How NFTs Drive the Future of the Music Industry

Without a doubt, NFTs have the potential to cause a great deal of upheaval across a variety of sectors. Many believe that NFTs will prove to be particularly revolutionary in the process of sculpting the future of music.

You may have heard about Travis Scott’s Metaverse show, which drew more than 27 million users, and the Grimes NFT collection that collected $5.8 million in 20 minutes. Likewise, Kings of Leon made history by releasing their album as an NFT a year ago, making them the first band to do it.

To understand the impact of this cutting-edge technology, we will uncover the main developments propelled by NFTs in the realm of music.

Digital Collectibles in Music – Royalty Sharing NFTs

Digital collectibles NFTs pave the way for musicians to engage with their followers and establish their claim in the Metaverse through concerts and other activities. Overall, the blockchain may provide a layer of transparency and trust as the technology can facilitate more openness and reliability. Everything is encoded in smart contracts, and artists are aware of the precise allocation of monies. Artists may engage in decentralized governance, seek funding, and eventually view every transaction recorded on the blockchain.

For example, a music video is most effective when utilized as an extension of a piece of music, elaborating the essence and spirit of a song. It has the potential to be a lucrative tender in the realms of digital art and NFTs. We have seen a few instances of this in action, most notably with the Canadian artist Grimes, who sold a staggering $6 million worth of unique video NFTs, many of which included fragments of music and even old demos, further adding to the interest and value of each piece.

Furthermore, it is also possible to blend music with digital art in the jpeg or gif format to introduce one-of-a-kind works of art that include music as an element. For instance, Lostboy NFT is a well-known music collective that integrates art and music while emphasizing mental wellness.

Uncovering Web 3 Digital Record Labels

So far, record executives and other business titans have held the majority of power, sometimes to the dismay of musicians. Traditional revenue shares in record contracts are usually 50/50, which means the artist gets 50% of the profit, and the rest is split between agents, executives, and other people in similar positions.

But it seems like this kind of balance has not been reached in years, and this is where NFTs have a chance to help. The young, brilliant, and naïve artists giving away a substantial amount of their future earnings to a money-hungry record company at the beginning of their promising career has become a cliche in the music business.

In contrast to the top-down, hierarchical methods of control that have dominated the internet since its birth in the early 1990s, Web3 emerges as the third tier on the evolutionary ladder of the world wide web. Some proponents of Web3 are eager to remind us that it may make contracts far more transparent, trustworthy, and less susceptible to legal ambiguities and other practices that might get artists into trouble. Blockchain eliminates that because you eventually have a public ledger where you can see everything, who owns what, and effectively claim it.

Facilitated by the blockchain evolution, independent artists are urged to replace the conventional artist-label connection with fans. One such method is to mint the cover of a forthcoming album as an NFT and sell it to fans with the promise of diverting revenues towards them while artists retain the lion’s portion.

Explore the Integration of Music & the Metaverse

NFTs are a gateway between conventional media methods and the growing metaverse vision. We imagine a future in which artists may play live in an immersive digital environment, with fans from all around the globe utilizing NFTs as access points.

The restricted capacity of live performances makes them inherently exclusive. NFTs may provide an additional tier of VIP perks and digital experiences to live events. They may give access to real-world VIP areas, special seating, and even restricted opportunities for one-on-ones and photos with musicians. They cannot be counterfeited or scalped since they are limited, trackable, and transferable, and they generate extra money for the artist, venue, label, and management every time they are resold and transferred.

NFTs may also feature capabilities to access digital material, such as augmented reality (AR) concert overlays. They may give the option to purchase limited-edition products or other benefits and discounts during concerts. As digital mementos of once-in-a-lifetime moments, they may also be sold or given away as souvenirs to audiences of live performances.

This new dawn may be seen in the form of markets that fill in the holes left by streaming services since the Metaverse is a far more equal playing field than the actual world, a connection, and a network – a place for cooperation that allows musicians and digital artists to collaborate to complete the audiovisual cycle.

Bottom Line

Over the course of many decades, technological advances have been closely tied to the progress of the music industry. From vinyl to streaming services like Spotify, technological advancements have been a driving force behind the production and dissemination of music. As we have seen, NFTs are ushering in a new era to the world of music that presents limitless prospects for fans and artists.

About Author
Victoria Kennedy is an award-winning crypto journalist and publicist. She is the CEO of Victorious PR, a Wall Street Journal best-selling author, TEDx speaker, and a #1 selling singer. Her expert articles have been published on Rolling Stone, Forbes Monaco, Bitcoin Insider, Coinspeaker and CoinCheckUp. She has been part of the crypto community from 2017 and today she works as an adviser for successful crypto lunches and she is covering global crypto events.
Learn more here: https://victoriakennedyofficial.com