{"id":3816,"date":"2021-12-22T09:44:35","date_gmt":"2021-12-22T04:14:35","guid":{"rendered":"https:\/\/www.sudeepaudio.com\/saundcheck\/?p=3816"},"modified":"2021-12-22T09:44:35","modified_gmt":"2021-12-22T04:14:35","slug":"blockchain-in-music-part3","status":"publish","type":"post","link":"https:\/\/www.sudeepaudio.com\/saundcheck\/blockchain-in-music-part3\/","title":{"rendered":"Non-fungible tokens create unprecedented earning opportunities for musicians"},"content":{"rendered":"<div id=\"bsf_rt_marker\"><\/div><p><strong>Non-Fungible Tokens<\/strong>, or NFTs as they are now popularly known, are a one-of-a-kind digital \u201casset\u201d that is purchased through crypto currencies. Further, as NFTs use blockchain technology, each NFT has a unique digital signature that allows all transactions to be openly tracked.<\/p>\n<div id=\"attachment_3819\" style=\"width: 160px\" class=\"wp-caption alignleft\"><img loading=\"lazy\" decoding=\"async\" aria-describedby=\"caption-attachment-3819\" class=\"wp-image-3819 size-thumbnail\" src=\"https:\/\/www.sudeepaudio.com\/saundcheck\/wp-content\/uploads\/2021\/12\/nft-150x150.png\" alt=\"\" width=\"150\" height=\"150\" \/><p id=\"caption-attachment-3819\" class=\"wp-caption-text\"><span style=\"font-size: 8pt;\">Courtesy: Wanicon<\/span><\/p><\/div>\n<p><strong>In the context of music<\/strong>, NFTs can take the form of anything from a digital autograph signed by the artist to a limited edition vinyl record or to a soundbite of a new song, leading to artists receiving royalties even when the original buyer resells it. <strong>As examples<\/strong>, American rock band Kings Of Leon and Canadian singer Shawn Mendes, earned millions following their respective March 2021 album launches by selling NFTs. Kings Of Leon offered their new album, \u2018<em>When You See Yourself?\u2019<\/em>, as an NFT, and auctioned it for 56 hours in four NFT packages: Golden Ticket Collection, Yourself Album Edition, Open Edition, and Limited Edition, reportedly generating accumulated revenues of US$2 million. Other international artists that have used NFTs include hip-hop artists such as Lil Pump, Eminem, and Snoop Dogg.<\/p>\n<p>Closer home, in May 2021, <strong>Tamil singer-composer Kaber Vasuki<\/strong>\u2019s 2012 phone-recorded demo of a song called \u2018<em>Vasanam<\/em>\u2019 was sold as a NFT for the price of 50 Ethereum, a crypto currency reportedly second only to Bitcoin, which was roughly valued at \u20b91.5 crore at that time.<\/p>\n<p>Next, in August 2021, Pune-based <strong>Ritviz<\/strong> [Srivastava] and Ahmedabad-bred Nucleya [real name: <strong>Udyan Sagar<\/strong>] combined their talents to launch a collaborative album consisting of eight tracks, \u2018<em>Baaraat<\/em>\u2019, for which the duo put together a package of NFTs that were associated to different benefits linked to their respective universes.<\/p>\n<p><span style=\"text-decoration: underline;\">Before proceeding further<\/span>, it is necessary to be able to comprehend the key benefit of NFTs, which is why they have become the new catch phrase of the decade so far:<br \/>\nUnlike conventional monetary transactions that necessitate a bank account, NFT transactions work on a decentralized network, meaning that they can move directly from creator to buyer without the usage of an intermediary. The unique digital \u201csignature\u201d of non-fungible tokens mean that they cannot be erased or altered \u2013 merely transferred \u2013 so that the original creator continues receiving monetary benefits from all transactions, be it primary or secondary.<\/p>\n<div id=\"attachment_3820\" style=\"width: 232px\" class=\"wp-caption alignright\"><img loading=\"lazy\" decoding=\"async\" aria-describedby=\"caption-attachment-3820\" class=\"wp-image-3820 \" src=\"https:\/\/www.sudeepaudio.com\/saundcheck\/wp-content\/uploads\/2021\/12\/nft-2-300x190.jpg\" alt=\"\" width=\"222\" height=\"140\" srcset=\"https:\/\/www.sudeepaudio.com\/saundcheck\/wp-content\/uploads\/2021\/12\/nft-2-300x190.jpg 300w, https:\/\/www.sudeepaudio.com\/saundcheck\/wp-content\/uploads\/2021\/12\/nft-2.jpg 350w\" sizes=\"auto, (max-width: 222px) 100vw, 222px\" \/><p id=\"caption-attachment-3820\" class=\"wp-caption-text\"><span style=\"font-size: 8pt;\">Courtesy: Ditto Music<\/span><\/p><\/div>\n<p>NFTs have the potential of monetarily powering artists. Currently, once artists have produced music, they are almost compelled to approach streaming services in order to reach a large[r] audience and, as a result, are paid a minimal share by the service provider [generally, three paise to five paise per stream]. Therefore, the biggest issue that artists have with their music is not getting paid [sufficiently] by people consuming it, thanks \u2013 or, depending on your perspective, no thanks \u2013 to the model initiated by Napster, probably the world\u2019s first audio streaming service provider that was originally launched on June 1, 1999, \u00a0which allowed anyone to access music anywhere, at a zero cost! The obvious result was that artists immediately lost income that originally arrived from physical product and\/or from paid downloads, which was rendered virtually nil, overnight, as consumers suddenly had access to content for free. Hence, artists then focused on the live event space and, with it, the concert\/touring market became huge as it became the artists\u2019 primary \u2013 if not the only \u2013 source of income, as it is also remains now.<\/p>\n<p>But artists suddenly find themselves with <strong>an alternative source of income<\/strong> considering that NFTs do not require the service of intermediaries \u2013 in this case, record labels and streaming services \u2013 for the artist to sell or profit from their music. This means that artists would be able to determine the value, monetary or otherwise, of their creation; sell directly to fans; and receive the full profit instantaneously without the content being tied up with intermediaries for an indefinite period of time who, in any event, would keep a sizable revenue share for largely providing distribution services. Effectively, NFTs would allow artists to bypass the conventionally intricate and not necessarily transparent music ecosystem, often involving innumerable corporate stakeholders, by streamlining the otherwise arduous journey of content from its creator directly to the consumer. This has obvious implications for redefining the music value system of permitting the artist as close as possible to full monetary autonomy.<\/p>\n<p>While NFTs in the music world <strong>could range from<\/strong> audio and audio-visual content to limited edition concert tickets with a redeemable option of listening to unreleased songs, NFTs do not necessarily have to be merely in digital format; NFTs can also provide digital certificates of authenticity to physical objects such as vinyls, soundbites, albums, merchandising, memorabilia, and more.<\/p>\n<div id=\"attachment_3823\" style=\"width: 195px\" class=\"wp-caption alignleft\"><img loading=\"lazy\" decoding=\"async\" aria-describedby=\"caption-attachment-3823\" class=\" wp-image-3823\" src=\"https:\/\/www.sudeepaudio.com\/saundcheck\/wp-content\/uploads\/2021\/12\/nft-3.jpg\" alt=\"\" width=\"185\" height=\"122\" \/><p id=\"caption-attachment-3823\" class=\"wp-caption-text\"><span style=\"font-size: 8pt;\">Courtesy: Rebeat HD Vinyl<\/span><\/p><\/div>\n<p>Artists could press limited edition vinyls, or duplicate a miniscule quantum of cassettes, without being entrapped to manufacture huge quantities that music labels are presently demanding for granting them rights for replication. As a corollary, artists could now commence selling their music as an NFT, offering limited editions as Kings Of Leon did, as also concert tickets, digital artwork, redeemable tees, a meet-and-greet for fans, or whatever else that artists may consider for monetization. The NFT makes perfect business sense as the creator receives a percentage every time the NFT is sold and, of course, resold.<\/p>\n<p>Hence, NFTs now have the potential of correcting\/curing imbalances within the music ecosystem by handing power to both artists and to fans. For example, if you were to support an independent artist, you could invest in them by buying an NFT. This monetary support would then be continued even if you were to sell this NFT, as the artist would continue to benefit and profit from all resales due to blockchain technology. Further, since NFTs are a global, indigenous creators can present their work to a worldwide audience. It is a decentralized network with no hierarchy and everyone gets compensated in a transparent and open market space.<\/p>\n<p>Currently, while there is no legal framework specifically created for NFTs in India, you can easily buy one from platforms such as BuyUCoin, Binance, and WazirX, among others, by paying either through the respective platform&#8217;s wallet or via cryptocurrency.<\/p>\n<p>Nevertheless, as much as artists would like non-fungible tokens to succeed, it will take time to garner mass acceptance, assuming that they are accepted at all. But until that happens, NFTs have already changed revenue models for those artists who have ventured to embrace a potentially disruptive revenue-generating technology system that has since got even cool stakeholders within the music ecosystem breaking into a sweat!<\/p>\n<p>&nbsp;<\/p>\n<p style=\"text-align: center;\"><strong>Read <a href=\"https:\/\/www.sudeepaudio.com\/saundcheck\/blockchain-in-music-part1\/\">Part 1<\/a>\u00a0 \u00a0|\u00a0 Read <a href=\"https:\/\/www.sudeepaudio.com\/saundcheck\/blockchain-in-music-part2\/\">Part 2<\/a><\/strong><\/p>\n","protected":false},"excerpt":{"rendered":"<p>In May 2021, Tamil singer-composer Kaber Vasuki\u2019s 2012 phone-recorded demo of a song called \u2018Vasanam\u2019 was sold as a NFT for the price of 50 Ethereum, a crypto currency reportedly second only to Bitcoin, which was roughly valued at \u20b91.5 crore at that time! Read on >><\/p>\n","protected":false},"author":11,"featured_media":3826,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[850],"tags":[979,974,976,140,4,181,60,75,975,978,977,448,138,728,980],"class_list":["post-3816","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-musical-passages","tag-bitcoin","tag-blockchain","tag-creators","tag-income","tag-india","tag-indians","tag-music","tag-musicians","tag-nft","tag-nfts","tag-nucleya","tag-part-3","tag-revenue","tag-royalties","tag-streaming"],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v27.4 - https:\/\/yoast.com\/product\/yoast-seo-wordpress\/ -->\n<title>Non-fungible tokens create unprecedented earning opportunities for musicians - SAundCheck<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/www.sudeepaudio.com\/saundcheck\/blockchain-in-music-part3\/\" \/>\n<meta property=\"og:locale\" content=\"en_GB\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Non-fungible tokens create unprecedented earning opportunities for musicians - SAundCheck\" \/>\n<meta property=\"og:description\" content=\"In May 2021, Tamil singer-composer Kaber Vasuki\u2019s 2012 phone-recorded demo of a song called \u2018Vasanam\u2019 was sold as a NFT for the price of 50 Ethereum, a crypto currency reportedly second only to Bitcoin, which was roughly valued at \u20b91.5 crore at that time! 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