Digital Asset Licensing

Definition ∞ Digital asset licensing refers to the legal framework that grants permission for the use, distribution, or modification of digital assets under specific terms and conditions. This process defines the rights and responsibilities of both the licensor and the licensee, governing how the asset can be utilized. Proper licensing is crucial for intellectual property protection and commercial viability.
Context ∞ The conversation around digital asset licensing is increasingly prominent as creators and businesses seek to monetize their digital intellectual property, including NFTs and tokenized assets. Debates often focus on the nuances of open-source versus proprietary licenses and the challenges of enforcing them in decentralized environments. Future developments will likely see the creation of more standardized and blockchain-native licensing models to streamline the process and enhance legal certainty.