The music and entertainment industry has been ripe for disruption by blockchain technology since its inception. It touches everything from digital rights management and copyright protection to digital content rights and intellectual property ownership. Platforms like https://bitcoin-360-ai.com/. develop the best trading algorithm that is highly suitable for beginner bitcoin traders.
Blockchain is one of those technologies that will continue changing how we interact with our values in society—starting with how we think about ownership of value in the music industry.
The beauty of blockchain technology is its ability to empower artists. With more confidence in their rights management, artists will likely be more inclined to participate in the music industry ecosystem (songwriting/master rights societies, record labels and streaming companies).
Another advantage of blockchain technology is that an artist can be paid directly by consumers. The blockchain enables the artist to determine their price based on the number of consumers engaged in each transaction. The technology will reduce working capital needs and increase transparency and trust in the music industry ecosystem.
Blockchain can revolutionize how we buy music:
As blockchain technology emerges, a massive shift will be in how we buy music. It will change how we purchase music (paying for downloads and streaming), but how we pay for that music will change even more significantly. The blockchain is going to harness the power of the internet of things and give artists control over their music ownership.
How we buy music will likely change from a store experience to an experience that allows us to purchase our favourite songs directly from the artist. Blockchain technology will create trust in various music ecosystems because every transaction is verified. The technology enables artists to be paid directly by consumers without needing intermediaries such as record labels and publishing companies.
There are several applications of blockchain technology that could benefit the music industry ecosystem:
1) Direct Revenue Stream:
Using smart contracts built into the blockchain, artists can receive money directly from consumers directly. These smart contracts enable consumers to pay directly to the artist without going through labels and publishers.
For example, a songwriter can create smart contracts with their manager and label, whereby the songwriter is paid directly by the consumer. Each payment is recorded and verified by the blockchain. A digital “smart” contract enables artists to receive their share of royalties immediately upon launch without waiting for label payments or publishers to hand over funds to an artist’s manager.
Blockchain is going to be more transparent than traditional record labels. As a result, the artist can see all their digital music sales and streaming income at any time from the blockchain. It is a significant advantage for artists struggling with the lack of transparency in the industry, which has caused them financial loss and created several fraudulent practices that have undermined the confidence of fans, distributors (record labels and publishing companies) and even artists themselves.
3) Digital Rights Management:
The blockchain will enable consumers to buy music directly from an artist or a label with confidence that the purchase is legitimate because they are paying directly to the artist or label. Blockchain technology will be the underlying mechanism that ensures that artists own their royalties, contracts and intellectual property. It will be a way to secure ownership rights for artists and will ultimately empower them to take control of their music.
4) Music as a Utility:
As blockchain technology becomes more widely adopted and integrated into the music industry ecosystem, it will create new ways for consumers to interact with music. For example, consumers may see value in paying for music on an “as-a-service” basis rather than an ownership basis. On the other hand, consumers might want a hybrid model where they buy certain songs but also decide to receive some as part of their monthly service fee. For example, Spotify already offers a service that allows consumers to own certain songs while accessing others through its streaming platform.
The blockchain will make it easier for fans to pay for music from various sources, including digital downloads, streaming and physical sales. In addition, blockchain will help artists better control the rights to their music through intelligent contracts. It will enable them to be paid directly by consumers without going through record labels or publishers. The blockchain can also verify the plays on platforms such as Spotify or Pandora by using a distributed ledger, which gives fans confidence that their favourite artist is getting paid on every stream.