LOS ANGELES — The rise of blockchain technology has generated an evolution in the modern creator economy — and the adult industry is no exception. Adult platforms and secure billing processors started accepting cryptocurrencies long before Elon Musk, the billionaire behind Tesla and SpaceX, endorsed tokens like Dogecoin as “money.”
Even before Musk weighed in with his endorsement of the cryptocurrencies, Pornhub announced that Dogecoin — among other crypto tokens — are a preferred payment method, given the occasional struggles with more ‘traditional’ options like Mastercard and Visa. Cryptocurrency has generated adult industry-native tokens and blockchain-built payment options, as well. But crypto coins and the growing acceptance of them aren’t the whole story when it comes to blockchain-related technologies and the adult industry.
YNOT has reported extensively on the rising trend of NFT art in the adult space. NFTs, or non-fungible tokens, are essentially a digital certificate of ownership rights typically built on the open-source Ethereum blockchain. Unlike other digital currencies, NFTs are one-of-a-kind work with a unique value that cannot be duplicated.
One could swap an ETH token for another ETH token, each worth the same value; but the uniqueness of NFTs is nearly impossible to swap one out for another. An NFT can really be anything unique and digital — a drawing, unique audio, a video series — but the current excitement in the adult and mainstream segments has focused on the sale of digital art and photographs. This blank slate, so to speak, has presented adult content creators with enterprising opportunities to mint and sell their own unique NFTs to their fans. Frankly, people are eating it up.
YNOT spoke with adult performer Sabrina Night (a.k.a. Sabien Demonia) discussing her involvement in the NFT space. Sabrina Night is a brand ambassador for several adult start-ups. She is currently working with cam platform Cherry.tv, as well as xxxNifty — an adult-focused NFT marketplace and the firm behind the $NSFW token.
“I was very happy when I received an email from one of the first NSFW NFT platforms called xxxNifty,” Night told YNOT. “I immediately decided to join their team and make my own NFT drop.”
“I’m an ex-art student, so the artistic site of erotica has always been very important for me,” Night continued. “I’m always reading about new art techniques and trends, and often visit art exhibitions. Because of that, I already knew about NFTs becoming a very popular way of giving back power to creators in the computer era, where everything can become viral overnight, but its original creator doesn’t get the credit.”
“I think NFT’s can be a very interesting new take on content selling, and it’s definitely worth taking a closer look,” she said. “I’m sure paying with cryptocurrencies for NSFW content is definitely the way of the future.”
Regardless of success in this space, some are hesitant to recommend a full dive into the space of crypto without the proper information. Attorney Corey Silverstein, the managing partner at Silverstein Legal, told YNOT that content creators should be wary of potential regulatory oversight and weighing the costs and benefits of NFTs.
“Contrary to many people’s opinions, blockchain, crypto, and NFTs are still in their infancy,” Silverstein said. “I love the opportunity that blockchain, crypto, and NFT’s present but at the same time I am fearful for individuals who do not take the time to get a solid grasp on how these technologies work, how to use them safely, and not attempt to use them as a tax avoidance opportunity.”
“Whether you are an NFT creator or purchaser it is essential that you ensure you utilize a CPA who is trained or experienced in the intricacies of cryptocurrency-related taxation,” Silverstein added. “The IRS has created a group whose sole and specific purpose is to locate, audit, and penalize US taxpayers that are either not making appropriate disclosures or paying their required taxes.”
Cryptocurrencies photo by Worldspectrum of Pexels
