💣 What industry will NFTs disrupt the most?
- 💣 What industry will NFTs disrupt the most?
- 🎹 Music Royalties via NFTs
- 🧩 Fractional Ownership
- 👀 Under the Radar
- 👊 Sponsors
- 💸 Coupons
This week Nas, one of the most prolific lyricist and successful artists in the music industry, sold his firs first digital music royalty drop in seconds on Royal. The demand was so overwhelming that their site crashed minutes after the drop.
Is music the industry that will be the most disrupted by NFTs? What about the movie industry? Publishing? Real Estate? the list goes on and there may be many industries that will be shaken thanks to this technology.
What is an NFT”?
Personally I define it as “A way to digitally register ownership of an Asset.” It used to be a form of registration for digital assets, but now physical assets can be register and traded as NFTs just as well.
🎹 Music Royalties via NFTs
Nas just sold royalty rights to two of his songs (‘Ultra Black’ and ‘Rare’) as NFTs.
Royal — a song ownership platform that Nas invested in last year, alongside other musicians, made 760 tokens available for ‘Ultra Black’, the lead single to Nas’ 2021 Grammy award winning-album ‘King’s Disease’.
Three tiers of tokens were made available, offering different levels of ownership.
- ‘Ultra Black’ song tiers:
Gold: 0.0143% streaming royalty ownership for $50
Platinum: 0.0857% streaming royalty ownership for $250
Diamond: 2.14% streaming royalty ownership for $4999
- ‘Rare’ song tiers:
Gold: 0.0113% streaming royalty ownership for $99
Platinum: 0.0658% streaming royalty ownership for $499
Diamond: 1.5789% streaming royalty ownership for $9999
“There is a huge opportunity to revolutionize the music industry,” said Royal. “We believe shifting power to artists and democratizing ownership is a powerful step.” (NME.com)
This is indeed a great opportunity for creators to get funding for their projects via NFTs and to create another stream of direct income. Additionally, this is an amazing grassroots strategy to communicate directly with their fan base and recruit an organic marketing team. “NFT owners under a revenue share model will make money the more your art sells.”
🧩 Fractional Ownership
Any industry that can benefit from fractional ownership can be quickly disrupted by NFTs. Real estate could be transformed with the proper use of tokens and smart contracts. Currently, you have to buy an entire apartment or house to reap the benefits of real estate ownership. NFTs can allow fractional ownership of any real estate asset by selling tokens programmed under a smart contract that dictates the owner’s responsibilities, revenue share, and how the token (NFT) can be sold in the future if the owner desires to cash out. I can own 5%, or any percentage, of a property and have that percentage written on my NFT smart contract dictating my revenue percentage and my duties as an owner of X%.
As we have seen, the world of Art has been rapidly changing due to NFTs. Not long ago, it was unthinkable to own a Picasso or any extremely expensive piece of art. Today, I can own a percentage of any art piece, hold it for it to appreciate, and re-sell it in the secondary market for a profit if / when I wish. I may also have voting rights written into my token’s smart contract which will allow me to be part of the decision making process of that particular piece of art.
2022 will be the year when we witness businesses of all sizes jump into the NFT action to bring extra revenue and get rid of the middle-man. NFTs will also allow enterprises to connect directly with their audience and audiences will be able reap the benefits of exclusive rights, access, and/or content.
NFTs unlock more value for creators by greatly increasing their opportunity to offer a product or service in a quick, transparent, and decentralized way. Here are more ways that NFTs can unlock value: (cyberscrilla)
- Raise capital
- Increase your exposure
- Provide more value to your consumers
- Grow your brand
- Do it all remotely
- Transact transparently
- Enjoy peer-to-peer transactions
👀 Under the Radar
- Yield Guild Games (YGG) — Decentralized autonomous organization (DAO) that invests in virtual world non-fungible tokens (NFTs). The organization’s objective is to develop the world’s largest virtual economy, optimize its assets to maximize utility and share revenues with its stakeholders.
- ENVELOP (NIFTSY) — Cross-chain tool set able to give any NFT new functionality (economic set-up, on-chain royalties, rental mechanism, time/value/event-locks), protection of devaluation and anti-fraud system. Now easily implemented in GameFi, Marketplaces, Art, Metaverse and NFT-rentals. Their aim is cross-chain tokenization of payment channels (rollups) to intensify unused liquidity.
- Efinity (EFI) — Developed by Enjin which pioneered the NFT industry in 2017. Efinity is the world’s cross-chain NFT blockchain. Powered by the deflationary EFI Token, the network is environmentally friendly, scalable, and built for games, apps, enterprises and creators to deliver their own non-fungible tokens to mainstream audiences. Built on Polkadot.
- Gamefi (GAFI) — All-encompassing hub and one-stop shop for game finance, serving game studios, players, traders, and investors. Will bring the gaming community the promising blockchain game initiatives developed on the BSC and Polygon networks, which host most of the top-rated play-to-earn titles. Simultaneously, GameFi is the first marketplace to enable cross-games trading of in-game items and NFTs.