NFTs may affect a wide range of industries. In shaping the future of music, NFTs are expected to prove particularly transformative. Music NFTs include songs, albums, music, lyrics, and soundbites. Kings of Leon released their first album as an NFT last year. Using jpg or gif formats, music can even be incorporated into digital art to create unique pieces of artwork. The Lostboy NFT collective, for example, combines music and art and focuses on mental health.
The Music NFT Market was estimated at USD 1240.3 million in 2021 and is forecast to reach a market value of USD 42,380.2 million by 2032, growing at a CAGR of 27.52 %.
For decades, musicians have been underpaid. Singers and musicians are particularly affected due to this. An entertainer gets 50% of the revenue split, while agents, lawyers, and distributors get 40%. Musicians using streaming services fare even worse. Most of Spotifys top 0.8% earn less than $50,000 in streaming revenue.
In NFTs, musicians are more likely to be fairly compensated. Linkin Parks Mike Shinoda raised about $11,000 for his first NFT. According to Shinoda, "With NFTs, the early figures will speak for themselves." Even if singers upload the full version of the songs to DSPs worldwide, they would never receive anything close to $10k after fees from the labels and labels, the DSP, and the label marketing."
NFTs that are upgradeable can evolve and mutate over time. Using this method, musicians can release a soundtrack, chorus, or bridge that fans and collaborators can use legally while bypassing the legal complexities of legally creating remixes. Upgradeable NFTs allow the original creator to retain control of the spin-off creation and even profit from it.
Music NFT Collectors are taking advantage of scarcity appeals.
The appeals to scarcity opportunities are limitless with NFTs. Live Stubs are NFTs that fans can receive free when they purchase concert tickets from Live Nation, the worlds largest music event organizer. With Live Stubs, they can reminisce about collecting ticket stubs while giving artists a new way to connect with their fans. As such, Live Stubs and NFTs become rare collectibles that will appreciate in value over time and can be resold legally.
NFT marketplace FanTiger, which is run by ArtistFirst Technology Inc. raised $5.4 million in a seed funding round led by Multicon Capital.
The round also saw participation from Krafton, GAMA, Woodstock Fund, Pravega Ventures, IOSG Ventures, Polygon Studios, and individuals including Sandeep Nailwal (Co-Founder of Polygon), Prashant Malik (Founder - Tykhe Block Ventures), Gokul Rajaram (Board Member - Coinbase), and Miten Sampat (CRED). Independent artists who join the FanTiger Network are able to build fan communities on FanTiger and enable their fans to help shape their careers. Songs, studio productions, and music videos can all be created using music NFTs. A portion of the royalty earned from the song can also be contributed to the fan community.
Music NFTs are anticipated to make their way across the world during the forecast period.
Many efforts were made by business ventures involving household names that lent their stamp of approval to non-profit organizations much like they would license music for car commercials. Everyone from venture capitalists to respected multimedia artists has argued that the technology can also save independent music. Although NFTs have been hailed as a potential revolution in the music industry, let alone the world, little has been accomplished so far by their most enthusiastic advocates.
Even so, America bet on NFTs like lottery ticket purchasers, and the music industry has been particularly lucky. Despite debacles like HitPieces sale of unauthorized NFTs, other communities, such as those around Los Angeles boutique label Leaving Records, NFT technology could be harnessed for the betterment of the public. In the future, NFTs would be a common way to release music, just like uploading your songs to Spotify or selling a record via Bandcamp.
| Report Attribute |
Details |
| Historical Years |
2018-2021 |
| Forecast Years |
2022-2032 |
| Base Year (2021) Market Size |
$1240.3 Million |
| Market Size Forecast in 2032 |
$42,380.2 Million |
| Forecast Period CAGR |
27.52% |
| Report Coverage |
Market Trends, Drivers, and Restraints; Revenue Estimation and Forecast; Segmentation Analysis; Impact of COVID-19;Companies’ Strategic Developments; List of Mega Projects; Major Contracts Won by Key Players; End User Capacity & Workforce Analysis; Company Profiling
|
| Market Size by Segments |
By Type, By Application Type, By Sales Channel |
More and more artists are riding the NFT trend in recent months. Artists use NFTs to sell their albums, music videos, and even collectors items.
Global Inc, Rarible, OpenSea, Nifty Gateway, MakersPlace, Sony Music, AirNFT, Opulous, Submerge, ROCKI, Amuse, DistroKid, PixelMe, ToneDen, and OPUS are among the major music NFT companies contributing significantly in the market.
February 2021: 3LAU, A DJ and electronic music producer is the first artist to release a full-length album in the form of NFT. He auctioned his album in 33 NFTs, with exclusive items such as personalized titles, limited-edition vinyl, or access to unreleased tracks. The sale netted 3LAU $11.7 million, making him the most enriched artist through NFTs.
March 2021: For the distribution of their album, King of Leon decided to use both blockchain and streaming platforms. Limited edition vinyl records and animated cover artwork are included in the NFT version. Another type of NFT, the "gold ticket," offers VIP benefits, including front row concert seats for life, backstage access, and private drivers.
Years considered for this report
• Historical Years: 2018-2021
• Base Year: 2021
• Forecast Period: 2022-2032
Music NFT Market Research Report Analysis Highlights
• Historical data available (as per request)
• Estimation/projections/forecast for revenue and unit sales (2022 – 2032)
• Data breakdown for application Industries (2022 – 2032)
• Integration and collaboration analysis of companies
• Capacity analysis with application sector breakdown
• Business trend and expansion analysis
• Import and export analysis
• Competition analysis/market share
• Supply chain analysis
• Client list and case studies
• Market entry strategies adopted by emerging companies
Industry Segmentation and Revenue Breakdown
Type Analysis (Revenue, USD Million, 2022 - 2032)
• Image NFTs
• Video NFTs
• Audio NFTs
• GIF NFTs
Application Type Analysis (Revenue, USD Million, 2022 - 2032)
• Independent Artist
• Record Companies
• Others
Sales Channel Analysis (Revenue, USD Million, 2022 - 2032)
• Original Owner Companies
• Specialized NFT selling platforms
Country Analysis (Revenue, USD Million, 2022 – 2032)
• North America
• United States
• Canada
• Mexico
• Europe
• France
• Germany
• Italy
• Spain
• United Kingdom
• Rest of the Europe
• APAC
• China
• India
• Philippines
• Malaysia
• Australia
• Austria
• South Korea
• Rest of the APAC
• Rest of the World
• Middle East
• Japan
• Africa
• Rest of the World
Music NFT Market companies:
• Global Inc
• Rarible
• OpenSea
• Nifty Gateway
• MakersPlace
• Sony Music
• AirNFT
• Opulous
• Submerge
• ROCKI
• Amuse
• DistroKid
• PixelMe
• ToneDen
• OPUS
Available Versions of Music NFT Market Report: -
United States Music NFT Market Research Report
Europe Music NFT Market Research Report
Asia Pacific Music NFT Market Research Report
India Music NFT Market Research Report
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