Inside the Realms of Ruin - Explore a Lost World

A Collaborative Fantasy Project Faces Backlash

An announcement, now archived, proclaimed, “The Ruin stirs, and the Five Realms rumble.” This message invited readers to participate in Realms of Ruin, a new collaborative fantasy epic created by bestselling authors Marie Lu, Tahereh Mafi, Ransom Riggs, Adam Silvera, David Yoon, and Nicola Yoon.

Entering the Web3 Space

The authors publicized the project via social media, establishing a presence on Twitter, Instagram, and Discord to foster discussion. Realms of Ruin aimed to introduce the traditional publishing world to Web3, a developing iteration of the internet focused on decentralization, data ownership, and creator compensation.

The Project's Core Concept

Initially, the authors would publish 12 origin stories establishing the fictional universe. Subsequently, fans would contribute their own narratives, submitting them as NFTs on the Solana blockchain. Stories deemed worthy by the authors would be integrated into the project’s official storyline.

Fan Concerns Emerge

Almost immediately, fans voiced their concerns within the Discord server. Questions arose regarding ownership of derivative works created as fan fiction. The implications of minting these stories as NFTs on existing copyright were also debated.

Further complicating matters, the authors’ primary audience is largely too young to participate in cryptocurrency transactions on platforms like Coinbase and Gemini.

A Complex Legal Landscape

Rebecca Tushnet, a professor of First Amendment Law at Harvard Law School, described the situation as “a turducken of things people don’t understand.” This highlights the convergence of complex issues, including NFT concerns, copyright law, and the historical resistance within the fan fiction community to commercializing creative work.

Project Abandonment

Despite two months of development by the authors and a team of nine developers, Realms of Ruin was swiftly discontinued following the negative reaction.

Reasons for the Cancellation

A source close to the project, speaking anonymously to TechCrunch, revealed that the authors determined the potential risks outweighed the benefits.

Multiple Contributing Factors

The project’s failure stemmed from several issues. Concerns about the environmental impact of NFT minting were prevalent among the target demographic. Additionally, a lack of understanding regarding NFT functionality contributed to the backlash.

Poor planning and a failure to adequately address legal ramifications surrounding the monetization of fan fiction also played significant roles in the project’s collapse.

Key Takeaways

• Realms of Ruin represented an ambitious attempt to merge traditional publishing with Web3 technology.
• Fan concerns regarding copyright, NFTs, and accessibility proved insurmountable.
• The project underscores the challenges of navigating complex legal and ethical considerations in the evolving digital landscape.

The Paradox of Dystopian Fiction and NFT Energy Consumption

Young adult literature frequently features dystopian narratives – exemplified by authors like Marie Lu and Tahereh Mafi, contributors to Realms of Ruin – that resonate with contemporary anxieties, notably those surrounding climate change.

Lu’s futuristic works, for instance, offer premonitions of ecological disaster, leading her readership to be acutely aware of the environmental implications associated with the creation of NFTs.

The Energy Demands of Blockchain Technology

Certain blockchains, including Ethereum and Bitcoin, operate with reduced efficiency due to their reliance on “proof of work.”

This validation method involves solving complex, energy-intensive mathematical problems to confirm transaction legitimacy.

A noticeable contradiction arises when observing social media feeds; reports of increasingly frequent natural disasters are juxtaposed with announcements of expensive digital art purchases made via energy-consuming crypto transactions.

These transactions can consume enough electricity to power a typical American household for nearly a week.

Realms of Ruin and the Solana Blockchain

Despite these concerns, the Realms of Ruin project initially emphasized its utilization of the Solana blockchain.

The project’s website previously stated, “Realms of Ruin is built on Solana to ensure low transaction costs and minimal environmental impact.” It was taken offline shortly after.

The site further claimed that the energy expended by a person reading the statement was greater than that required to mint a story on the Solana blockchain.

Solana’s Efficiency Compared to Ethereum

Unlike NFTs created on Ethereum, minting NFTs on Solana can incur fees of less than one cent.

Austin Federa, Head of Communications at Solana Labs, explained to TechCrunch that the energy needed to boil an ounce of water from room temperature exceeds the energy used to mint an NFT on Solana.

This difference stems from Solana’s use of a “proof of stake” algorithm, which demands significantly less energy for validation than the “proof of work” system.

However, analysis of fan reactions following the project’s announcement suggests a limited understanding of the distinctions between different blockchains.

Some comparisons were made between NFT minting and the destruction of the Amazon rainforest.

The Need for Crypto Accessibility

This misunderstanding highlights a broader challenge facing the cryptocurrency space: the need to improve public comprehension.

“NFTs have largely existed in two extremes: high-value sales at auction houses or within the crypto-native community,” Federa stated to TechCrunch.

“I found Realms of Ruin particularly promising because it attempted to bridge this gap.”

• Key takeaway: The project aimed to make NFTs more accessible to a wider audience.

Concerns Arise from Insufficient Planning and Explanations

A key issue that surfaced involved a lack of clarity regarding NFT “gas fees.”

Paying a gas fee is typical when minting an NFT. While the Ethereum blockchain's higher minting costs can be a significant obstacle, the Solana blockchain offers minting at a fraction of the cost. Federa emphasized that the Solana network is architected to maintain low fees over the long term. However, because a gas fee transaction would be necessary for adding installments to the Realms of Ruin universe, a misunderstanding developed among fans, leading some to believe they would be required to compensate the authors for writing fan fiction. In reality, these fees were associated with the blockchain minting process.

This implication was particularly troubling, given that thriving fan communities often flourish online without authorial intervention or cost.

“I believe NFTs represent a novel and often misunderstood market, and it’s proving difficult to adequately explain the concepts,” stated Megan Manzano, a literary agent representing young adult authors, who expressed her concerns about Realms of Ruin on Twitter. “It appeared the project could have benefited from more thorough consideration, or at least a readily available FAQ section. Many questions could have been proactively addressed.”

Confusion also existed regarding Realms of Ruin’s intention to market character NFTs as collectibles. The project’s promotional materials did not clearly delineate the relationship between these digital assets and the collaborative storytelling component.

According to a TechCrunch source, the character NFTs were primarily intended for individuals already familiar with the cryptocurrency space. The generated revenue was to be allocated to a “community treasury,” intended to benefit the community through measures like subsidizing gas fees or providing crypto rewards for exceptional stories, based on community consensus. However, some fans mistakenly believed that owning these character NFTs would be a prerequisite for writing stories featuring those characters, and the project’s developers failed to adequately clarify this point on the Realms of Ruin website.

The concept of a community treasury was also inadequately explained, the source conceded.

“The community will ultimately determine the timing and method of treasury utilization. We will establish a clear decision-making framework,” a developer communicated on Discord.

“Given that our community currently consists primarily of this Discord server, would a unanimous decision to donate all treasury funds to UNICEF be honored?” a fan inquired.

“To be candid, (with some nuance) yes,” the developer replied. “It’s evident we don’t yet have all the answers you seek, and we will work diligently to obtain them,” the developer added.

Fans highlighted the perceived irresponsibility of announcing the project without having these answers readily available. However, our source clarified that the project was slated to launch on November 8, and the announcement was intended as a preliminary teaser, not a comprehensive launch plan.

Fan Fiction, Ownership, and NFTs

The intersection of fan fiction and legal considerations surrounding copyright and ownership presents a complex landscape.

Remarkably, many talented fan fiction authors have successfully transitioned their online popularity into established publishing careers. If an author can attract a readership of tens of thousands online, it stands to reason they could achieve similar success with original works on bestseller lists.

Tamsyn Muir’s “Gideon the Ninth,” lauded by The New York Times as a “devastating debut,” exemplifies this trend, published in 2019. Muir openly acknowledges her origins in fan fiction writing. N.K. Jemisin, a MacArthur “Genius Grant” recipient and three-time Hugo Award winner, is another vocal advocate for the practice. From a financial perspective, E.L. James’ “Fifty Shades of Grey” series demonstrates the potential for derivative online stories to become international successes, initially gaining traction as Twilight fan fiction.

However, monetizing fan fiction on digital platforms introduces complications. When Tumblr announced Post+, a paid subscription service, it cited fan fiction writers as potential beneficiaries. This sparked concern among creators worried about potential legal repercussions from offering derivative works behind a paywall.

Manzano expressed concern regarding the Realms of Ruin project, noting the creators requested contributions from their audience with the intention of selecting content for canonization within their established, copyrighted world. She questioned whether writers would retain rights to their work or receive appropriate acknowledgment and compensation.

A source familiar with the project at TechCrunch offered a differing perspective. While the six authors behind Realms of Ruin held the copyright, writers can still be compensated for contributions to larger publishing endeavors without owning the underlying franchise. For instance, over 850 “Star Trek” novels have been published, yet those authors do not possess ownership of the “Star Trek” rights.

Rebecca Tushnet, a Harvard Law professor and legal counsel for the Organization for Transformative Works (which operates Archive of Our Own), emphasized that these issues hinge on the specific contract between Realms of Ruin and the writers.

“If permission is granted, copyright infringement isn’t a concern; ownership is. This would be governed by contract,” Tushnet explained to TechCrunch. “Typically, writers of fan works would have limited rights.” Due to the project’s cancellation before launch, contract details remained unavailable.

Tushnet added, “The fan fiction aspect is arguably the least significant element here.” She noted that authors can authorize others to contribute to their worlds, even sharing revenue, as attempted with Kindle Worlds, which ultimately proved unprofitable and was discontinued by Amazon.

Fan creators often view projects like Kindle Worlds with skepticism, perceiving them as veiled attempts by corporations to profit from fan communities. This distrust stems from the founding of Archive of Our Own.

In 2006, FanLib secured $3 million in venture funding to create a platform hosting fan fiction contests sponsored by copyright holders like ViacomCBS (“Star Trek”). However, fan fiction writers protested FanLib’s requirement that all submissions, even those not winning contests, forfeit rights for commercial use. Even without owning the “Star Trek” copyright, creators valued ownership of their written words and the right to control commercialization by entities like ViacomCBS.

The controversy surrounding FanLib prompted speculative fiction author Naomi Novik to author a pivotal blog post in 2007, proposing the project that would become Archive of Our Own – an ad-free, donation-supported platform run by and for fan fiction writers, explicitly addressing the legality of fan fiction. By 2008, FanLib was acquired by Disney and subsequently shut down.

Currently, Archive of Our Own prohibits users from linking to platforms like Patreon or Ko-Fi to solicit donations, protecting writers from copyright claims potentially arising from monetization.

Tushnet observed, “Monetizing fan fiction frequently generates controversy.” She suggested that fostering vibrant fan communities often involves limiting direct interaction, creating healthier fandoms for both creators and their audiences.

A TechCrunch source revealed that the decision to build Realms of Ruin on a blockchain was motivated by the technology’s potential to facilitate new payment methods for fan fiction writers while preserving their attribution and ensuring legal compliance.

Blockchain technology could enable transparent tracking of story influences, allowing writers to credit each other and share revenue. For example, if a derivative work inspired by another story sold as an NFT for a substantial sum, the original author would receive a portion of the proceeds. NFTs also offer artists ongoing royalties on subsequent sales, unlike traditional art market practices where the original artist typically doesn’t benefit from resale value.

However, Tushnet contends that blockchain technology alone doesn’t resolve the fundamental legal issues surrounding derivative works.

“Those interested in NFTs believe they’ve solved a novel problem, but they haven’t. The core legal questions are independent of the NFT itself. Existing law will determine copyright issues,” Tushnet stated. “This isn’t a new challenge; authors once transported manuscripts by ship, requiring us to determine applicable laws.”

The Demise of Realms of Ruin

Realms of Ruin existed publicly for only a short period, briefly accessible before disappearing from view. However, the project’s failure highlights the obstacles facing proponents of Web3 when attempting to gain the trust of communities understandably cautious about preserving the essence of their online spaces.

Notably, the principles underpinning Web3 share similarities with those of platforms like Archive of Our Own, a popular fan fiction archive. Both aim to move away from the conventional advertising-driven internet model, which provides free content in exchange for user attention.

Addressing Misunderstandings

“We are still in the nascent stages of this technology,” stated Federa. He believes much of the negative reaction to Realms of Ruin stemmed from a lack of understanding regarding blockchain-based projects. “However, every project could improve its communication regarding what cryptocurrency is and the rationale behind building upon it.”

A source familiar with Realms of Ruin, speaking to TechCrunch, suggested that the timing for introducing Web3 into the publishing industry was premature. Despite optimistic pronouncements from crypto leaders about a future internet free from advertising and offering fair compensation to creators, skepticism remains widespread.

This skepticism is understandable, given the perception of some crypto communities as potentially fraudulent, dominated by men, and difficult to access for outsiders.

Concerns Regarding Copyright and Rights

“I believe the timing for this introduction is off,” commented Manzano. “A thorough discussion regarding copyright, authorial expectations, and the rights associated with merchandise is essential. I was concerned that without clearly defined rules and expectations, the situation could become ambiguous.”

Manzano further explained that the publishing industry currently lacks the necessary understanding to effectively integrate Web3 into contracts, merchandise agreements, and fan engagement strategies.

The source also revealed that the developers and writers involved in the project had not fully considered potential complications. For instance, they hadn’t determined how to handle a scenario where a fan adapted a Realms of Ruin story into an original novel and subsequently sold it.

Transparency and Fan Engagement

Perhaps a more significant factor in the project’s downfall than its association with crypto was the lack of transparency surrounding its launch.

“Reflecting on my own teenage years, I would have enthusiastically embraced the opportunity to participate in something created by my favorite authors,” said Manzano. “However, it appeared that there were alternative methods to engage fans and generate excitement that would have felt less questionable.”

• The failure of Realms of Ruin underscores the importance of clear communication.
• Addressing concerns about copyright and authorial rights is crucial.
• Transparency and genuine fan engagement are vital for success.