Ethereum Smart Contracts Recomposing Music Industry
- By Paras Kale
The impact of Blockchain on the commercial sector is very remarkable, but here we will be discussing Blockchain in the music industry. The blockchain application in the music industry is a little unusual, but it is interesting to implement. Currently, Blockchain in the music industry is quite a theory at this time, but soon this will be achieved in the musical fielding flourishing its existence.
Ethereum is a decentralized open-source platform having smart contract functionality. For the current scenario, the Ethereum solution lays a tough groundwork. When it comes to an artist, they are never good businessmen, so a lot of times an artist deserves a lot but earns very less. To eliminate this, blockchain will help music artists to encourage them. Here are some Ethereum smart-contract based systems in the music industry where blockchain has already been implemented;
1. PROJECT UJO
This project is based on Ethereum smart contracts. It implements cryptocurrency for the database of the musicians. The ownership of data is a huge concern for the musicians so with the help of blockchain this data can be decentralized. Ujo began an artist portal where artists have full control over their published works. The musicians can upload their songs, and they can decide their payroll. The project has not revealed their way of working, but they store the data of creator identity, licensing options, and distribution channels on the blockchain.
2. PROJECT MYCELIA
This project is initiated by Imogen heap. She has been working in the music industry for developing it with blockchain technology since 2014. This project is for the musicians and for the transparency that they wish for from others. Project mycelia ensure that the music industry fully acknowledges and pays for an artist's services. Project Mycelia have stated that
“Using emergent blockchain technology, featuring template' smart contracts', the 'Creative Passport' will enable quick and easy direct payments, to simplify and democratize collaboration from meaningful commercial partnerships to creativity."
3. PROJECT BITSONG
Since the services like Spotify, Pandora, and Apple music have fallen short of giving musicians their deserved credits and paying some projects like Bitsong have initiated the streaming service. It is the first platform to implement blockchain in streaming. This platform is beneficial for artists as well as listeners. They pay for both of them. In this application, unlike other streamline services, advertisements exist, but it is the user's call whether they want to and when they want to consume the adverts. This advantage was for the listener's artists; on the other hand, they can sell their songs and receive donations from listeners. Bitsong launched its ICO in July 2018, where they intended to pay artists and users on the network with their native BTSG token. So this quite a thing for musicians to look at.
4. PROJECT CHOON
This is initiated by Gareth Emery. The project began in July 2018 and was running till august. In the traditional distribution, this is how the distribution works:
Record label- 46%
This way the artists get very less pay, so Choon began with its distribution system where this is how the distribution looks like;
These are the projects that have worked on the blockchain technology of Ethereum smart contracts where every project aims to revolutionize the music industry towards the artist so the business people cannot rip them off.
Advantages of Blockchain in the music industry:
● The rent-seeking in the music industry has been knocked off with Blockchain
● Musicians are getting total credits because of smart contracts.
● Artists can upload their content in a poised manner.
● The platform offers cryptocurrency-based payments to artists.
● Music fans have full access to their favorite artists.
● Once the user downloads a song, smart contracts automatically process payments.
● The platform uses Blockchain to keep transactions and to account transparent.
● The platform offers considerable revenue that the artist generates to keep it for themselves.
● A simple user interface (UI) is mandatory.
As compared to the other industries implementation of Blockchain is slow in the music industry, but very soon, if startups are encouraged Blockchain in the music industry will be worth noticing.