Blockchain tentacles are grabbing their hold in almost every industry domain. Past few years have witnessed the tremendous and significant impact of blockchain technology in various industry circles. The innovation has been applied as a solution for almost every imaginable industry challenges, showcasing a significant percentage of improvisation and qualitative marks in the industry.
Now, blockchain technology the latest crop of technical innovation is all set to redefine how music industry is working? How music is created and distributed among the mass.
Music industry always remains subdued compared to other entertainment industry. Though the technology has brought several changes on how we listen to music, the industry themselves outstays with several developments and changes. There is an immediacy of change advocated for the music industry so as to keep them competitive of coming ahead challenges.
With Blockchain technology swaddling almost every industry that is imaginable, and its tentacles successfully bandaging every industrial inadequacy, it is presumed that blockchain for music industry too, can bring some revolutions to the floor.
It is anticipated that the distributed ledger technology can bring in more transparency to the music creation and distribution, fair distribution of payments to the artists, protecting the copyright of music, etc.
Let’s see in what all ways blockchain in music industry can bring forth changes:
One can confidently ascertain that pirated music is the greatest factor to continual destruction of music business. Theft in the music industry is evaluated to cost the U.S. economy:
> $12.5 billion in total yield
> 71,060 employments
> $2.7 billion in profit
In fact, it has become that much simpler for a layman to search pirated copies of music in the web. People acquire their favorite tunes mainly from the pirated source. Easily available pirated versions, not only urges to their immediacy of music requirement but also eases the long-running search of tunes in YouTube and other platforms. Also converting and downloading the videos have become much simpler with these malicious discoveries. However, with blockchain, music privacy can be curbed to a great extent, making the industry all more economically stable.
Here are the ways, blockchain can bring halts to pirating music;
Blockchain technology claims its integrity to prove even in courts. Therefore, can be confidently implemented in music industry so as to refrain from the trouble of intellectual property rights.
Blockchain’s underlying framework-the distributed ledger technology can be used as a secure platform for holding every transaction with respect to music ownership. The technology can remain a standstill proof of every ownership transfers made, giving no room for confusions and frauds. Thus the frequent episodes of battle among artists and studios can be brought to halt.
No matter, in which formatting, wordings or styles the ownership is designed, blockchain technology completely rules out the complexity in establishing the ownership. It brings in a standardized way to state your authenticity in the property.
Later in future, if any discrepancies arise, the same blockchain can be utilized to trace the history of property rights or ownership.
Blockchain’s smart contracts are robust to hold complex agreements. Until the desired set of conditions are met, the smart contract remains stubborn and incredibly hard to alter. Thus one need not worry about the fakery of documentations and other fraudulent practices.
Fair Payment to Artists
A craftsman's music is typically distributed and sold on various stages. On account of this, there is generally no clear record of how much cash is made out of one music deal. This often results in confusion and unwanted disparities between musicians and other associates whining that they are not been genuinely paid for their work.
Now apart from singers and musicians, there are also other prominent figures in music industry complaining the same. Studies show that music scam is largely taking place in and around our place. While music studios sell the work for a huge sum, the performers are made to shut their mouths with just 12% of the income made in the total business. And it is much deplorable the state of instrument players and other coordinates in the music industry.
However, with Blockchain innovation, this uneven payment can be put to stop. Blockchain technology in music can defeat all discrepancies via tracking all deals crosswise over organization stages, giving an evidence-based insight into how much a melody or a collection made.
By being noticeable on a blockchain, the data will be open for every one of those included (blockchain participants), be it the artists or others. They will get to know, how much money they made in total from a single deal, also who holds what and others.
Cutting Out Third-Parties: Distributors
Blockchain innovation could likewise weaken the hold that music organizations have over the distribution of music. Or say blockchain technology keeps the potentiality to completely evade the necessity of distribution companies. One of the unique selling points of blockchain innovation is the elimination of third parties, and music industry is no exception from this.
Coming to the music industry, blockchain technology can bring artists and fans altogether closer, opening new doors of micropayments. Blockchain technology in music industry can enable listeners/ audience to pay micropayments to artists for tuning their songs. Thus the role of third-parties (distributors) can be completely overruled. This is something like content marketing, where readers pay a certain sum to read the particular article.
To conclude, blockchain in music industry may not solve all disparities in the music business, however, can strengthen few processes and establish a platform of trust and reliability, making music business more profitable.
Music companies that already use blockchain include Mycelia, Musicoin, Mediacoin, Ujo. However, one of the greatest organization, that fully utilized the potentiality of blockchain in music industry is Spotify. The company turned themselves so huge that at one point it was worth more than the whole U.S. music industry, with a valuation of $8.4 billion in 2017. In 2017, TechCrunch detailed that Spotify obtained blockchain startup Mediachain.