What is NFT Music?


what is nft music

The proliferation of the world of Non-Fungible Tokens (NFTs) has grown beyond art, GIFs, video game items, virtual real estate, and collectibles to now include NFT music. Now, musicians joining the fray are standing to make millions of dollars by selling digital versions of their art and music. Non-fungible token music falls under the domain of a rare collectible that is stored on a digital ledger. NFT music possesses lucrative opportunities for creatives to generate revenues as they help cut out middlemen such as record label companies through their sales, as well as generate royalties for independent artists.  NFT music offers artists and creatives an endless inventory of digital assets to sell and auction off to their fans.

What Exactly is NFT Music?

Music NFTs are the new frontier that has opened up for musicians and independent artists to make some serious dough. Simply put, NFT music features a digital asset that incorporates a piece of music. It could include a tokenized version of a single song, an album, digital merchandise, an opportunity to meet artists, special tickets, or even a music video. The portfolio of NFT music will only depend on how the artist wants to structure and package the NFTs.

When compared to traditional digital music distribution, NFTs offer unlimited opportunities. Music streaming platforms offer only licenses to listen to paid tracks and offer no ownership. Unlike music streaming platforms, music NFTs offer buyers collective or sole ownership over that limited NFT file. NFT music, by nature, is unique and irreplaceable and is fast becoming a highly sought-after collectibles. They empower musicians to create music NFTs themselves to auction off or sell directly to fans who pay using cryptocurrencies like Bitcoin, Ethereum, and others. This puts a lot of power back in the hands of artists, who now have another way to monetize their art or other forms of digital merchandising without going through third parties or middlemen.

ElementDescription
NFT Music DefinitionNFT music encompasses digital assets that integrate music content. These assets can include tokenized versions of individual songs, entire albums, digital merchandise, exclusive artist meetings, special event tickets, or music videos. The composition of NFT music portfolios depends on how artists choose to structure and package their NFTs.
Ownership and UniquenessNFT music offers a distinct advantage over traditional digital music distribution. Unlike music streaming platforms that provide licenses for listening to paid tracks without ownership, NFT music grants buyers collective or sole ownership of limited NFT files. Each NFT music piece is unique and irreplaceable, making them highly sought-after collectibles.
Monetization and EmpowermentMusicians have the ability to create their own NFT music and offer them for auction or direct sale to fans who can purchase using cryptocurrencies like Bitcoin and Ethereum. This newfound approach empowers artists by providing an additional avenue for monetizing their art and digital merchandise, bypassing the need for intermediaries or third parties.
Diverse PortfolioNFT music portfolios can vary widely based on artists' preferences. They can include a range of offerings, from tokenized individual songs and albums to exclusive digital merchandise and opportunities to interact with artists. The versatility of NFT music allows artists to tailor their offerings to their audience's preferences and creative vision.
Digital CollectiblesNFT music is increasingly recognized as valuable digital collectibles, attracting enthusiasts and collectors. These unique digital assets hold significant value and appeal within the digital art and music communities, contributing to the growing interest in NFT music as a medium for artistic expression and financial gain.
Cryptocurrency TransactionsNFT music transactions primarily involve the use of cryptocurrencies such as Bitcoin, Ethereum, and others. Buyers use these digital currencies to acquire music NFTs, adding a layer of digital financial infrastructure to the music industry and enabling seamless and decentralized commerce between artists and their supporters.
Empowering Independent ArtistsNFT music has emerged as a groundbreaking avenue for independent artists to gain recognition and financial success. It allows them to connect directly with their fan base, create unique and limited digital music collectibles, and exercise greater control over their creative work and financial opportunities in the digital age.
NFT Music Marketplaces and PlatformsVarious NFT music marketplaces and platforms have emerged to facilitate the creation, sale, and exchange of music NFTs. These platforms serve as hubs for artists and collectors to engage in NFT music transactions, contributing to the growth and accessibility of the NFT music ecosystem.

NFT Music

The NFT Music Industry

Ever since COVID-19 restrictions resulted in the cancelation of live sports, concerts, and entertainment, non-fungible tokens (NFTs) have surfaced as a way for fans to engage with their favorite artists and bands. NFT trading volume has surged significantly and continues to break records, with the NFT market cap anticipated to reach $80 billion, and music NFTs poised to generate increased revenues. What is nft music?

Music NFTs besides helping the music industry by bringing artists and fans closer are also helping bring artists additional revenues without the need for intermediaries. Artists too have taken notice Kings of Leon became the first band to release an album as NFT others including the likes of Snoop Dogg and Linkin Park’s Mike Shinoda have also gotten on board the NFT train.

NFT Music

Why You Should Create Your Own NFT Music

If you are musically inclined, creating your own NFT music can offer some benefits:

Create experiences for your fans: NFT music is a limited edition of your music and memorabilia. They have a high potential for fans to own these rare collectibles. In addition, you can use them to promote your upcoming album releases, offer unique experiences for fans, and even offer limited exclusive content.

The digital economy is the future: If you also want to be a part of this highly profitable and engaging marketplace, then today is the right time to take a step forward and invest in some digital merchandising.

Opportunity for generating more revenues: NFTs are the craze in the digital economy, offering money-making opportunities when they are traded. Some NFTs have shown that their values can be appreciated significantly over time.

Cut out the middlemen: NFTs offer you the unique opportunity to engage directly with buyers, helping independent artists potentially earn 100% of the proceeds without the need to go through third parties such as streaming platforms.

Benefits of Creating NFT MusicDetails
Create experiences for your fansNFT music is a limited edition of your music and memorabilia. Promote upcoming album releases. Offer unique experiences and limited exclusive content.
Embrace the digital economyThe digital economy offers profitable opportunities for digital merchandising. Join this engaging marketplace.
Generate additional revenuesNFTs in the digital economy can appreciate significantly over time. Trading NFTs can be lucrative.
Eliminate middlemenEngage directly with buyers. Independent artists may earn 100% of proceeds without intermediaries.

Also, make sure to check out our article on how to create an NFT.

NFT Music

How to Turn Music into an NFT

Transforming music into an NFT involves a process known as minting. You can mint your NFT music by following these steps:

1. Choose a digital asset: You should have an original piece of music art, which can include an audio clip, video clip, 3D animation, GIFs, cover art, or any other type of digital asset.

2. Get a Cryptocurrency Wallet:  For you to start minting NFTs, you will need a place to mint and store them. They also are vital tools for buying, trading, and selling cryptocurrencies that are the mediums of exchanges for NFTs. Crypto wallets come in either as hardware or software.

3. Buy some cryptocurrency: To mint your NFT or convert your digital file into NFT music, you’ll need to purchase some cryptocurrency. Most NFTs require gas, which is a measure of the computational “fuel” necessary for converting digital assets into NFTs.

4. Upload your NFT file to an NFT platform: Once you have converted your digital assets into NFTs you will be presented with the option to list them up for sale on the several available NFT marketplaces. You can use marketplaces like Ethereum blockchain, OpenSea, Rarible, or Axie Marketplace.

NFT Music

How do Music NFTs Make Money?

Music NFT creators can make money through the following:

Single Collectible: musicians can choose to create a single collectible that mints unique one-of-a-kind NFT.

Multiple Collectibles: Musicians can release multiple copies of the same collectible.

Royalties: Creators can collect royalties from NFT when they are traded in a secondary market.

For more insights, check out our previous article on how to make money with NFT.

Benefits of Buying and Selling in the NFT Music World

NFTs are causing a storm across the music industry because they cannot be replaced or traded for something identical to what they offer in a niche market. As such, NFTs artists, record labels, investors, and fans alike stand to make some serious money by trading in NFTs.

Potential for lucrative revenues: Because the NFT market involves irreplaceable verifiable original digital items, it makes them much more valuable- just like collectible items in the real world.

Low production cost: NFTs can be made with relative ease and valuations are straightforward thanks to the existing NFT marketplaces that make it cheap to mint, sell, and bid for music NFTs.

Boost connections and engagement:  NFTs are more than limited edition collectibles or pieces of art. They can be used by businesses to boost fan engagement, and create buzz for new projects by offering access to exclusive offers, and opportunities to earn rewards.

For more insights into NFT trading check out our articles on how to buy an NFT and how to sell an NFT.

Best Music NFT Marketplaces

There are several popular music NFT marketplaces where you can create, mint, and trade your NFT game digital assets. Here are some of them:

Crypto

Crypto is a platform that allows buyers and sellers to easily trade with collectibles including NFTs. With it, users can also browse and purchase curated NFTs that were previously dropped, as well as a variety of other NFTs created by users in its open marketplace. Besides offering ease of use for novices it accepts multiple payment methods, including debit and credit cards payment.

OpenSea

OpenSea’s blockchain enables users to collect, sell, and trade music NFTs. This technology also allows users to mint their own music NFTs, with each NFT limited to a maximum of five mints. In terms of payment options, it supports over 150 cryptocurrencies, including Ethereum, Solana, USDC, DAI, and many more.

Rarible

Rarible is another popular music NFT marketplace. It offers a wide selection of music NFTs and offers support for multiple blockchains including Ethereum, Flow, Tezos, and Polygon. Besides offering free minting services and its royalty fees for creators can go as high as 10%.

Binance

Binance’s NFT marketplace lets users mint, buy, bid, and sell NFTs. Besides these users can trade in digital assets that include digital art, videos, website domains, and real-world objects. It comes with a large selection of music NFTs while offering low transaction fees. Payment methods available in this marketplace include credit cards, debit cards, cryptocurrencies, and bank transfers.

Mintable

Mintable is a popular NFT marketplace for digital assets such as artwork, music, pictures, digital collectibles, and other in-game items. Through its gasless minting option, users do not have to pay gas fees upfront to create their NFTs. This marketplace supports Ethereum, Immutable X, and Zilliqa blockchains.

Royal

Royal is an NFT marketplace designed specifically for music NFTs. It enables users to own a share of their favorite songs and earn royalties alongside the artists. Artists can decide what percentage of the song’s royalties to sell and can also bundle unique fan experiences, exclusive tracks, digital art, and more. Users have the option to trade in NFT music using credit cards or cryptocurrencies.

NFT Music Vs. Art NFT

NFT Music offers a certificate of digital ownership of a unique musical-related work that can be sold to another party. The owner has the exclusive right to determine how the composition is used and can be in digital form, such as a single song, an album, digital merchandise, an opportunity to meet artists, special tickets, or even a music video. NFT art is basically electronic art that could see NFT music as its subset, which is mostly traded for personal collections and for speculation.

Image: Depositphotos


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Samson Haileyesus Samson Haileyesus is a staff writer for Small Business Trends and has been a member of the team for 5 years. He has several years of progressive experience in media, communication and PR working with government, NGOs and private sector.