How much do you think artists earn off Spotify, Pandora, Apple Music and the like?
1 Million streams –> $7,ooo; After splitting proceeds with crew members, producers and the like, the artist typically earns $2,100
Even lower at $1,650 per million streams.
MediaChain is a peer-to-peer, blockchain database for sharing information across different applications and organizations.
Music application: In addition to organizing open-source information by issuing unique identifiers for each piece of information, MediaChain also works with artists to ensure they are paid fairly. The company issues smart contracts with musicians that directly state their royalty stipulations without the hassle of confusing third parties or contingencies.
Blockchain: Making Value a commodity.
Blockchain is solving some of the major problems currently plaguing the music industry. With blockchain, musicians are able to receive equitable royalty payments, venues are able to curb counterfeit tickets and record companies can easily trace music streams and instantly pay all artists who contributed to songs or albums.
Open Music Initiative
Comprised of 200 members, the Open Music Initiative (OMI) is a nonprofit calling for open source protocol in the music industry.
Music application: The Open Music Initiative is exploring the use of blockchain to help identify the rightful music rights holders and originators so they can receive fair royalty payments. The Initiative believes that blockchain can bring transparency and deeper data insights, which can help artists get fairly paid. They count Soundcloud, Red Bull Media and Netflix as just a few of their members.
Real-life use case: Sony, YouTube, and Spotify have also joined OMI to modernize and streamline royalty payment mechanisms.
Viberate is currently the world’s largest live music database, featuring more than 460,000 artists, 5,000 music festivals and 500,000 global music events.
Music application: Want to know which artist, event or venue is trending? Check out Viberate’s curated profiles that highlight an artist’s upcoming shows, social media engagement and music videos. Viberate uses blockchain to manage millions of crowdsourced data points, with real-time rankings and profiles. It rewards community participants with VIB tokens, which the company views as a go-to digital currency in the music industry.
Real-life use case: The Chainsmokers and Showtek are just a couple of the artists that have already claimed their Viberate profiles in order to better engage with fans.
Smackathon is a competition for business ideas that focuses on using decentralized blockchain in music.
Music application: Created by Mr. Worldwide himself, Pitbull, the annual competition has seen blockchain-based ideas like decentralized streaming services, platforms that pay a listener for every second they listen to a song and fan engagement tools. The idea of the competition is to embrace a wider music fan base and ensure that artists are being treated fairly.
Real-life use case: The winner of the 2018 Smackathon was the crowdfunding platform HyperValence, which uses Proof-of-Fandom (PoF) that enables fans to support up-and-coming artists by purchasing digital collectibles.