How Blockchain Impacts the Music Industry
SOUNDAC is an autonomous blockchain royalty management platform fully owned and controlled by musicians, publishers, and record labels. Formerly known as Muse, the platform (led by Eddie Corral and Cédric Cobban) was designed to directly pay music content owners and has been in development since 2015.
The introduction of digital currencies into the music industry has potential to create a major paradigm shift. Artists and musicians now have the opportunity to tap into different forms of cryptocurrencies. This gives them options for complete autonomy over their income, especially when it comes to royalties.
According to Rolling Stone, the Music Modernization Act is a big step towards revamping music copyright problems for everyone in the industry. SOUNDAC is confident that the required industry transparency can be achieved through their blockchain.
Since SOUNDAC is completely owned and controlled by copyright holders, there is more genuine engagement with fans. Furthermore, financial entities, lawyers, banks and other intermediaries can be eliminated from the music purchasing process.
How SOUNDAC Works
SOUNDAC is currently live and completely free, with no transaction fees. Users input all their copyright information in a single location. This is advantageous in eliminating middlemen and third parties, thereby creating a rich, open, trustworthy, transparent, and constantly updated database.
Copyright holders add their content through the platform’s Rights Management Portal (RMP). At the same time, they also specify how the income from royalties should be distributed among participants. Streaming platforms (like PeerTracks) spot new songs in the database and determine whether or not to include them in their catalog, enabling users to stream the music.
Copyright holders are then paid out from SOUNDAC’s royalty pool. The pool distributes funds based on what users have been listening to on every SOUNDAC-connected streaming platform. Songs hold instructions on who gets certain percentages of the income. The user-friendly system enables listeners and creators to enjoy it without getting involved in the complexities of blockchain.
Musicians and copyright holders do not need to be involved in cryptocurrencies, or even know much about them, to use SOUNDAC. The RYLT tokens they’re paid in protect them from crypto and stock markets, which can be volatile.
Ultimately, SOUNDAC will create more financial freedom for artists, which will translate to more output for passionate music fans around the world.