$1.1 million rewards to artists. Is this how Web3 wins?
+ biggest news stories of the week
gm music fans,
This week I’m thinking about how music industry revenues just hit a record high of $8.4 billion, so why do most artists still feel like they’re struggling to get a fair share?
Unfortunately, most that money is getting stuck at the top with the dominance of streaming, major label influence and 80/20 contract splits.
I’m not someone who wants to take down the traditional music industry or major labels, but I do think there must be a fairer model out there.
$1.1 million rewards paid directly to artists
Maybe it lies in new ideas like sharing protocol fees directly with artists. This week, Web3 platform Zora revealed it has paid out $1.1 million to artists since it began sharing its mint fees with creators in August. Even with free mints, every time someone collects your work, artists get a direct cut of the mint fee, instantly.
Meanwhile, platforms like Sound.xyz have enabled $6 million of payments direct to artists through NFT sales. These are just two ways we’ve created new value flow in Web3. Importantly, these are additive models that can live alongside the traditional streaming economy. We’re growing the pie, not taking it away from streaming.
I don’t know if these are the right models yet but I’m sill optimistic that the blank canvas of Web3 is the best opportunity to find new value capture for music. With that in mind, let’s jump into all the biggest stories in Web3 music this week!
Ziggy Ziggy Season 3 is powered by Beatport.io.
The dance music culture in Berlin is unlike anything else I’ve experienced so I instantly connected with the NACHTS project — the first to drop on Beatport’s new Web3 platform — which aims to capture the city’s nightlife.
After dropping a free NFT to kick things off, the project has now rolled out the Wardrobe edition: a stunning audiovisual NFT that uses AI to fuse together dozens of portrait photos from the city’s club culture, soundtracked by techno DJ Norman Nodge.
Music Headlines 🎧
1. Monstercat Record Label sells a digital item for $12.5k
It turns out people are still willing to pay big money for digital items … they just don’t care if it’s an NFT!
Monstercat (a leading independent record label) just sold a single digital item for $12.5k on Roblox’s User Generated Content platform. It’s the highest primary sale on the platform so far. (Read more)
2. Musician 3LAU leaves Friend Tech due to “risks”
A few weeks ago we wrote about the new Friend Tech app which allows you to trade “keys” in different musicians, influencers and your friends. The crypto app is still doing big numbers, but musician 3LAU decided it was too risky and left, highlighting the risks of having his brand “associated with [a trading mechanic].” (Read more)
3. UN-backed music project launches onchain
The My Sahel Initiative is a UN-backed project that aims to raise money and awareness for humanitarian action across West Africa’s Sahel Region through music. The coolest part? It’s onchain. Powered by Token Traxx, the project features music from six artists. (Read more).
4. Web3 music gets some mainstream press
Web3 music platforms and musicians were highlighted in Business Insider and Forbes this week.
Business Insider - A breakdown of Web3 music platforms and how they’re making it easier to onboard music fans. It features Sound.xyz, EVEN and IKY, written by Ladidai. (Read it here)
Forbes - An intro to 8 NFT artists building in music and art, featuring musicians Latasha, Iman Europe, Pussy Riot and The Park, written by Yana Sosnovskaya. (Read it here).
Zooming out: broader Web3 news we’re watching 👀
📉 Mark Cuban loses $870k in wallet hack. (Read more).
🏠 RWA trend heats up - Lots of talk about bringing “real world assets” onchain such as real estate, fine art, stocks, bond, commodities. (Read more).
🖼️ Leading art platform SuperRare downsizes its team. (Read more).
🎨 Art Blocks event kicks off in Marfa. (Read more).
❓Crypto: why are we here? Erik Vorhees speech at Permissionless reminds us of core crypto values. (Watch here).
Biggest Music Drops of the Week
San Holo - Existential Dance Music
San Holo is the master of melodic, euphoric dance music and one of the biggest artists consistently releasing music onchain. This week he dropped his full album Existential Dance Music on Sound.xyz and his own website.
Listening through the whole album and collecting my favorites as it played was a pretty special moment and reminded me why collecting music hits different. It unlocks a deeper level than just listening.
Follow San Holo on Spinamp to stay up to date on new releases.
Gigamesh - The Precipice
Gigamesh is a dance producer and a co-founder of Sound.xyz. His latest drop combines a blissed-out electronic track with GrimesAI vocals - probably our favorite use of the Grimes AI vocal so far.
Listen and collect on Spinamp.
VALÉ - Bololo
This one is just pure energy and fun. VALÉ is one of many artists bringing Latin music onchain and we’re for it.
Listen and collect on Spinamp.
Thanks for reading!
We believe a new generation of independent music will be born out of Web3 culture. Discover the best music here first. Follow us on Twitter where we share the best music every day.
Ziggy Ziggy Music Season 2 is supported by Beatport.io and Spinamp.
Disclaimers: We may own NFTs mentioned in this article, have previous or current contracts with companies mentioned and may earn referral income from links to music NFTs. This newsletter is purely informational and should not be considered financial advice. Nothing in this content should be considered a recommendation to buy a particular NFT, only an expression of our opinion.
It must be hard getting every musician money. At least money they can live on.
Anyway, I'm a music writer. Perhaps we can subscribe to each other's newsletters and collaborate.