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ASM Global acquired talent buying agency Madison Entertainment, which works with both small-capacity venues and larger concert series/multi-day festivals. “We are committed to add resources to our promoter and live content division in order to ensure that all of our managed venues continue to be leaders in live-event performances,” said ASM Global president/CEO Ron Benison in a statement. “Under Roger’s leadership, the addition of Madison Entertainment will further grow live music content for our clients, particularly within our industry-leading nationwide theater network.”
DJ Pee .Wee, the “vinyl-spinning alter ego” of rapper Anderson .Paak, signed with the Las Vegas-based MAC Agency for representation. DJ Pee .Wee has several headlining dates on the schedule, including appearances at the Sundance Film Festival and a slot at the Bud Light Super Bowl Music Fest in February. Previous appearances included Spotify Beach with Kendrick Lamar in Cannes, the Ami After Party at Paris Fashion Week and Dave Chappelle‘s set at the Netflix Is a Joke festival at the Hollywood Bowl, among other engagements.
TikTok signed a licensing deal with Saudi Arabia-based Rotana Music Group, whose portfolio includes artists across the Arab world and Gulf region such as Mohamad Abdo and Amr Diab, among many others. “We at Rotana are very thrilled with this licensing agreement, which will facilitate Arab Music reach into the MENA music industry and young communities,” said Rotana Music Group CEO Salem Al Hendi in a statement. “The creative culture in MENA is so vibrant and diverse, and this agreement will enhance the exchange of music content, while promoting and supporting local artists on a proven leading platform for short-form videos.”
Vevo partnered with TikTok to create and program Trending on TiKTok, a new weekly Vevo show that will round up the music videos for the top trending songs on the TikTok platform, alongside clips of creators using the songs in their content. The show will be available across the Vevo networks in the U.S., Canada, Mexico and Brazil and will be a staple TV premiere on Vevo’s FAST (free ad-supported streaming TV) channels, with consecutive airing during peak viewing hours throughout the week.
Warner Music Group (WMG) partnered with digital fashion retailer DRESSX to provide WMG artists with a new revenue stream. Under the agreement, select WMG artists will collaborate directly with DRESSX to design and launch 3D and AR virtual clothing that fans can collect on Instagram, Snapchat and other platforms.
Independent singer-songwriter Cody Jinks’ Late August Records signed a partnership with The Orchard, under which the latter company will provide Late August artists “with the tools and support to build, sustain and elevate their global reach.” The first artist signed to Late August (other than Jinks, who previously started the label as a home for his own music) is singer, songwriter and guitarist Erin Viancourt, who will release her debut album in May 2023. Late August Records will continue to be led by Jinks and his longtime manager Arthur Penhallow, Jr., while Stephanie Hudacek will lead the label’s new Nashville office.
Event technology company Events.com secured a capital commitment of $100 million in the form of a share subscription facility (SSF) from Gem Global Yield (GGY). The investment will accelerate the company’s growth strategy through acquisitions, partnerships and other initiatives. Under the deal, Events.com will be able to draw down up to $100 million following an equity exchange listing. The company — which previously acquired an AI event discovery company, an event sponsorship technology company and a ticketing company — is set to announce a new acquisition soon.
Mastercard will use the Polygon blockchain to host its newly-announced Mastercard Artist Accelerator, which will connect five artists from across the globe with mentors and a “dynamic fanbase as they learn and create in Web3,” according to a press release. Slated to launch this spring, the program will give selected artists exclusive access to special events, music releases and more while teaching them how to build their brand via Web3 experiences including minting NFTs. Music fans will also be invited to purchase a limited-edition “Mastercard Music Pass” NFT that will give them access to the new platform. The Mastercard Artist Accelerator will culminate in a livestreamed artist showcase later this year.
Music marketing firm Feature.fm partnered with YouTube in a deal that will allow Feature.fm users to enjoy access to conversion and attribution data reporting to track streams in YouTube and YouTube Music that came from a Feature.fm smart link. Under the partnership, artists, managers and labels will be enabled to automatically connect YouTube and YouTube Music to their smart links, allowing them to better understand how to effectively market their music on the YouTube platform.
Music and influencer management firm Innovo Management invested in content aggregation platform JamFeed, marking them as the first investor in JamFeed’s second round of financing. JamFeed manages over a dozen TikTok creators/artists — enabling them to build their businesses and connect with fans — and also boasts a brand marketing division. As part of the investment, Innovo co-founder Sam Saideman has been added to JamFeed’s board of advisors to assist in the next phase of the company’s expansion.
Rapper Asian Doll signed a distribution partnership with music tech company Vydia, which will provide her with a suite of services, including video and audio supply chain, global distribution, analytics, rights management, payments and detailed revenue reporting in support of her forthcoming EP slated to drop on Jan. 31. The first new music released under the deal is the single “Sky Falling.”
Country singer Bryan Martin signed with WME for global representation. Martin has a national tour and a new album in the works, with a single, “Wolves Cry,” slate for release on Jan. 27 via Average Joes Entertainment.
Talking Stick Resort is the new name-in-title sponsor of Live Nation‘s 20,000-capacity outdoor Phoenix venue the Ak-Chin Pavilion. The venue is now known as the Talking Stick Resort Amphitheatre.
The National Independent Venue Association (NIVA) partnered with r.Cup, a sustainable platform that provides reusable cups to replace single-use plastic cups. Under the deal, NIVA members in r.Cup operating cities Denver and Seattle will be able to reduce their environmental imprint by using r.Cup’s reusable cup system, with $.01 of every cup used by a NIVA member donated to NIVA’s National Independent Venue Foundation (NIVF). NIVA members in Los Angeles and Milwaukee will also soon have the option to utilize the platform.
Griffen Palmer, winner of a 2020 episode of NBC’s Songland, signed with Big Loud Records, which will release his solo debut single “Second Guessing” — originally crafted during his appearance on Songland — on Friday (Dec. 13). Palmer’s debut album is slated to drop later this year. He previously signed a publishing deal with Big Loud Publishing in 2019.
Get Physical Music added the master and publishing catalog of house-music imprint Definitive Records (Jetstream, Dance Fever, Robot Man) to its portfolio of labels. Definitive co-founder John Acquaviva will remain with the label and continue to be active on the A&R front while working with the Get Physical team.
Canadian lifestyle brand October’s Very Own (OVO) partnered with FaZe Holdings, parent company of gaming and lifestyle brand FaZe Clan, on a collection that will include FaZe Clan and OVO co-branded gaming controllers, mouse pads, hoodies, varsity jackets and more. The collection was made available starting Dec. 21 at OVO’s online store and OVO retail locations. Further initiatives under the partnership are expected later this year.
NFTs had a wild 2022. January began with euphoric highs and a record $4.8 billion traded on OpenSea. By contrast, December ended the year with a hangover — volumes down by 95% with just $283 million traded in the month.
Still, the crypto winter hasn’t deterred musicians from embracing Web3. December saw an uptick in music NFT activity thanks to legacy artists Armin van Buuren and Styles P, as well as high-profile drops from crypto-native musicians like 3LAU and Daniel Allan. The first “billion club” NFT was released, unlocking streaming royalties in a track with more than a billion Spotify plays. Meanwhile, the independent scene continued to flourish with a seventh-straight month of rising volume on Sound.xyz – the largest platform for independent musicians.
Across the 10 biggest music NFT projects tracked by Billboard in December, sales volume was up 28% in ETH terms (751 ETH) and 23% in dollar terms ($949,781) from November. Based on analysis of sales data from 19 different NFT platforms, independent releases combined with secondary sales volume on OpenSea, here are the 10 biggest-selling music NFTs and collections in December 2022.
1/ Styles P – “The Farmacy Fantoms”Monthly trading volume: 205 ETH ($249,280 at month-end conversion rate)Primary sales: 170 ETHSecondary sales: 35 ETHDrop date: Nov. 28
The Farmacy Fantoms is a music NFT project by rapper Styles P. The collection of 6,666 animated ghost characters come with different visual traits and one of ten different tracks. In the future, holders will also get access to events and discounts on Styles P brand products.
View the collection on OpenSea.
2/ Armin van Buuren – “Armin’s All-Access (AAA)”Monthly trading volume: $210,120Primary sales: $189,448Secondary sales: 17 ETH ($20,672)Drop date: Dec. 13
Superstar DJ Armin van Buuren launched an all-access pass in December, granting NFT holders entry into a Web3 fan club community. The NFT unlocks an exclusive section of the DJ’s Discord server, as well as access to unreleased tracks, studio livestreams and exclusive events. Each NFT comes with music by the Dutch producer and 10 variations of digital artwork by Rik Oostenbroek. The duo sold 952 passes in December, at $199 each.
View the collection on OpenSea.
3/ Reo Cragun x Daniel Allan – “Criteria EP”Monthly trading volume: 138.67 ETH ($168,622)Primary sales: 94.247 ETHSecondary sales: 44.324 ETHDrop date: Dec. 15
Two of the biggest names in the independent music NFT scene teamed up to end the year with a bang. Criteria is an 8-track EP fusing electronic production from Allan and hip hop vocals from Cragun – who previously collaborated on Flume’s “Quits” EP. In December, the duo released 2,500 NFTs with a unique rarity structure. The rarest track, “Criteria,” has just 25 editions making it significantly more valuable than the most common track, “Supercharged” with 1,000 editions. “Supercharged” has a floor price of 0.056 ETH ($68) on secondary markets while the rare “Criteria” has a floor price of 3 ETH ($3,648).
Criteria was the largest ever drop on music NFT platform Sound.xyz, and despite the broader bear market in crypto, the drop sold out in approximately an hour. The collection was heavily supported by the leading music NFTs collectors, or “whales,” — many purchased more than 100 each.
View the collection on OpenSea.
4/ Violetta Zironi – “Moonshot” / “Gypsy Heart”Monthly trading volume: 59 ETH ($71,744)Primary sales: 40 ETHSecondary sales: 19 ETHDrop date: April 2022
Violetta Zironi is establishing herself as one of the most consistent independent artists in the space, appearing in this top 10 for four of the last seven months. Her debut “Moonshot” collection — featuring artwork from her father, Disney animator Giuseppe Zironi — continues to generate strong sales on OpenSea with 19.24 ETH traded in December.
Her new collection Gypsy Heart is now being rolled out to existing fans and holders through an early access mint pass. Zironi sold 500 mint passes in December (out of a total 5,000), generating 40 ETH. The project will go live to the public in January.
View the collection on OpenSea.
5/ 3LAU – “Too Late for Love”Monthly trading volume: $58,839 (48.3 ETH)Primary sales: $58,839Secondary sales: N/ADrop date: Dec. 14
Electronic producer and DJ 3LAU set records back in 2021 with an $11.6 million NFT sale. Since then, he launched the Web3 music platform Royal, allowing fans to own a percentage of streaming royalties in tracks by The Chainsmokers, Diplo and others.
In December, 3LAU released his first single of the year, and his first NFT drop since 2021, “Too Late for Love.” Released via his platform Royal, the producer sold 330 gold tokens, each representing 0.1165% of streaming royalties in the track, and three diamond tokens, each granting 3.8488% of streaming royalties as well as backstage access to 3LAU events for life.
6/ Offset and Metro Boomin – “Rick Flare Drip”Monthly trading volume: 42 ETH ($51,072)Primary sales: 39 ETHSecondary sales: 3 ETHDrop date: Dec. 1
The first ever NFT from Spotify’s “Billions Club.” “Rick Flare Drip” has more than 1 billion streams on Spotify, and now fans can own a small piece of the future streaming revenue. The royalties were unlocked through a partnership with Bijan Amir — one of the producers on the track. “This is my first foray into Web3 and crypto,” said Amir. “I wanted to do something meaningful when I did. I love the idea of fans getting a share of my rights, instead of me selling a share of my masters to some investor.” The NFTs were sold via Anotherblock, a Web3 platform that sells streaming royalties in some of the world’s biggest tracks.
View the collection on OpenSea.
7/ KINGSHIP – “Key Cards”Monthly trading volume: 25 ETH ($30,400)Primary sales (in Dec): N/ASecondary sales: 25 ETHDrop date: May 2022
The Bored Ape supergroup secured its seventh-straight month in this top 10 thanks to consistent sales on secondary markets like OpenSea. In December, the group began teasing video footage from the studio where producers Hit-Boy and James Fauntleroy are currently working on the band’s music.
View the collection on OpenSea.
8/ Rae Isla – “Rocks”Monthly trading volume: 23 ETH ($24,320)Primary sales (in Dec): 20 ETHSecondary sales: 3 ETHDrop date: Nov. 28
Independent singer-songwriter Rae Isla was featured in November after selling the first 600 NFTs from her “Rocks” project — a collection of 1,000 NFTs made up of four tracks, each with different rarities and artwork released through Nifty Music — a music NFT accelerator. Isla returned to the top ten in December after selling the remaining 400 and capturing a further 3 ETH in secondary sales on OpenSea.
View the collection on OpenSea.
9/ WVRPS by WarpsoundMonthly trading volume: 20 ETH ($24,320)Primary sales (in Dec): N/ASecondary sales: 20 ETHDrop date: January 2022
WVRPSound is the biggest music NFT project ever in terms of trading volume. Since launching in January last year, the collection of AI-generated music and animated characters have earned more than 6,000 ETH in volume (approximately $7.3 million). In December, the project gave away an album of AI music to holders which triggered a fresh wave of trading activity.
WVRPSound also announced a tool for artists to create multitrack NFT albums. Now, an entire album can be minted as an NFT with interactive buttons to skip tracks. It sounds simple, but this hasn’t been done before at scale. Until now the only other example was an early experiment by an indie band called Talk Time. WRVPSound made the technology open source for anyone to use.
View the collection on OpenSea.
10/ Sammy Arriaga – “Pixelated”Monthly trading volume: 17 ETH ($20,672)Primary sales (in Dec): N/ASecondary sales: 17 ETHDrop date: June 2022
Bringing country to crypto, Sammy Arriaga is a singer-songwriter that launched an NFT project called “Pixelated” back in June. Based around 12 different versions of one song, Pixelated is a collection of 4,000 NFTs, each with a unique pixelated profile picture which Arriaga’s fans use across their social media accounts. The Pixelated project has enjoyed steady volume on secondary markets like OpenSea since the launch, but volume picked up in November and December.
View the collection on OpenSea.
Methodology: The chart was compiled using data from primary music NFT sales across 19 different NFT platforms, independent releases and combined with secondary volume data from OpenSea. Data was captured between Dec. 1 – Dec. 31, 2022. Conversion rates from crypto to US dollars were calculated on Dec. 31.
Disclosure: The author owns music NFTs from Reo Cragun and Daniel Allan, however, the above list is based purely on sales data.
While the downfall of FTX and the Crypto Winter that saw NFT sales drop 90% dominated Web3 headlines this year, for many creators there was a bigger issue at play. Their royalties have been under attack, undermining a central promise of Web3 as a sustainable model for musicians.
Creator royalties on NFTs ensure that artists get paid a cut of revenue every time their work is sold on a secondary market. As the music NFT market has matured since multi-million dollar sales attracted widespread attention, these royalties have been a central part of the Web3 proposition — presenting musicians with a possible alternative to the major label system and allowing them to generate meaningful revenue over the long term. Only now, that promise is being pulled from under them as several new NFT platforms effectively or explicitly cut out creator royalties — even though it was a core part of the Web3 promise when they originally listed their NFTs for sale — in an aggressive bid for market share.
Even OpenSea, the largest NFT marketplace, briefly considered changing its policy before a deafening backlash from artists forced the company to double down on its commitment to royalties. OpenSea also introduced an “enforcement tool” allowing artists to blacklist rival marketplaces that don’t honor creator royalties. It’s a small win for creators although some have called it a “bandaid” as many growing platforms including Blur, Magic Eden, LooksRare and Sudoswap still do not enforce royalties by default. In some cases it’s a hardline policy, in others the royalty is “optional” allowing traders to opt out of paying the artist when they sell an NFT. Most traders opt out, making the effective royalty rate close to zero.
Creator royalties are the beating heart of Web3 and the primary reason why artists flocked to NFTs in the first place. “Coming from the music world, the promise of being able to earn royalties in perpetuity without the interference of middlemen, was something I could only dream about,” says Illa Da Producer, a 12-time platinum-certified music producer credited on Eminem’s “Killshot” and community lead at Yuga Labs, the company behind Bored Ape Yacht Club. The artist can choose their own royalty rate — typically 2.5% to 10% — and they are lucrative, earning more than $1 billion for creators on OpenSea in 2022 alone.
But there’s a problem. These royalties are not coded directly into the NFTs themselves. They were introduced by marketplaces like OpenSea, originally to attract artists to the space, which means they can be removed just as quickly.
None of this was an issue during the bull-run where cartoon animal JPEGs sold for over a million dollars a piece. Collectors were flush with crypto, happy to pay the artist royalty whenever they made a winning trade. But now the bubble has popped. The price of Ethereum has dropped by 75% and NFT volume is down 90% from the highs in January. NFT platforms are left fighting for market share in a shrinking economy and traders are trying to save as much money as possible.
In a desperate bid to attract users, rival marketplaces like X2Y2 effectively cut out creator royalties by making them “optional” — traders can choose not to pay the artist royalty when they sell their NFTs, therefore pocketing more money from each sale. Other platforms including Blur, LooksRare, Sudoswap and Magic Eden followed a similarly aggressive policy.
Creators were blunt in their criticism. “In many ways, it amounts to theft by the marketplace,” says Jeff Nicholas — founder of WRVPSound, a collection of 9,999 AI music NFTs and the biggest Web3 music project ever by volume at 6,115 ETH (~$7.15 million at current prices) traded, “If a project sets royalties in their terms of service and those royalties are not enforced.”
Nevertheless, it worked. Traders abandoned OpenSea in droves. The platform’s market share dropped from 80% earlier in the year down to 45% in November according to crypto research company Messari. As a result, OpenSea claims that more than $1 million of creator royalties was effectively bypassed in the first week of November alone. At risk of losing even more market share, OpenSea was forced to act quickly, launching a tool that allows artists to blacklist those rival marketplaces.
But there’s a catch. The tool only works for new NFTs. It would not work for the thousands of existing NFTs and projects. The future of royalties on these collections — including the Bored Ape Yacht Club, Doodles and Azuki, was left wide open. In a blog post, OpenSea put all options on the table, including the potential of optional royalties.
The backlash from artists was fierce. “The message to trading platforms like OpenSea is this,” says Gino the Ghost — a Grammy winning producer and founder of Web3 music project Blocktones — “You either stand firm to support the ethos of of Web3 as the creative revolution or you lose the trust and business of the very creatives that make you successful in the first place.”
Many artists spoke out about their fear of losing their livelihood if OpenSea followed through. “I am a transgender teen that escaped an abusive household through the power of NFTs,” wrote Fewocious — a 19 year old digital artist who’s built a massive following in Web3 — in a statement on Twitter. “And there are probably so many more artists, many of whom may not be as fortunate as me, who live off their artist royalties … Please reconsider removing royalties.”
Fewocious’ statement quickly spread across social media, garnering retweets from Snoop Dogg (“Power to tha artists”) and prompting further discussion from industry execs like Lady Gaga’s former manager Troy Carter, “Fucking over creators is very Web2.”
Founders in the space also warned that it would threaten the future of NFT companies, given that many projects rely on royalties to fund their business operations. “None of the top NFT projects you see would be where they are without them,” says Betty — founder of Deadfellaz, an NFT project that partnered with Steve Aoki in October for a Halloween merch drop and has generated more than $37 million in total volume since launching in 2021. “It’s why most of us flocked to this industry and it’s what platforms like Opensea were built on.”
After engaging with the community in several heated public debates, OpenSea clarified its position and promised to enforce creator royalties on all existing collections going forward. Speaking to Billboard, OpenSea admits they could have communicated better during this time. “We own that,” says Shiva Rajaraman, vp of product. However, he affirms that OpenSea has always stood behind artists and, while all options were discussed internally, OpenSea never truly wanted to cut out creators. “Honestly, the idea of just getting rid of creator fees made no sense.” Instead, OpenSea wants to put the power in the hands of creators, he explains. “We should respect, as platforms, that choice that is made [by creators], rather than make that variable.”
Meanwhile, the new on-chain enforcement tool — which Rajaraman describes as a “healthy tension against other marketplaces” — is beginning to work. At least one rival marketplace X2Y2 has backed down and conceded that it will also enforce royalties on all existing collections. OpenSea has since handed over ownership and control of the tool to a collective of several NFT platforms so that the community can be more involved in how it develops.
Artists have mostly responded positively. “This is actually a really good start to enforcing royalties,” says Nicholas. And it’s proof that artists can still make themselves heard, force change and define their terms in the nascent Web3 space. However, he also admits that this solution might just be a “bandaid.” Despite the progress made by artists in the last month, the final decision still appears to be in the hands of the marketplaces.
Some creators are therefore fighting for a complete change to the system. “[We need] a creator focussed and led solution,” says Deadfellaz’s Betty. “We’ve needed to come together for a long time … and work on solutions outside of centralized marketplaces.”
In the meantime, artists and OpenSea do agree that creator royalties should be enshrined as a social and cultural rule, even if they are not always honored by some marketplaces. “If we don’t,” says Nicholas. “Web3 runs the risk of going the same way every other technical innovation has over the last 20-plus years and squeezing the artists and creators yet again.”
November 2022 in the crypto world will forever be marked by the collapse and bankruptcy of FTX — formerly the second-largest crypto exchange. The shockwave rippled through every inch of the Web3 ecosystem, even dragging Coachella into the collateral damage with up to $1.5 million of Coachella NFTs paralyzed on the FTX exchange.
Unsurprisingly, NFT volumes are down across the board. OpenSea’s volume dipped to just $253 million — the lowest in almost 18 months. Across the ten biggest music NFT projects tracked by Billboard in November, sales volume is down 72% in ETH terms (585.2 ETH) and down 78% in dollar terms ($743,181) compared to a strong October.
While November lacked any large Web3 music project launch, the independent scene in Web3 took the spotlight. Sound.xyz — one of the leading platforms for independent music NFTs — saw a record number of drops as well as record new wallets and active collectors (although pure dollar sales are still well off the highs). Meanwhile, several independent artists generated large sales volume through self-released projects. For that reason, seven of the top ten music projects last month came from fully independent Web3 native artists.
Based on analysis of sales data from 19 different NFT platforms, independent releases combined with secondary sales volume on OpenSea, here are the 10 biggest-selling music NFTs and collections in November 2022.
1/ DeafbeefMonthly trading volume: 205 ETH ($260,350 at month-end conversion rate)Primary sales (Nov.): N/ASecondary sales: 205 ETHDrop date: March 2021
Deafbeef is a vintage synth project with a twist. The entire collection is ‘generative’, which means the music was created by an algorithm, and coded into existence on a 10-year old computer by musician Deafbeef.
Released back in March 2021, the collection is considered one of the most important early projects among crypto collectors. Minted straight to the Ethereum blockchain at the moment of creation, it represents an experimental artform only possible through Web3. These rare items are often referred to as “grails” and thought of like art pieces. There were only two sales in November — one at 30 ETH ($38,100) and one at 175 ETH ($222,250) but that was enough to take the top spot.
View the collection on OpenSea.
2/ KINGSHIP – “Key Cards” / “Kurt the Roadie”Monthly trading volume: 127 ETH ($161,290)Primary sales (Nov.): N/ASecondary sales: 127 ETHDrop date: May 2022
The Bored Ape supergroup put together by Universal’s Web3 label 10:22PM stays in the top ten for the sixth month running. The project triggered a wave of new trading activity in November after dropping a free NFT — Kurt the Roadie — to all holders. Kurt is an animated flamingo character, hired by the band to join them on tour, according to the story. The roadie also grants holders access to the “tower” and will fly them to the “floating villa” in the elaborate KINGSHIP map.
The main KINGSHIP collection generated 61 ETH ($77.4k) in volume while the new Kurt the Roadie collection generated 66 ETH ($83.8k) as fans swapped and traded their favorite traits and rare features, some of which were designed by James Fauntleroy — the Grammy-winning producer working on the music for KINGSHIP alongside Hitboy.
View the collection on OpenSea.
3/ Violetta Zironi – “Moonshot” / “Gypsy Heart”Monthly trading volume: 56 ETH ($71,120)Primary sales (Nov.): 30 ETHSecondary sales: 26 ETHDrop date: April 2022
Singer-songwriter Violetta Zironi continues to be one of the most consistent artists in Web3, generating 25 ETH volume in November for her Moonshot project — a collection of 2,500 NFTs which features four songs accompanied by unique artwork by her father, a former Disney animator.
Zironi’s first collection sold out back in April, but she returned in November with a new project called Gypsy Heart and sold 500 early mint passes at 0.06 ETH each. Early holders will lock in a discount before the project goes live to the public in January 2023.
View the collection on OpenSea.
4/ TK – “Eternal Garden”Monthly trading volume: 36.8 ETH ($46,736)Primary sales (Nov.): 36.16 ETHSecondary sales: 0.727 ETHDrop date: November 29
Singer-songwriter TK is among a new wave of independent artists building their early career through Web3. In November, he launched an ambitious collection of 700 audiovisual NFTs called Eternal Garden. It features 7 tracks with an emotional R&B feel, each with a different rarity, revealed only when the sale ends. At the time of writing, TK has almost sold out, with 670 sales.
Like many independent artists, TK laid the groundwork over the past year through several smaller NFT drops, building a strong community of collectors before launching a bigger project. The Eternal Garden drop is the largest collection to use Sound.xyz’s new Sound Protocol which allowed TK to host the drop on his own custom website built with a Web3 tool called Bonfire.
5/ Mija – “Desert Trash” & “Acoustic Album lol”Monthly trading volume: 30.5 ETH ($38,735)Primary sales (Oct.): 12.5 ETHSecondary sales: 18 ETHDrop date: November 2
Independent artist Mija embarked on a Web3 blitz in November, dropping 18 songs as NFTs on Sound.xyz from her 2020 album “Desert Trash” and a new unreleased record “Acoustic Album lol”. Like TK, Mija has fully embraced the Web3 space, often making her music available exclusively on NFT platforms first.
Although Mija’s mints were priced relatively low — at approximately 0.01 ETH ($12) or often free — the sheer volume of music helped her generate 12.5 ETH in primary sales and a further 18 ETH in secondary volume. Mija also used some guerilla marketing tactics to capture attention such as airdropping music NFTs to Ethereum founder Vitalik Buterin’s crypto wallet and minting a song about a pseudonymous music collector known only as Hamburglar.
View collection on OpenSea.
6/ Matt Cooper – Something BeautifulMonthly trading volume: $31,600Primary sales (Oct.): $31,600Secondary sales: N/ADrop date: October 6
Matt Cooper is a rising country star with more than a million TikTok followers and a number one track on the iTunes all-genres songs chart. In November he made his Web3 debut with a drop on Royal. Fresh from launching its new music rights marketplace, Royal allows collectors to earn streaming revenue alongside the artists.
Matt Cooper issued 400 tokens of “Something Beautiful,” each offering a 0.0812% share of future streaming revenue, while 8 ‘diamond’ holders will unlock 2.187% of streaming royalties per token and a virtual meet and greet. The exclusive diamond token is currently changing hands for an average $1,499.
View collection on OpenSea.
7/ Rae Isla – “Rocks”Monthly trading volume: ~27 ETH ETH ($34,290)Primary sales (Oct.): ~27 ETHSecondary sales: N/ADrop date: November 28
Rae Isla spent the last year dedicating herself to Web3, hosting countless Twitter Spaces and building a loyal community. She minted music videos as NFTs on a Web3 video platform called Glass and sold out a music drop on Sound.xyz in 50 seconds.
Rocks, however, is her most ambitious project. It’s a collection of 1,000 NFTs released through Nifty Music — a music NFT accelerator. The collection is made up of four tracks, each with different visual traits and rarities. Holders can unlock rewards depending on how many NFTs they hold, such as free concert access. At the time of writing, Isla has sold 600 from the collection so far.
8/ Probably A Label / Money on the TableMonthly trading volume: 28 ETH ($35,560)Primary sales (Nov.): N/ASecondary sales: 28 ETHDrop date: October 6
Warner Records UK partnered with Web3 brand Probably Nothing to launch a new NFT imprint, Probably a Label. The label’s access passes sold out in 7 minutes in early October and continued to generate secondary sales through November. The label dropped a free music NFT “Money on the Table” featuring Diddy and JasonMartin in November, driving an additional 3 ETH in volume.
View the collection on OpenSea.
9/ Sammy Arriaga – “Pixelated”Monthly trading volume: 25 ETH ($31,750)Primary sales (Nov.): N/ASecondary sales: 25 ETHDrop date: June, 2022
Bringing country to crypto, Sammy Arriaga is a singer-songwriter that launched an NFT project called “Pixelated” back in June. Based around 12 different versions of one song, Pixelated is a collection of 4,000 NFTs, each with a unique pixelated profile picture which Arriaga’s fans use across their social media accounts. The Pixelated project has enjoyed steady volume on secondary markets like OpenSea since the launch, but volume soared in November.
View the collection on OpenSea.
10/ Daniel Allan – VariousMonthly trading volume: 25 ETH ($31,750)Primary sales (Oct.): 1.076 ETHSecondary sales: 24.025 ETHDrop date: Dec, 2021
Most of Daniel Allan’s sales in November can be attributed to one large collector, or “whale.” An unknown crypto address spent approximately 20 ETH “sweeping” up Allan’s earliest drops on Sound.xyz on the secondary market. Allan also had a small primary sale in November via a collaboration with Reo Cragun released through Cragun’s “LNRZ” collective.
Methodology: The chart was compiled using data from primary music NFT sales across 19 different NFT platforms, independent releases and combined with secondary volume data from OpenSea. Data was captured between November 1 – November 30, 2022. Conversion rates from crypto to US dollars were calculated on November 30.
Disclosure: The author owns music NFTs from TK, Mija and Daniel Allan, however, the above list is based purely on sales data.
Warner Chappell Music is the first major publisher to step into Web3 through a new deal with Defient — a Web3 entertainment incubator. The deal will allow the Warner Chappell roster, which includes Bruno Mars, David Bowie, Katy Perry and Lizzo, to tap into blockchain technology through digital collectibles, events and memorabilia.
The first project is a digital museum launching early 2023 called “Archives,” which will shine a light on songwriters through an exhibition of music, artwork and collectibles built around the song creation process. A limited-edition NFT mint pass will also give holders access to highly curated drops, auctions and virtual experiences.
WCM believes the partnership will allow the publisher to unlock new methods of monetization. “By embracing the power of blockchain technology, we can create impactful new revenue streams and creative opportunities for our songwriters while giving music fans access to unique experiences,” said WCM senior vp of creative services Ashley Winton. “Not only are [founder & CEO] Sidney [Swift] and his whole team at Defient experts in this space, but they also have deep roots in music and know how to champion the voices of creators.”
Defient is a Web3 incubator with experience across the music industry and the emerging NFT landscape. Founded by Grammy-nominated producer Sidney Swift, Defient was instrumental in developing a Web3 record label, ChillRx, which has generated over $1 million in volume since launching in February 2022.
In a statement about the collaboration, Swift said, “We’re proud to be working with Warner Chappell as they expand into the web3 community that Defient is already so ingrained in. Having started my career as a songwriter and producer, it’s exciting to join forces with a forward-thinking partner and work towards making it easier and more accessible for songwriters and artists to leverage web3 platforms. Together, we want to use technology to empower creatives and help them elevate their brands.”
Major labels have already made the leap into NFTs via dedicated Web3 imprints such as 10:22PM at Universal Music Group and Probably a Label at Warner Records UK. Publishers have taken a slower approach, but WCM is optimistic that blockchain technology will offer new opportunities for its songwriters. “This is a unique opportunity to shape the future of music publishing,” said WCM co-chair and CEO Guy Moot and co-chair and COO Carianne Marshall in a joint statement. “With Defient’s support, we’ll be able to unlock new avenues in web3 on behalf of our songwriters and find different ways for them to grow their legacies and engage with fans.”
What happens when you let 5,555 music fans make decisions at a major label? Warner Records is about to find out through its new Web3 imprint Probably a Label. After selling out a collection of NFT access-passes, the holders will now gather in a Discord server to help develop artists together, share the credits of any future awards such as a Grammy, and ultimately offer intellectual property rights in some of the projects to NFT holders.
The experiment is a collaboration between Warner Records UK and Web3 brand Probably Nothing, whose debut NFT collection fetched $500k in seven minutes in October. Each NFT comes with different rarity and label roles (4,000 scouts, 1,500 managers and 55 label heads), allowing holders to vote on certain decisions. The rarest — and most expensive, currently at $2,138 — come with priority voting and access to exec dinners.
“This is a vehicle for us to explore new ways of working as a label,” says Sebastian Simone — vp of audience & strategy at Warner Records UK. For the first time at a major label level, fans will be involved in artist development, starting with the creation of a virtual artist. “[The virtual artist] will be built in conjunction with the community of holders through a voting system on design, storyline and other creative.”
Holders have already been gifted a free music NFT — “Money on the Table” by Diddy and Jason Martin — but the label isn’t just focused on NFTs. It will also run traditional campaigns to help break emerging talent within the Web3 space. Simone envisions a future where Web3-native artists developed through the label are “Selling out global tours, winning awards and crossing over into the mainstream.” There will also be crossover from the existing Warner roster where Probably a Label will act as the first touchpoint for established acts to experiment with NFTs.
Warner has been an early-adopter in Web3, launching the Stickmen Toys NFT project in August — an early experiment in granting IP rights to fans from a major label. Stickmen Toys holders own the full rights to the music and can use it however they like. Warner Records also landed the UK’s first ever No. 1 with a chart-compatible NFT release through Muse’s Will of the People. “WMG is focused on ensuring that our artists are deeply embedded in this world of Web3 so that they are not just using the technologies but helping to define them,” says Oana Ruxandra, chief digital officer and executive vp, business development. “We are putting a lot of time and energy behind this burgeoning space.”
Courtesy Photo
Rather than keep everything inside the Warner machine, however, the label partnered with Probably Nothing — a Web3 brand founded by former restaurateur and TV chef Jeremy Fall. The brand already has a community of thousands and previous experience with NFT drops including the Probably Nothing Genesis Pass which generated 879 ETH (~$1.03 million) in volume since launching in May 2022. The idea is to co-sign Warner’s NFT activities with an established name in Web3. “We’re in a new market exploring and learning,” says Simone. “It’s crucial we partner with people who have a deep, early-adopter understanding of new technologies and the culture.”
On paper, it’s a smart move. Many music companies and major label artists have blundered into Web3 without engaging with the existing community or taking the temperature of the market, leading to disastrous results and backlash. Collaborating with native Web3 teams appears to be a winning formula for bigger corporate entities.
For Fall, the venture allows him to dive deeper into music, which he says has always been part of his identity. During his days as a TV chef, he hosted a “Beats for Breakfast” show with Miguel. “Anytime I can be creative in a new way gets me excited. I have a vision on how I could help impact the music industry … and having Warner Records help bring those ideas to life excites me the most.”
The label’s biggest promise of all, however, is to “redefine IP ownership in music.” Although specific details are still cloudy, Fall says “We will be granting IP rights to certain [label] projects, depending on how they are structured … disrupting the traditional label model by opening the doors to sharing ownership in valuable content.” The team can’t yet confirm whether this will extend to the virtual artist currently in development or any of the songs.
Some of this IP experiment will also be explored in an initiative called Studio A and Studio B. “Studio A is our IP incubator,” explains Fall. “It allows our holders to pitch their existing [NFT-related] IP to us.” For example, if a member of the community owns a Doodles, Azuki, Bored Ape Yacht Club or select other NFTs, they can pitch an idea to the label based around the NFT, such as a music video, virtual artist, song or short-film. If accepted, Probably a Label will help provide resources, financing and marketing.
Studio B is more like a pooled music library. Anyone with a label pass can submit tracks to Studio B, and someone else from the community could use that music in their own project, such as a movie or sample for a beat. “If someone from our community wants to use one of the tracks for a project,” says Fall, “We will broker the communication between holders that allows them to license it.”
Critics might ask whether any of this requires NFTs at all. Fan voting mechanisms and shared communities can be created without Web3. Fall explains, “The traditional Web2 model doesn’t allow us to … give [fans] any ownership in projects. NFTs are this exact core that give people emotional ownership and value in projects they are a part of.” Important to note, however, that owning an NFT does not automatically guarantee IP ownership unless it’s explicitly stated.
In terms of providing value, the NFT label pass could be expected to rise if the label and its artists are successful, rewarding holders for their participation. However, the label will have to contend with the fact that the current price of the NFT (0.03 ETH) is now worth less than half the mint price (0.09 ETH). Anyone that purchased on the day of launch is now underwater unless they pulled one of the 55 rarest passes. While this is not unusual for NFT projects in the current down-market, it is uncharted territory for a major label that will now have to manage expectations of thousands of music fans who may have lost money on paper. The team isn’t fazed yet, though. “We’re focused on providing the best experience and value to our community,” says Simone. “The rest will fall into place.”
Imagine a platform where fans can buy and sell streaming rights from the music they love, as easily as buying a stock on an investing site like Robinhood. This is the vision of Web3 music platform Royal, which today announces a music rights marketplace.
Founded by DJ and producer Justin Blau, Royal launched in January 2022 with high-profile NFT drops from Nas, Diplo and The Chainsmokers. The platform allows fans and investors to earn a percentage of streaming royalties alongside the artists. Thus far, the platform says it has paid out $100,000 to holders.
After proving the concept works, Blau says Royal is growing into its bigger vision. “The drops were very much a beta,” he tells Billboard. “We needed to show that you could actually pay out royalties in an efficient manner on chain … The next piece is the tradability of these assets.”
Royal’s marketplace allows fans to buy and sell music rights directly on the website. It includes a ‘portfolio’ where fans can manage their collection, track the performance of their assets and connect to a bank account. Since the beginning, Royal has worked to hide the crypto technology that underpins the platform, and that same Web2.5 philosophy applies to the new marketplace.
“You can buy and sell these things and never see crypto if you don’t want to,” Blau says.
Royal sees music as a rapidly growing asset class with global music revenues hitting $26 billion in 2021, according to IFPI. And while streaming accounts for 65% of recorded music revenue — also via IFPI — most of the value is locked up in legacy music companies and investment firms. “The private markets have controlled all the value in music rights,” says Blau. “It’s not moving between artists and fans, it’s moving between institutions.”
The concept of Royal’s marketplace is to unlock some of that value and let fans participate.
“If you’re a fan and you own a piece of a song and it comes on the radio, there’s something really special about saying you own that.”
Hanging over this announcement, however, is a lawsuit served to Blau over an $11 million NFT auction connected to his Ultraviolet album in 2021. Songwriter Luna Aura — who says she owns a 50% royalty share in one of the tracks on the album — claims she was not adequately compensated from the NFT sale.
Blau could not offer further comment on the details of the lawsuit, but did say the experience of releasing the Ultraviolet NFT and navigating IP laws with 21 other artists informed how they built Royal.
In the coming weeks, the platform will also host more than a dozen new drops from independent artists, starting today with Bingo Players & Zookëper and their new single “Bathroom Line,” followed by “I’ll Wait” by Madison Ryann Ward, as well as music from Yemi Alade, 27Delly and Matt Cooper.
The crypto world was rocked last week by the stunning implosion of FTX — the second-largest cryptocurrency exchange. Though the ripple effect across the industry is still playing out, Coachella appears to be caught up in the collateral damage.
The festival partnered with FTX.US to sell $1.5 million worth of NFTs back in February, a couple of months before the Southern California event’s first staging since the pandemic. The collection included 10 NFT “Coachella Keys,” which granted lifetime access to the festival and VIP perks such as luxury experiences and exclusive merchandise. Many of those NFTs now appear to be stuck and inaccessible on the defunct exchange.
“Like many of you, we have been watching this news unfold online over the past few days and are shocked by the outcome,” said a Coachella staff member on the festival’s Discord server. “We do not currently have any lines of communication with the FTX team. We have assembled an internal team to come up with solutions based on the tools we have access to. Our priority is getting Coachella NFTs off of FTX, which appears to be disabled at the moment.”
Coachella did not immediately respond to requests for further information.
FTX filed for Chapter 11 bankruptcy on Friday citing a “severe liquidity crisis,” after depositors rushed to withdraw more than $6 billion in 72 hours. It is alleged that FTX and its founder Sam Bankman-Fried commingled customer deposits with its sister trading firm Alameda Research, resulting in a multi-billion dollar hole in the exchange’s balance sheet. When customers rushed to withdraw their funds, it became clear that FTX was insolvent.
The knock-on effects have been disastrous, with billions of dollars locked up and little prospect of recovery. Among those assets are several NFTs released through the FTX platform, including NFTs from Coachella and Tomorrowland.
One collector told Billboard he was able to withdraw his Coachella Key to his own wallet just days before FTX went bankrupt, but many others have not been so lucky. Anyone who kept their NFT on the FTX platform currently has no access to them.
Although few in the Web3 industry predicted a crisis on this scale, many crypto advocates have long argued that NFTs and cryptocurrencies should not be stored or held by centralized platforms such as FTX. The last update from the Coachella team — issued on Saturday (November 12) — advised users against interacting with any FTX product and recommended they sign out of all FTX accounts.
Santigold has launched a new community fan club powered by Web3, allowing her to connect directly with fans and offer exclusive content and experiences. It follows a tour cancellation in September where she told fans, “I have tried and tried, looked at what it would take from every angle, and I simply don’t have it.”
The difficult touring conditions has many artists looking for an alternative in Web3. Digital communities, unlocked through NFT access, are becoming increasingly popular for musicians seeking a deeper connection with their fans.
“I am excited about Web3 as an opportunity for artists to interact with our audiences in more honest, intimate and creative ways, while exploring new art mediums and technologies,” says Santigold. “I’m also looking forward to using this space to innovate ways to control the release of our art on our own terms.”
After claiming a free NFT pass, fans will have access to a hub of exclusive content including a sneak peak at Santigold’s upcoming music video. Fans can also submit questions for her new podcast and vote on merchandise designs.
Santigold’s ‘Fan Club’ is powered by Web3 tech company Medallion which already hosts personalized fan clubs for Tycho, Sigur Ros and Jungle. The tech is customizable so it can be integrated into an artist’s existing website and aesthetic. The onboarding process for fans is free and seamless — an example of Web 2.5 whereby the complicated crypto technology is disguised with simple and familiar interfaces.
Medallion Logo
Courtesy Photo
British band Jungle launched their Medallion fan club in September and has already used it to launch hyper-localized campaigns to support their touring activity. For example, the band onboarded 500 local fans in Mexico City ahead of a headline show. “The Jungle Fan Club has allowed us to connect with fans directly in a digital space that feels communal, interactive and collaborative,” says Jungle. “Medallion’s technology has built solutions for ideas we’ve had for years, but have never had the tools to make practical.”
Since launching, Medallion has onboarded 20,000 users to Tycho, Sigur Ros and Jungle’s communities — 95% of those had never touched crypto before. Within 24 hours of launching his Web3 fan club, Tycho tripled the number of fans in his Discord community.
“Medallion’s technology has been built with a singular goal of helping artists create more meaningful connections with their fans, both on and off the road,” says Medallion president Derek Davies. “And with the hardships facing touring artists since the onset of the pandemic, the invaluable importance for community in digital spaces has become clearer than ever.”
Web3 fan clubs are not a new phenomenon. Steve Aoki launched the Aokiverse in 2021 which offers fans token-gated access to VIP tickets and free NFT airdrops. Hard rock band Avenged Sevenfold launched the Deathbats Club which gives fans unlimited meet and greet access for life. Meanwhile, alt-rockers Portugal. The Man launched a Web3 fan club complete with its own social token $PTM.
The trend is accelerating, however, especially as new platforms are developed to create a simple, custom experience. The harsh realities of touring in a post-COVID world, coupled with the pressure to create ‘content’ for a mass audience on social media, means that digital communities could become an increasingly important way to engage with super fans.
Roblox is the most active platform for music in the metaverse, showcasing interactive and immersive virtual performances from artists ranging from Lil Nas X and Zara Larsson to KSI, 24KGoldn and Charli XCX. Given the current success, it is hard to believe that just three years ago, when I started working with Roblox, there was little awareness of the creative and commercial potential for artists in the metaverse. In fact, other than a few execs who knew their kids were on there playing and asking for some Robux, most music industry stakeholders hadn’t heard of Roblox at all.
When they heard the platform had over 100 million users, they were excited by the size of the audience. Roblox was also appealing as — compared to other major consumer platforms with anywhere near the same reach — it was and still is less crowded and free from traditional interruptive advertising. And yet, a few mavericks like Scott Cohen from Warner Music aside, none had yet thought about Roblox from an artist marketing or monetization perspective.
From those initial conversations in 2019, fast forward to 2022 and many artists from different genres have been able to express themselves in new, creative ways by building fun, immersive virtual concerts that have generated tens of millions of net new revenue for all parties. Major music brands like Spotify and consumer brands like Samsung and Deutsche Telekom have now also created their own persistent music worlds.
How did we get here? What are the long-term implications for the music industry? How will fans continue to deepen their engagement with their favorite artists?
How Lil Nas X Became a Lighthouse
Any time there is a new medium like the internet, then mobile, social and now the metaverse, the Music Industry initially treads lightly. Understandably so, as the whole industry is primarily based on the exploitation of rights, which are inherently complicated. So even when interest in metaverse experiences picked up speed, there were still roadblocks to overcome.
Even with the help and expertise of first movers at Sony and Adam Leber from REBEL management in launching the Lil Nas X virtual concert, it’s always hard doing things that haven’t been done before. In particular, new virtual deal structures for the industry to adopt needed to be created from scratch. There was also no “metaverse production studio” to tap to produce the virtual concert. So, with the help of Rafael Brown and Duane Stinnett, we basically had to spin up an entirely new production entity on the fly in order to get the experience built, working with many Roblox colleagues led by Morgan Tucker (now head of product), and Philippe Clavel (senior director of engineering), who managed the platform’s internal social experiences group.
The concert was a creative, technological, and commercial success that reached nearly 40 million people, but there were many points along the way where we weren’t sure we were going to land the plane: It really took a village to make it happen. It was worth the risk, as the Lil Nas X concert began to act as a lighthouse for the other labels and artists to follow. Now, music events have reached, delighted and engaged well over 100 million global fans on Roblox.
Creating Scale and Choice
Since the days of those early Roblox experiences, more and more platforms have emerged that only serve to give the music industry more choice when they want to activate music experiences and reach their fans in the metaverse. If Lil Nas X was a lighthouse, his beacon soon hit a prism that brought to light new formats. From launch parties with video driven performances to listening parties, with artists like Poppy, which were activated in existing Roblox experiences, the richness and diversity of musical experiences exploded.
The scale of the opportunity created a whole new market for metaverse studios to partner with labels, artists and brands to keep pushing the limits of creativity for these metaverse experiences. The process is now there to maintain the end quality but reduce time to market and cost of production. All parts of the music industry are now focused on innovating old ways of doing things to capitalise on the opportunities presented by the metaverse and Web3. Dubit, for example, created metaverse awards show parties for the BRITs and Grammys this year on Roblox, which were the first of their kind in the metaverse. Then, perhaps most notably, the MTV VMAs announced the inaugural best metaverse performance award, bringing virtual concerts into mainstream pop culture. Nominees included Charli XCX for her Samsung Roblox gig, Twenty One Pilots, and K-pop stars BTS for their performance in Minecraft, with BLACKPINK winning for their performance in PUBG.
Collectively, we as an industry are all building a better platform for artists to express themselves and connect with their fans, unlocking new creative and commercial opportunities that will significantly grow the overall business in the next three to five years.
Authenticity, Interactivity and Value for Players
What does all this mean for users? I mentioned earlier that metaverse platforms are relatively free of traditional interruptive advertising that has plagued mobile games, web-based content, and linear television. Will we be able to say the same after the next five years of growth? I’m optimistic. Top of mind with all activations and experiences should be authenticity to the nature of the platform; and providing interactive fun and value to players. The Logitech activation with Lizzo and Gayle was a great example of branded entertainment done right. The experience was super fun for players, featured top artists and was also able to meet the brand’s marketing objectives with close to 7 million people attending the event and engaging with Logitech products like flying “Logitech mouse” cars.
Moving forward there is going to have to be continued focus on ensuring that experiences really need to exist and are not just done to check off a metaverse activation to-do list for a brand or media company. As more professional brands and ad agencies start getting involved in metaverse projects and the builder economy around them grows, I expect the level of creativity to go up. There will also be a lot of discussion about whether an artist or brand needs a persistent experience or whether they should just build an ephemeral experience that coincides with their campaign windows. Generally, I think it will be more of the latter once the market matures.
The more we can all focus our time and energy on building a sustainable ecosystem for artists, platforms, developer studios and builders, brands, labels and publishers that provides values for all parties the more likely that the market will be able to grow and reach its full creative and commercial potential.
Exploring Web3 Connections
The metaverse represents a new platform shift that started with web to mobile and then mobile to social. The brands and media companies are paying attention to where their customers are spending time. Over the coming years, billions of dollars will move to the metaverse which is a more interactive, more immersive platform where hundreds of millions of young people are spending hours of each day hanging out and playing with their friends.
In the medium term, the size of platforms like Roblox, Fortnite, Minecraft and Meta will be hugely appealing to the music industry. As they evolve and all parties continue to creatively collaborate, the music industry will need to see not only marketing exposure from metaverse platforms but also get access to their fans and see new, repeatable revenue streams that justify their focus and investment. Many brands and artists are also already looking towards Web3 — the next iteration of the internet built on blockchain technology.
Whether it’s exploring the possibility of selling tracks as NFTs with perpetual royalties, NFT powered artist fan clubs, new streaming services that can be owned by users and artists directly, or blockchain powered contracts; Web3 offers the potential to bring major innovation to an industry that hasn’t materially changed since the birth of digital music some 20 years ago. It will hopefully create a more equitable market for artists to earn a living by directly connecting with their fans. For example, a universal blockchain wallet would be an incredibly powerful way for brands and artists to connect with their most loyal fans directly by adding value to their lives with exclusive digital rewards. Concert goers will be able to get rewarded for attending events by getting collectable NFTs that could in turn unlock virtual after party events in metaspaces powered by platforms like Vatom. We are at the very beginning of the birth of one of the most exciting and transformative marketing eras since the birth of the Internet.
Where Next?
Three years on from Lil Nas X, we are still at the beginning of building the future of music in the metaverse, and there is still massive upside ahead. For it to keep growing and realise its full market potential, platforms will need to help their music partners protect their IP, market directly to their fans, easily create compelling multimedia experiences, create sustainable new revenue streams, and have their experiences discovered by the right users.
Even more importantly, anyone building a music experience in the metaverse needs to ensure that their primary focus is always on delighting the fans. Music in the metaverse represents a fundamental shift in the way fans engage with music. Music is becoming a far more interactive, immersive and hyper social experience that also allows the fan to participate in the creative process along with their favorite artists. If a music experience isn’t authentic, fun, immersive and social, it doesn’t belong in the metaverse.
Jon Vlassopulos is an advisory board member at Dubit and the chief executive officer at Napster.