or your NFTs, I recommend contacting a copyright lawyer to get a more detailed breakdown.