This section demonstrates how to register an IP Asset as a derivative of another.

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Prerequisites

There are a few steps you have to complete before you can start the tutorial.

1. Complete the TypeScript SDK Setup

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1. Before We Start

There are a lot of ways to register an IP Asset as a derivative of another. Below, we will help you figure out what function you should use.

Do you already have a License Token you can use?

• ✅ Yes: Is the derivative IP Asset already registered?
  • ✅ Yes: Use registerDerivativeWithLicenseTokens
  • ❌ No: Do you have your own NFT contract, or an already minted NFT?
    • ✅ Yes: Use registerIpAndMakeDerivativeWithLicenseTokens
    • ❌ No: Use mintAndRegisterIpAndMakeDerivativeWithLicenseTokens
• ❌ No: Is the derivative IP Asset already registered?
  • ✅ Yes: Use registerDerivative
  • ❌ No: Do you have your own NFT contract, or an already minted NFT?
    • ✅ Yes: Use registerDerivativeIp
    • ❌ No: Use mintAndRegisterIpAndMakeDerivative

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1a. Why would I ever use a License Token if it’s not needed?

There are a few times when you would need a License Token to register a derivative:

• The License Token contains private license terms, so you would only be able to register as a derivative if you had the License Token that was manually minted by the owner. More on that here.
• The License Token (which is an NFT) costs a mintingFee to mint, and you were able to buy it on a marketplace for a cheaper price. Then it makes more sense to simply register with the License Token then have to pay the more expensive defaultMintingFee.

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2. Register Derivative

We’re going to assume you have ❌ no license tokens, ❌ the derivative IP is not yet registered, and ❌ you don’t have your own NFT contract or an already minted NFT.

Follow steps 1-4 of Register an IP Asset. Note you can skip step 4 if you already have an SPG NFT Collection. Then, come back here.

Modify your code such that…

1. Instead of using mintAndRegisterIp, use mintAndRegisterIpAndMakeDerivative
2. Add a derivData field, where:
   • parentIpIds is the ipIds of the parents you want to become a derivative of. NOTE: Once you become a derivative, you cannot add more parents
   • licenseTermIds is an array of license terms you want to register under. These are the terms your derivative must abide by

Now we can call the function like so:

import { IpMetadata, DerivativeData } from "@story-protocol/core-sdk";
import { client } from "./utils";
import { uploadJSONToIPFS } from "./uploadToIpfs";
import { createHash } from "crypto";
import { Address } from "viem";

async function main() {
  // previous code here ...

  const derivData: DerivativeData = {
    // TODO: insert the parent's ipId
    parentIpIds: [PARENT_IP_ID],
    // TODO: insert the licenseTermsId attached to parent IpId
    licenseTermsIds: [LICENSE_TERMS_ID],
  };

  const response = await client.ipAsset.mintAndRegisterIpAndMakeDerivative({
    // TODO: insert your NFT contract address created by the SPG
    spgNftContract: SPG_NFT_CONTRACT_ADDRESS as Address,
    derivData,
    ipMetadata: {
      ipMetadataURI: `https://ipfs.io/ipfs/${ipIpfsHash}`,
      ipMetadataHash: `0x${ipHash}`,
      nftMetadataURI: `https://ipfs.io/ipfs/${nftIpfsHash}`,
      nftMetadataHash: `0x${nftHash}`,
    },
  });

  console.log(
    `Completed at transaction hash ${response.txHash}, IPA ID: ${response.ipId}, Token ID: ${response.tokenId}`
  );
}

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3. View Completed Code

Congratulations, you registered a derivative IP Asset!

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4. Paying and Claiming Revenue

Now that we have established parent-child IP relationships, we can begin to explore payments and automated revenue share based on the license terms. We’ll cover that in the upcoming pages.