$EDBK, that means Economics Design Book. A very innovative name, I know.
The general idea is to:
Limit publishing rights of physical books to specific geographical regions
Price publishing rights in accordance to the perceived risks
Use the token to account for distribution of additional income
The main fear by publishing houses is to know the market demand for the book. Thus, $EDBK signals the demand to decrease information asymmetry. Since $EDBK is an NFT that represents the right to resell and publish the book, the only difference is in the details. For example, how long they have the rights for, the geographical area and quantity of books.
The price of the $EDBK is determined by a bonding curve. The earlier a publisher purchases the token, the cheaper it is. That means, they take on the risk to be the first mover and in return, pay a cheaper fee as a publishing house. As market demand for the book increases, this encourages other publishers to get the rights. Now, the publishers are certain about the market demand of the book and there is less risk to publish this book. Thus, they pay a higher fee to buy the rights to publish the same book.
The publisher pays royalties to the author, me, and keeps the mark up. Part of the royalties will be added to the pool and distributed to the $EDBK holders proportionally, including any other sales by the self-publisher (me). These rules and agreements will all be embedded into the bonding curve, via a smart contract.
Call out box: So, if you are a book distributor keen on participating in this experiment, please reach out to email@example.com! Or if you are keen on distributing the books, let me know too