As music is a major part of everyone’s life, it is no wonder that it encompasses one of the most notable industries. Pop culture has given birth to some of the greatest artists and global celebrities during the last 20 years, but the business has changed. With most of us now living in a digital world, physical record sales have all but vanished. The Internet opened the gates to online streaming platforms but they don’t seem to pay enough even to the ones who deserve the most: the artists. Could this problem be solved by Music NFTs?
Music NFTs are a new movement with the potential to redesign the industry. Using blockchain technology, they promise to fairly reward artists for their work while growing even greater fan communities. It sounds like a win-win situation but let’s dive into what the benefits are for both creators and fans.
What is a Music NFT?
A Music NFT like any other token is also stored on the blockchain. The difference is that it can contain musical content – a single song, music video, or even an entire album. Music non-fungible tokens can even give exclusive access to a concert and bring additional benefits to its owner. The art could be sold to anyone and after the transaction is finalized on the blockchain the musical work has a new owner.
With the process being so simple and straightforward, Music NFTs could connect the dots between musicians and their followers in an innovative way.
How do Music NFTs work and what types exist?
Music NFTs work in the same way as other NFTs. The musician decides the content they would like to offer to their audience, chooses a blockchain, and mints the NFT. The artist has the ability to turn every content into an NFT – it could be merchandise, his latest song, a video of the first song, or even a ticket to his upcoming concert.
Once the NFT drops, fans can start bidding for the NFT. It’s important to note that the owner of the Music NFT is not the owner of the copyright. However, they can still sell it to higher bidders and make a profit or store it in a crypto wallet.
In a search for more exclusive drops, there are different kinds of Music NFT drops.
The one-of-one NFT means that there is just one unique item. This exclusive piece usually carries a much higher price tag compared to the NFT edition. We can think about it like a real painting where only one item exists.
An open NFT edition features an unlimited number of pieces that can be minted. This NFT edition is less pricy as opposed to 1/1 NFT. However, the musician could set a time frame for minting the NFT and after that window closes it’s impossible to color your crypto wallet with this item.
A limited edition is a scenario, where a finite number of NFTs are available for minting. Here come the round numbers – many such collections can consist of 10 to 10 000 items.
With Fragmint, for example, our goal is to inspire creativity and create expansive visions comprised of stand-alone and meaningful NFTs. Our innovative ideas have no limitations and the music industry is also on our radar. Imagine owning a piece of your favorite part of a song! Sounds cool, right!?
Benefits of Music NFTs
Throughout time, the way content gets distributed has changed. We live in a world where you can find your favorite song on YouTube without having to buy physical records. Even though this new reality makes it easier for musicians to have control over their work in order to monetize it, creators usually need record labels as middlemen to fund their art and success.
With close to zero physical sales, streaming services have taken over, but many artists complain due to ever-dropping monetization figures.
Music NFTs have several solutions that could help them stay creative while gaining financial control. The non-fungible tokens have royalty mechanisms that could create passive income. This new way of art on the blockchain also eliminates middlemen and other intermediaries such as record labels, publicists, distributors, etc. In addition, artists own the copyright without being forced to sign over ownership of it. By organizing an NFT airdrop the musician can reach new audiences and grow their fan base.
But how about the supporters? What are the benefits of Music NFTs for them?
Collectors can support their favorite artists directly, plus grant ownership of a percentage of a song and receive a part of royalties from streaming services. Such is the case with the platform Royal NFTs.
Music NFTs’ value can grow in parallel with the success of an artist and their songs. The more famous the musician becomes, the more valuable the NFTs will be. Then the holder also has the opportunity to sell the unique token at profit.
Where to buy a Music NFT?
Catalog is a Music NFT platform that operates as a streaming service as well as an NFT marketplace. On Catalog, artists can add a record into an open music library, from which fans can then purchase. The project allows collectors to gain ownership with a “buy it now” price, by participating in an auction, or by making an offer. Because Catalog is a 1/1 marketplace, the scarcity is high so if you have unique Music NFT or are searching for a one-of-a-kind piece, this is the right place.
Royal is another NFT marketplace with an interesting idea. The platform gives NFT owners the rights of the song, meaning that they are able to receive a portion of royalties generated by the streaming platforms.
Sound.xyz is a combination of a streaming and minting platform, where artists can launch a listening party for new song releases. The platform allows for a series of open or limited edition NFTs.
Mint Song is among the Music NFT platforms that are open to everyone. Because the marketplace is not closed to invite-only, there is a variety of artists and music. This is a great place to find innovative artists and support their work.
Although we are still at the beginning of this musical innovation, Web3 has great potential to change the current industry model for the better. With more celebrities stepping into Music NFTs, the space is growing exponentially.
Find Fragmint on social media and keep track of the latest updates on the project.