Music Companies Using Blockchain

Now blockchain is being used to open new investment avenues, allowing anyone to invest in the catalogues of artists. Not only can you own a percentage of your favorite music’s royalties, you have the option to resell or trade it on open digital marketplaces.

There are variations on the methods used by these startups. The primary difference being whether you are required to be a part of a DAO (Decentralized Autonomous Organization ), or you simply purchase the music “asset” with a standard crypto wallet. 

Pros and Cons Of Investing In Music With Cryptocurrency

Making investments with cyrpto has always been a risky endeavor. It is a volatile market after all, which is only exacerbated by the fact that the music industry is equally as restless. 

Before deciding to make any such investment, it’s important to weight the pros and cons. 

Pros Of Investing In Music With Cryptocurrency

  • You have residual revenue based on your partial ownership of the songs you buy into. The benefit of “residual income” has long been a boon to musicians and their families/estates.
  • Buying the token that represents your ownership will often come with extras: such as exclusive access to other artist content, VIP passes to performances.
  • If you purchase part of the streaming rights while the crypto it is listed under is at a low, you are getting more for your money (the percentage of your stake in royalties is static, while the price of ETH spikes up and down for example)

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