How Music NFTs Benefit the Artist, the Fan, and the Investor
- Mar 22, 2021
- 2 min read
Music NFTs present something the average album/ticket sale lack: investment value
As the NFT trend continues to grow and the utility of these tokens are being explored and experimented with, the music industry is getting a glimpse of the potential that these assets can provide to both artists and fans. In our previous post, we discussed our top 3 picks for Crypto/NFT Music Platforms. Here, we would like to touch upon the utility that these can provide, not only to aspiring artists, but also dedicated fans.
From blockchain streaming services to the NFT music token craze that is on the rise, you have probably noticed that tokenized music is beginning to creep up on the industry. For many artists, NFTs have become a newfound income source, allowing them to benefit from the support of their closest fans by providing collectibles that hold a level of ‘prestige’ above the standard album or merchandise purchase. Fans are able to bid for their favorite artists' NFTs and, ideally, the 'biggest' fan gets to own the NFT, as a collector's item.
But, the value for the fan does not end there. Ownership of the NFT is also an 'investment' in the artist. Many NFT buyers speculate on the future value of the NFTs they own, with hopes to resell their tokens for a higher price at a later time. This is an attractive proposition for not just the music fan, but speculators. Much like any other securities, like stocks and bonds, buyers can scan the market for the 'highest potential' NFTs to own, with prices ranging from dirt cheap to "who-the-f***-can-afford-this?" Though the investment side of NFT buying is still probably a venture to the wild west, NFTs all across the market have been resold for many multiples of their original price, presenting a huge opportunity for those with an investor's disposition.
Are you looking at the music NFT market as a seller, collector, or investor? Let us know what else you would like to learn about music NFTs and the future it is paving for the industry!
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