Blockchain technologies streamline ownership rights and provide fair payment for musician’s work, by bringing transparency to all.
Key problem areas in the music industry include transparency, clarity of ownership, and royalty distributions. Ever since online music sharing began, the industry has struggled with finding new ways to monetize digital music files that have now become non-scarce digital goods. The basic information that is needed to identify who wrote, performed, and owns the music that you listen to, is frequently overlooked. This data and its accuracy are vital to ensuring that creators and owners get paid for their work. Furthermore, the antiquated copyright databases and complex system of royalty collections make it orders of magnitude more difficult to get music from legitimate sources.
By utilizing blockchain technology and smart contracts to create a comprehensive and accurate decentralized database of music rights, the possibility for instantaneous and totally transparent transmission of artist royalties, including realtime distributions to co-writers, producers, technology partners, publishers, and even labels is now a possibility. This would involve creating an entirely new system, where scenarios exist in which you could pay for only the amount of the song that you listen to could be created. Or payments in real time at a micro scale could exist (another great feature of Bitcoin). Most important, blockchain smart contracts
ensure each time a payment is generated for a given work, the money would be automatically split according to the set terms, and each party’s account would instantly reflect the additional revenue.