NFTs in the music industry

BENGALURU: NFTs are changing the arts and the creative industry as a whole. So, what are they and how have they made an impact? 

What are NFTs? 

NFTs, or non-fungible tokens, allow artistes to create digital works (in any format) and sell them directly to their fans via blockchain. It is a unique way to “own” art and has provided a great deal of creative and financial freedom to artists, and particularly musicians. Buyers of music-based NFTs have said that they are happy to spend money on their favourite artistes, and that owning their music feels similar to collecting art for their homes. 

How have NFTs made life easier for musicians?

Even before the pandemic, we were in a streaming-first era. And for many artistes, it is notoriously difficult to make a decent living from streams alone. Even popular musicians with millions of fans have had to take on other music-related jobs (like production) to pay the bills. NFTs present an alternative to the current system of streaming and labels. One artist describes them as “creating a musical middle class,” allowing artists to make a sustainable living from their music, while giving them creative freedom and allowing them to own their masters. In countries like the United States of America, NFTs are providing more than a source of steady income; they help create a dedicated and engaged fanbase on crypto and NFT-discussion-heavy platforms like Discord. 

Some examples of musicians who have sold NFTs: Steve Aoki, Shawn Mendes, Kings of Leon, and many more. Closer to home, Sonu Nigam was India’s first musician to embrace the NFT era, launching his collection in London.  

Future of NFTs 

There are many reasons to be skeptical about the long-term viability of NFTs. Many have already raised concerns about their utility and scalability. 

We still don’t know if NFTs are a sustainable, long-term way for musicians to make a living, or simply a trend fuelled by a bullish crypto market. Only time will tell if this is a revolutionary new concept in the world of music. However, it is hard to deny that they have already been a transformative force in the lives of many musicians, presenting a powerful and viable way to make a living from making music alone.