Is NFT Music the New Hotspot in 2022?

2021 is the year of the NFT industry explosion, the year of an unprecedented movement in crypto technology, the financial industry, and the visual arts world. The total market value of NFT assets has reached an all-time high of $ 42 billion, and people are aware of the theft. / Art Blocks, etc.) and Artists (Beeple / PAK / Rafael Grassetti, etc.).

However, people seem to miss out on one of the most important features of NFT Field Music NFT. As a low level entity in 2021, Music NFT is an intellectual property and - member. , the touchstone that inspires the most. Additionally, due to the ubiquity of the COVID-19 virus, the live music industry by musicians has almost been cut off, and there are new ways for independent musicians outside of the NFT circle.

By 2022, will Music FT become the new host of the NFTA Rich Festival? How will musical NFTs affect digital art?

Improved NFT music history

In 2021, during the development of Music NFT, musician Justin Blau (3LAU) raised $ 11.7 million in an Ultraviolet NFT album auction in late February 2021, breaking an industry record and also finding a cryptopunk rapper. WIFI achieved a performance of $ 190,000 in seconds in August 2021 with the support of the community.

However, the full presentation of Music & FT will begin in February 2021.

At the time, British company LuckyMe announced that Canadian electronic music pioneer Jacques Greene was auctioning off the rights to announce their new "Promise" in NFT format, but competitors could not hear the entire song. than before the game. During the first 6 seconds of the song, this contest in collaboration with The House was always the best performance, and the product ultimately sold for 13 ETH.

After the competition, Jacques Green said: “I am proud (and awesome) of the potential and potential of the NFT sector and the arts and culture as a whole. There is hope. and I'm afraid of it. think about it and think about it and talk about what might happen. "

In assessing this challenge, the Agency believes that “we will begin to abandon existing processes as we explore the potential of the site's graphics and perspectives. "

It's worth noting that LuckyMe and the Foundation's NFT Music Auction even predate Beeple's “Daily - First 5000 Days” auction. The Beeple competition took place in March 2021. The NFT artwork was sold in the Christie's store. It sold for $ 69 million.

Then, in March of last year, Canadian singer Grimes and his partner Mac Busher announced the NFT Music Collection WarNymph Collection, Vol. 1 sold for $ 5.8 million through Nifty Gateway.

In late March, the British electronic music duo Show sold their NFT EP Face music for $ 140,000, and in August they launched the music platform Aud3 Web3 in 2018, becoming the first streaming single in partnership with TikTok. services; Also in August, cryptopunk rapper Mig Mora (Mig Mora) sold his own NFT track in seconds for US $ 190,000, and in November Universal Music announced the creation by Boring Ape Virtual Band Kingship ...

The rapid emergence of NFTs has breathed new life into musicians trapped in COVID-19 and encouraged independent musicians to live around the concept of digital property.

But how exactly does NFT music work?

Give it back to the right musician

As we all know, the music industry has undergone drastic changes over the years, from the first records, cassettes, compressed cassettes, audio cassettes and CDs to downloadable media streaming platforms, which has happened. 20 years ago. Listening to popular music in the form of music on the Internet, the artistic forms of music began to diversify.

Now, the streaming media platforms offer music lovers a lot of good music, which makes it very useful for their entertainment, but music lovers just need the smartphone number message to listen to most of the free music, which looks like a song. . On the one hand, producers can unite fans faster, while music lovers have access to increasingly richer music.

But in fact, this process is not perfect, and since the interest of art designers is not fully guaranteed, they have to rely on tours, selling products. , and promote their type of business to make money, but in fact they can. There are only a handful of music producers and lead singers making any money. According to 2019 and 2020 data, 90% of traffic is monopolized by 1% of musicians. But the emergence of NFT music changed everything.

So how can NFT help musicians regain their rights?

We know that NFT is an asset that can be stored and traded on the blockchain. It exhibits the characteristics of non-invasive, rare, counterfeit and public evidence. the fans asked. You can sell digital content invisibly to generate revenue, make sure music content is not counterfeit, and directly to streaming platforms and organizations to increase your revenue. .

In general, musical NFTs play a role in three aspects.

The first is the release of the album. A prominent example of this is when US pop giant 3LAU sold a token album for over $ 11.6 million in February 2021. The success of that sale was also a prime example for other musicians, allowing to all music producers to release their music albums on the blockchain. in limited edition form and sell them to fans. And more importantly, the fact that musicians can make money selling used NFT albums is a huge boost to their property.

The second is the sale of art. Unlike traditional sales, producers can sell their music NFTs directly to communities represented on social media platforms and brokerage houses. In addition, manufacturers can also get stakes in a second sale.

Finally, a division of labor. This is a new way for NFT to help the music industry differentiate its sales, by selling a fraction of the rights to an upcoming album as NFT equal to 30%. You can generate income from sales through Hold Music NFT Music. Sales will include broadcast media, TV engagements, edits and covers. If the 30% NFT price is still too high, the big solution would be to divide 30% of the album product market into tens of thousands and sell it to fans, giving more fans. This will create an interactive ecosystem between music producers and be beneficial for fans.

Excellent NFT music, can this format be completed by 2022?

Will musical NFTs explode in 2022?

The change in the income distribution of music and FT can be seen as an update to the high tech-based Web2 comeback.

We know it's tough in these days of media streaming for most musicians. Early music producers could make pennies at a time, but most producers just couldn't find many listeners, so their earnings weren't good. It is a common phenomenon in Web2 that the top 1% of artists monopolize 90% of the traffic. Even an album by a famous artist can make millions of dollars in 2020 with millions of clicks, but artists are expensive. The recording device pays for itself.

However, the emergence of NFTs seems to change this phenomenon.

The above 3LAU grossed $ 11.6 million in one contest, rock band Kings of Leon album NFT received $ 2.5 million, and music was provided by musicians and artists. Grimes' images have been called WarNymphs. NFT had sales of approximately $ 7 million. , and all of that will happen in 2021. Some of them are first class musicians and some are not first class stars.

According to the NFT standard, the NFT music industry is small, but the music industry is large and has the potential to develop well.

Previously, Digital Renaissance Director Chaoyin predicted the growth of the NFT domain in 2022. In the Web2 world, the music industry will be larger than the digital industry, and in the Web3 world, the music industry NFT can be compared to NFT charts. industry.

By 2021, China's digital music market alone will reach $ 12 billion, accounting for just 9% of the global digital music market. With more than 350 copies, we can say that it is the best for the size of the Korean music industry.

As a result, musical NFTs will experience tremendous growth in the NFT model.

Cao Yin also believes in his prediction that the uniqueness of the use of music cannot be ignored. Sharing NFT music is more important than writing, community is more important than attitude, and long-term business will and will continue to be a key topic. Lots of DAO music gameplay like web3 musical auditions etc.

DAO's musical gameplay can take a new direction.

Looking ahead to the improvement of NFT music in 2022, Coindesk believes 2022 could be an important year for NFT music. Many contracts and platforms are now online and ready to be uploaded to music. Coindesk also believes DAO, the hot topic in the crypto space, should be included in the work of NFT analysts. New musical era. This is according to Cao Yin's observations.

All in all, in the context of the continued fragmentation of NFT and the understanding of the art form by many professionals and entrepreneurs, NFT music is becoming an integral part. With the help of benefits, DAO management strategies and NFTs will create more revenue-generating business models. NFT music is likely to hit in 2022.