Music is one of my favorite things to relax in my personal life. On the Internet, music software like spotify is even more useful. So what is the chemical reaction between web3 and music in the new era?

Before the rise of the Web3 music platform, the traditional music industry was once in trouble. Faced with repeated declines in financial reports, major music companies and investors are helpless. According to the International Federation of the Phonographic Industry, the total revenue of the global recorded music market is US$21.6 billion, but it has not yet surpassed the high point in 2001.

 

Image Source: Recorded music industry – global revenue 2022 | Statista

 

The income of the traditional music industry comes from physical sales, performances and related copyrights, but under the impact of COVID-19, the proportion of these incomes has also been declining. Industry insiders pay more attention to the online market. Music NFT began to appear, and became an important foundation for the Web3 music project with its unique advantages of user protection and copyright owner confirmation, breaking the monopoly of middlemen.

 

Reshape value distribution

In the Web3 music industry, the transparency and convenience of revenue distribution are further improved. Musicians need to go through fewer intermediaries to participate in market circulation, and the links to communicate with fans are shorter. Intermediaries can no longer interfere with this and become “gainers for nothing” to obtain more benefits. This has more benefits than disadvantages for musicians and users.

 

Innovative application scenarios

The music organization Live Nation announced the launch of the Live Stubs project. Fans can receive exclusive NFT when purchasing concert tickets, which can be used to access the official fan club and serve as an exclusive fan identity tag. It can be seen that Web3 Music is breaking through the limitations and turning to the development direction of stimulating product and extending the industrial value chain.

 

Develop a music community

At present, the commercial links of the Web3 music fan economy are short. Many creators use Web3 music to stay on the sales logic of issuing NFT works. However, it is difficult to form a close artist-fan community by selling NFT alone. If we can open up more space for fans and artists to interact and form a community-operated Web3 music ecosystem, it may be able to inspire a new interest-based music ecosystem.