How Big Is the Music NFT Market, and How Far Will the Trend Go?
Most people unaware of the blockchain potential will tell you that NFTs are just games for kids, but those who follow the trends and know how the blockchain industry works will say that NFTs are the next big thing in the Web3 ecosystem.
NFTs have been around for several years and have shown everyone from day one how beneficial they can be.. 2021 saw the first Music NFTs. Many companies and individuals involved in the music industry carefully monitor the trends but wait to see how everything develops.
On the other hand, companies like Global Rockstar, for example, are true pioneers in the field and are not afraid to move the Music NFT industry forward on their own. They’ve been the world’s first mover in the field of fractional ownership and S-Music NFTs( Security Music NFTs) and distributed royalties to rights holders for more than 4 years. Now they have introduced a new type called C-Music NFTs (Collectible Music NFTs), which will open new markets for artists and provide unique collector items to fans.
What Are Music NFTs?
A Music NFT is the digital ownership over particular tracks, albums, and other music assets. The particular Music Non-Fungible Token that a person owns can later sell on the market for higher prices. In some cases, like those provided by Global Rockstar, users can gain royalties from the success of the asset.
Music NFTs are entirely revolutionizing the music industry by providing access to fans and investors directly to the work of musicians. This way, everyone rightfully gets how much they deserve, but more importantly, fans also get their share for supporting artists.
How Big Is the Market Right Now?
The Music NFT market in 2021 was estimated to be around $86 million, and the entire NFT market reached a staggering $25 billion. Knowing that as of the start of 2022, some of the leading NFT platforms like Rarible and OpenSea announced daily highest-selling records, it’s clear that Web3 users see the opportunity to earn from NFTs.
According to PRN, the NFT industry in total is moving with a CAGR of 35.27% and will reach $147.24 billion by 2026. Although music NFTs are not a massive part of this number, they too will grow, especially when fans and artists realize the transparency they bring, as well as the growing opportunity to earn from this technology.
Musicians and Platforms Are Moving the Music NFT Trend Forward
Multiple famous musicians have already made millions selling Music NFTs. Steve Aoki sold his first Music NFT collection for $4.25 million, The Weeknd made $2 million, Eminem got $1.78 million, and Kings of Leon made $1.45 just upon releasing their latest album as a Music NFT. Also, famous hip-hop artist Snoop Dogg “resurrected” the legendary Death Row Records only to turn most of the work into NFTs.
Most of these musicians sold their Music NFTs through the platform Nifty Getaway, but users only got the rights to the Music NFT and the chance to listen to great music. On the platform Global Rockstar that we mentioned previously, fans get to buy shares and invest in the musicians’ work.
Depending on the offer, fans can buy a Music NFTs and get the right to receive proceeds from the commercial exploitation of the respective rights for up to 70 years, together with the artist, the producers, and everyone else involved in that piece of musical art.
How Far Will the Trend Go?
Based on the predictions and everything we’ve seen so far, Music NFTs are revolutionizing the industry, and they’ll be here for a long time. In the future, we’ll see new markets open, new talents rise, and the industry will thrive through Music NFTs.