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How Revenue Works at EFA–ARC

Artwork

EFA–ARC Digital Masterwork(Certified, protected, archived)

Multiple Revenue Paths

→ Prints

→ Digital Licensing

→ Collectibles / Tokens

→ Media & Special Uses

Revenue Generated

Shared with Artist + Reinvested in Platform

EFA–ARC is being built to solve a specific problem artists face today:

 

You can create exceptional work — but the systems that protect, distribute, and monetize it at scale are fragmented, outdated, or stacked against you.

 

Our role is not to replace artists.

Our role is to build the infrastructure artists shouldn’t have to build themselves.

 

 

The Core Idea

 

When your artwork is captured as an EFA–ARC Digital Masterwork, it becomes more than an image file.

 

It becomes:

  • A certified digital original

  • A protected master asset

  • A source for prints, licenses, and future opportunities

 

From there, revenue depends on how the work is used and who is doing the work to make that revenue happen.

That’s why revenue sharing is structured by category — not one blanket split.

 

 

Prints: When We Handle Everything

 

When a print is sold through the EFA–ARC marketplace, we handle:

  • Capture & mastering

  • File management & storage

  • Print production & quality control

  • Customer service & fulfillment

  • Payment processing & liability

 

In these cases:

  • You earn ongoing income from every sale

  • You don’t front production costs

  • You don’t manage orders or logistics

 

This is similar to how galleries or publishers operate — except the asset remains digital-first and scalable.

 

Prints: When You Drive the Sale

 

If you sell prints directly (studio sales, collectors, exhibitions) using an EFA–ARC–certified master:

  • You keep the majority of the revenue

  • We retain and protect the master file

  • Certification ensures consistency, legitimacy, and long-term value

 

This keeps you flexible while preserving the integrity of the work.

 

Licensing: Where Digital Work Scales

 

Licensing is how artwork earns without being resold endlessly.

 

Licenses may include:

  • Editorial or publishing use

  • Digital display (web, screens, galleries)

  • Commercial or brand use

 

In these cases:=

  • Revenue is shared because both sides contribute value

  • You provide the creative work

  • EFA–ARC provides mastering, rights enforcement, contracts, and access

 

This is how music, photography, and media licensing work industry-wide.

 

Tokenized & Digital Collectibles

 

When artwork is issued as a digital collectible (NFT / ARC Coin):

  • The master file remains protected

  • Smart contracts define ownership and royalties

  • You earn on initial sales and future resales

 

EFA–ARC covers:

  • Technical setup

  • Platform operations

  • Long-term availability and verification

 

This ensures collectibles don’t disappear when trends change.

Derivative & Future Uses (Always Optional)

 

Some opportunities — like AI-based projects, cinematic use, or expanded media — go beyond traditional art sales.

 

These are:

  • Never automatic

  • Always opt-in

  • Clearly defined before approval

 

If you participate, revenue reflects:

  • Long-term platform investment

  • Ongoing risk and management

  • The scale of opportunity involved

 

You always retain visibility and consent.

 

What You Always Keep

 

Regardless of category:

  • Your authorship is never removed

  • Your work is never used without agreement

  • Your revenue is reported transparently

  • Your master is never quietly duplicated or diluted

 

If you ever choose to exit, options are clearly defined.

 

Why This Model Exists

 

Traditional options force artists into extremes:

  • Total control with no scale

  • Scale with loss of control

 

EFA–ARC is designed as a middle path:

  • You focus on creating

  • We focus on building systems that last

 

When the work performs, both sides benefit.

One Final Point (Important)

 

If you ever want full ownership and total control of the master file, that option exists.

 

It’s simply treated the same way it would be in music, film, or publishing:

  • As a buyout

  • At a value that reflects future potential

 

Most artists prefer participation over exit — but the choice is yours.

EFA–ARC doesn’t profit from artists.
It profits with artists — by making their work durable, legible, and valuable in a digital world.
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Revenue-Sharing Terms (Masterwork-Based Model)

 

 

Governing Principle (Non-Negotiable)

 

Revenue follows asset control and operational burden.

Whoever owns, maintains, distributes, enforces, and scales the asset earns the larger share.

 

EFA-ARC is not a passive service provider. It is a mastering studio, licensing authority, and distribution platform.

 

1. Revenue Categories

 

Revenue is segmented intentionally. Each category has its own split logic.

 

  1. Physical Print Sales

  2. Digital License Fees

  3. Tokenized Assets (NFT / ARC Coin)

  4. Secondary Market Royalties

  5. Derivative / Media / AI Revenue

2. Physical Print Revenue

 

 

A. EFA-ARC Marketplace / Fulfillment

 

EFA-ARC Handles:

Capture, master, hosting, print production, QA, fulfillment, customer service, payment processing.

 

Split (Net Revenue):

 

  • Artist: 40%

  • EFA-ARC: 60%

 

Most galleries pay artists 40–50% while doing far less operationally.

 

 

B. Artist-Driven Sales (EFA-ARC Certified Files)

 

Artist handles sales; EFA-ARC handles certification & master retention.

 

Split:

 

  • Artist: 70%

  • EFA-ARC: 30%

3. Digital Licensing Revenue

 

A. Standard Licensing (Web, Editorial, Print Editions)

 

Split:

 

  • Artist: 50%

  • EFA-ARC: 50%

 

Rationale:

 

  • Artist contributes creative IP

  • EFA-ARC contributes master quality, rights enforcement, and deal flow

​​​

B. Commercial / Enterprise Licensing

 

Split:

 

  • Artist: 40%

  • EFA-ARC: 60%

 

Why the shift:

 

  • Negotiation, compliance, legal exposure, and brand risk sit with EFA-ARC

  • Enterprise buyers are paying for certainty and authority, not just art

 

4. Tokenization & Blockchain Revenue

 

A. Primary Sale (Initial Mint)

 

Option 1 — Flat Split

 

  • Artist: 50%

  • EFA-ARC: 50%

 

Option 2 — Platform-Weighted (Recommended)

 

  • Artist: 40%

  • EFA-ARC: 60%

 

Use Option 2 when EFA-ARC funds minting, smart contracts, and marketplace operations.

 

B. Secondary Market Royalties

 

Typical Structure:

 

  • Total Royalty: 10–15%

 

Split:

 

  • Artist: 60%

  • EFA-ARC: 40%

 

This reinforces long-term alignment.

 

5. Derivative / Media / AI Revenue (High-Value)

 

This is not assumed. It must be explicitly opted into.

Approved Derivative Uses:

 

  • AI training

  • Cinematic adaptations

  • Generative expansions

  • Transmedia licensing

 

Baseline Split:

 

  • Artist: 30–40%

  • EFA-ARC: 60–70%

 

Why:

 

  • Platform risk

  • Long-term monetization strategy

  • Regulatory and IP exposure

  • Infrastructure amortization

 

Revenue shares may increase for artists when they actively participate in production.

 

 

6. Full IP Buyout Revenue

 

If an artist elects a full IP transfer:

 

  • Artist receives 100% of buyout price

  • EFA-ARC exits all future revenue

  • Buyout priced at 5–10× expected lifetime license value

 

This is intentionally expensive and rare.

 

7. Cost Recovery Waterfall (Optional but Smart)

 

For large projects or funded production:

 

  1. Gross Revenue

  2. Direct Costs Recovered (printing, minting, marketing spend)

  3. Net Revenue Split Applied

 

This protects cash flow and investor confidence.

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