Unleashing Creativity: AnimeChain's Journey to Empower Fans and Creators within a Tokenized Anime Universe

In this interview, Shuhei Mise , the Founder and CEO of AnimeChain.ai He recounts his transition from conventional finance to the innovative realm of Web3 and anime. Fueled by a desire to fuse blockchain solutions with Japan's celebrated anime landscape, Mise provides a fresh viewpoint on evolving content creation, engaging fans, and the transformative impact of AI on anime production.

Can you share your journey to Web3? 

I was first introduced to Web3 back in 2017 when I stumbled upon Bitcoin and became convinced of its global potential. Prior to that, I'd spent over a decade in traditional finance. This revelation propelled me to leave my job and join the Japanese exchange bitFlyer in 2018, where I focused on private blockchain initiatives. However, I soon realized that private blockchain projects lacked true value, prompting me to launch a DeFi venture in 2019. 

After six months, I took a role at Turingum, a Web3 consultancy, offering advice to numerous companies, particularly in the gaming sector. I believed gaming was an ideal entry point for cryptocurrency due to its capacity for easily creating Utility Token Transactions (UTTs). I dedicated around two to three years to this project before selling it to a Japanese company listed on the stock exchange called Cushin. 

Following the sale, I stepped down as CEO and transitioned to an advisory role for a year. During that period, I connected with AnimeChain and recognized its potential to make a significant impact. I firmly believed that merging the anime sector with cryptocurrency was crucial. Consequently, I exited my advisory position in May 2024 to concentrate entirely on this exciting endeavor.

What is the current landscape of blockchain and crypto adoption in Japan?

Japan has been a pioneer in establishing crypto regulations since 2014, but the stringent nature of those rules has hindered widespread adoption. Compared to the U.S. and others, Japan currently lags in the crypto domain. Nevertheless, Japan excels at creating intellectual properties, games, and other content that are well-suited for integration with cryptocurrency, especially in the IP sector. This is a burgeoning area, yet overall, Japan still has ground to catch up.

What is the necessity for employing Web3 technologies in anime production?

Cryptocurrency requires active liquidity and a community of like-minded individuals who share common passions. Anime can serve as a bridge that connects people through shared interests. Additionally, the anime production landscape is experiencing a resource crunch, necessitating support mechanisms for creators' daily operations. 

AI could provide part of the solution, but given that it operates on historical data, it necessitates clear guidelines for its usage. An ecosystem is needed for equitably distributing revenues to original IP holders or those who contribute data to the AI. Blockchain technology can act as a robust database for managing data utilized by AI, which is beneficial for both the anime sector and AI progress. AI relies on fresh data for growth, and this system could facilitate ongoing data collection from users and creators.

How do you envision transforming anime character design with generative AI?

This question is challenging, as our current strategy doesn't involve using AI for character designs. Many creators express concern that AI could infringe on original ideas. For the time being, we see AI as a supportive element in the anime creation process. For instance, AI could be beneficial in in-betweening—generating those crucial frames that lie between key animations. 

AI might also assist in background creation, an area less critical than character design in terms of quality. While we might explore AI-assisted character design in the future, our present focus remains on defining supportive roles for AI in the production pipeline.

Are renowned anime creators like Studio Ghibli's Hayao Miyazaki likely to embrace these innovations, or are they more inclined to resist AI?

I believe it would be quite a challenge for Director Hayao Miyazaki to incorporate AI into his process, as the essence of his creations stems from meticulous manual craftsmanship. He refrains from using 3D techniques or CGI altogether, which significantly contributes to the distinct charm of his work. 

Conversely, other notable directors, such as Makoto Shinkai, could be more receptive to employing AI. Shinkai is committed to producing high-quality, detailed visuals, and if AI is well-trained, it may enhance his creative endeavors. Ultimately, it hinges on each creator's unique style and their aspirations for their projects.

Can GPU technology be harnessed for anime creation in some manner?

Looking ahead, utilizing GPU technology for anime is certainly a possibility, though implementing it may present challenges at this moment. For AI to be effectively integrated into anime production, you need to have the AI software, foundational model, and GPU resources all in alignment, which is currently a limitation of existing technology. However, if we can optimize GPU resources, this could become feasible, though we anticipate that such advancements will take another two to three years to materialize. 

In terms of developing new IPs, which could be another interpretation of your inquiry, that's certainly something we aim to incorporate into the AnimeChain ecosystem. We aspire to establish an infrastructure that continually generates new IPs rather than relying on a single creation.

Does AnimeChain encounter hurdles regarding rights clearance for data utilized in AI models or face other obstacles?

Absolutely, there are significant challenges in securing IP-related data and obtaining necessary approvals for its utilization. While it's currently permissible to use IP for AI training, the legality of utilizing it for commercial purposes remains ambiguous. We're diligently working on a framework to fairly distribute revenues or profits to data contributors, regardless of the amount. This is vital for creating sustainable avenues for data acquisition from IP owners. Once we can validate that our system functions effectively, larger IP providers may be more inclined to share their data within our ecosystem.

Could you highlight the distinguishing features of AnimeChain compared to other generative AI platforms?

Our focus is squarely on empowering creators with tools that simplify the process of generating novel content through AI. Other initiatives might concentrate predominantly on the IP itself or the AI technology, but we regard AI as a means to an end for creators. 

We're dedicated to furnishing tools specifically tailored for anime creators, enabling them to harness AI in producing fresh anime or intellectual properties. Our distinguishing factor lies in prioritizing the creator's perspective, inspiring them to innovate with AI rather than allowing AI to take the reins.

What do you foresee as the future of collaboration between human creators and AI in the realm of anime production?

In the future, I see numerous avenues for productive collaboration between creators and AI. However, there's a prevailing concern among many artists that AI might usurp their roles, a sentiment that we need to alleviate. By positioning AI as a tool, creators can pioneer fresh anime or artistic expressions, akin to how digital art has expanded creative boundaries. 

We anticipate that AI will foster new product types, artistic styles, and entirely new forms of anime. Although artificial general intelligence may eventually have the capability to independently create art, it is crucial that humans and creators remain at the forefront of delivering fresh values using these technologies. The emphasis must always rest on the creators or artists, not on the AI itself.

Do you think your technology could facilitate greater acceptance of anime globally?

Absolutely; while anime already enjoys global popularity, there's still significant potential for expansion. Our technology can aid in localizing anime content and foster collaborations with creators or directors from various nations. 

AI can enhance the localization process by tailoring scripts or narratives to resonate with specific cultures or communities. It can also assist in making adjustments that consider diverse cultural or religious contexts, all while keeping costs manageable. This approach opens doors to broaden the reach of anime culture worldwide.

What can you tell us about AnimeChain's future roadmap? 

Our vision is to evolve into a central hub for exchanging value between creators and anime enthusiasts. Utilizing AI, we aim to lower the costs associated with creating and tweaking anime, paving the way for enhanced interactions with fans. For instance, fans might participate in voting on plot developments, enabling us to adapt the anime in response to their input. 

Such interaction could be facilitated on a global scale through tokens, fostering greater freedom in the use of IPs, thus potentially allowing fan-generated works that are currently constrained by copyright regulations. We’re exploring the idea of developing decentralized IPs, reminiscent of how creators have leveraged Hatsune Miku for music and artwork. 

This could give rise to a novel paradigm of interaction, where fans can effortlessly transition into creators themselves. The role of cryptocurrency will be pivotal in nurturing these new communities and art forms, particularly when dealing with small transactions that can be cumbersome with fiat currency.