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People like you and me might get compensated for our attention over the next ten years. Play-to-earn video games, in which a portion of revenue is returned to players, are a prime example of a common kind of payment in the Web 3-era. This notion of compensating fans for their happiness could permeate all facets of entertainment as the next generation of the internet develops. Fans might be compensated to listen to their preferred music, giving them more money to pay musicians for new songs. The music industry’s intermediaries might be effectively eliminated by this cycle, placing more money in the hands of musicians and fans.
You must comprehend the current music consumption process in order to internalize how Web3 could alter music. The music industry has been moving in the right direction since the introduction of the internet and streaming services, which allowed musicians to transmit their music directly to audiences without using middlemen. Before new music reaches the fans, however, there are still publicists, managers, record companies, attorneys, and streaming services that need to be compensated.
There is frequently little money left over for the artists because streaming services have so many expenses associated with operating their operations, such as striking large deals with record labels for the rights to the music. For instance, Business Insider found reports that Spotify pays artists $.0033 for each stream, with other sources citing amounts as high as $.0054. Additionally, record labels are now too big to alter their current financial strategies, and the current system isn’t designed to reward artists.
Future musical trends could be very different: The decentralized internet might be the only intermediary standing between a performer and their audience. The artist might be compensated right away when a fan hits play. Many musicians might be more inclined to share their profits with the fans as they are the ones who are changing their lives if they received more money. On the blockchain, the interaction between artists and fans might advance.
Of course, there are obstacles to this process, starting with knowledge, trust, and the general lack of transparency in the sector. The current music industry was founded on the idea of the intermediary. There is no longer a need for this middleman thanks to the adoption of Web3 technology and the development of smart contracts. Web3 gives business owners and executives the chance to win over consumers’ trust and educate them about the sector.
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Use NFTs as an illustration. Artists are already experimenting with NFTs, which are keys that confirm ownership of a certain digital piece or set of related items. An opportunity for musicians is to drop an album along with a collection of NFTs, each of which offers the owner exclusive access to the artist, such as membership in fan clubs, complimentary tickets to performances, or autographed CDs. When you buy an NFT, you’re investing in the artist themselves rather than just buying access. Additionally, you might later sell your NFT, ideally at a profit.
With any new technology, there will always be some who try to benefit from those who are misinformed about the product. It is our duty to inform our fans on how to safely traverse this novel and occasionally perplexing realm as leaders at the nexus of music and technology.
Many individuals see the benefits of owning a business, and as the decade progresses, we’ll see fans supporting artists in the same way. How do we turn 1,000 people who are open to NFTs, music, and the Web3 community into evangelists who are eager to recruit 10 of their friends, so that we can watch it grow?
Artists are free to experiment and get right in. Artists may already mint their songs using sites like Mint Songs, Audius, and Opus. They must attempt transforming an idea into an NFT, spend time immersing themselves in the neighborhood, and learn about Web3 culture. Fans can begin utilizing the services that compensate them for their time. I think it will be excellent for all music when that starts to become popular.