{"id":25383,"date":"2022-10-27T07:30:21","date_gmt":"2022-10-27T12:30:21","guid":{"rendered":"https:\/\/www.cyberprmusic.com\/?p=25383"},"modified":"2024-02-22T12:21:14","modified_gmt":"2024-02-22T12:21:14","slug":"musicians-guide-to-using-nfts","status":"publish","type":"post","link":"https:\/\/cyberprmusic.com\/musicians-guide-to-using-nfts\/","title":{"rendered":"The Musicians Guide to Using NFT’s"},"content":{"rendered":"

Cyber PR is always on the lookout for new technologies and markets for artists to incorporate into their music release plans. Today, we’re sharing the Musicians Guide to Using NFT’s.<\/span><\/p>\n

The current interest and phenomenon of NFT\u2019s is strongly influenced by the pandemic. But, it is also a solution to a decades old problem in the music industry. This past year, artists saw a big drop in income. Artists searched for revenue through things like live streaming, fan clubs, ticketed virtual meet & greets, and more. Many artists have turned to the world of NFT auctions where they can sell exclusive content and digital goods.<\/span><\/p>\n

Understanding cryptocurrency & NFT’s<\/span><\/strong><\/h2>\n

NFT stands for <\/span>Non-Fungible Tokens <\/b>– which simply means that the token can not be recreated or replaced. \u201cFungible\u201d = able to be replaced, so \u201cNon-Fungible\u201d = not able to be replaced.<\/span><\/span><\/p>\n

NFTs use the same blockchain technology that cryptocurrencies use and make digital assets trackable, verifiable, and typically limited. We can attach these tokens to pretty much anything, including digital files. This can be a photo, a video, or an audio recording. It can also lead to a tangible collectable item.<\/span><\/p>\n

By creating an NFT, whatever item or good the artist wants to sell can become not only verifiably own-able, but also trade-able. The NFT can change owners hundreds of times or be exclusively owned by the highest bidder forever. Be sure that what you put up for grabs is unique and original, as that’s what makes it non-fungible.\u00a0<\/span><\/p>\n

Why NFT’s are beneficial to artists specifically<\/span><\/strong><\/h2>\n

The possibilities are endless when it comes to what can be sold. For example: collectable items from concerts, publishing rights to songs, snippets of unreleased music, digital artwork, archived concert footage, and so much more. As the world continues to remain digital, artists are looking for ways to connect and create for their audiences, and NFTs provide a new outlet for them with several benefits.<\/span><\/p>\n

Now, here is why blockchain technology will allow artists to bring in a more instant income versus waiting for their traditional payday. NFT’s cut out the middlemen. When fans buy an album, stream a song, or purchase merchandise, some of that money makes it to the artist, but a lot of it goes to the record company or the streaming platform.\u00a0<\/span><\/p>\n

As a fundamental benefit to crypto exchanges, NFT transactions are direct transfers between the participants. The artist gets the money, and the fan receives the content in their digital wallet. As an artist selling NFTs, it is important to take notice of supply and demand. Creating tokens for your work can be quite costly if they aren’t selling as quickly or at a higher value than what you pay to generate these tokens.<\/span><\/p>\n

What makes NFTs so high in value is scarcity. The industry has a way to generate mass production that eliminates the feeling of scarcity. NFTs bring this back as artists can now set their own values on their work and control how much of it is distributed. In addition, NFTs bring a direct-to-fan engagement that is far deeper and more meaningful, making the experience much more intimate.\u00a0<\/span><\/p>\n

[Linkin Park\u2018s Mike Shinoda sold a digital piece of art for $30,000 and took to Twitter explaining his reasoning: <\/span>\u201cEven if I upload the full version of the contained song to DSPs worldwide (which I can still do), I would never get even close to $10k, after fees by DSPs, label, marketing, etc.\u201d]<\/span><\/p>\n

Examples of recent NFT sales<\/span><\/strong><\/h2>\n

Here are a handful of NFTs launched by musicians proving the success and possibilities of NFT\u2019s.<\/span><\/p>\n