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. When it comes to Non-Fungible Token music it 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 offer 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 offers unlimited opportunities. While music streaming platforms offer only licenses to listen to the paid tracks offering no ownership. Music NFTs unlike music streaming platforms offer buyers collective or sole ownership over that particular limited NFT file. NFT music by nature is unique and irreplaceable and is fast becoming 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.
The NFT Music Industry in 2022
Ever since COVID-19 restrictions led to cancelations of live sports, concerts, and entertainment, non-fungible tokens (NFTs) have emerged as a means for fans to connect with their favorite artists and bands. NFT trading volume surged over $44.2 billion in 2021 and is continually breaking records and the NFT market cap is expected to reach $80 billion by 2025, with music NFTs standing to generate more revenues.
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.
Why You Should Create Your Own NFT Music
If you are musically inclined, creating you 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 get traded. Some NFTs have shown that their values can appreciate 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.
Also, make sure to check out our article on how to create an NFT.
How to Turn Music into an NFT
Turning music into an NFT entails a process called minting. You can mint your NFT music through the following steps:
1. Select a digital asset: You will need to have an original piece of music art it may be an audio clip, video clip, 3D animation, GIFs, cover art or any other 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: You will need to buy some cryptocurrency to help you mint your NFT or convert your digital file into NFT music. Most NFT need gas which is a measure of the computational “fuel” needed 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.
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 Collectible: 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.
What is NFT Music? [Smallbiztrends]
