NFTs, or non-fungible tokens, are the latest fad to be sweeping across the entertainment industry, especially online, and this follows the growth of the cryptocurrency sector over the last year or so. NFTs are derived in some manner from cryptocurrencies, of course, but they offer a much more direct solution for various issues faced by content creators, such as monetization of content, revenue sharing, piracy and so on. It has not been a surprise, therefore, to see many famous mainstream artists and musicians begin to test this concept out by offering their own NFTs with exclusive content, and the crypto platform Crypto.com has now launched a platform which will host this sort of content from the biggest artists in the world.
Before we get into the details of this platform, it is important to understand what exactly NFTs are and how they work. Non-fungible tokens are essentially unique units of data on blockchain networks, where each token can represent a unique digital item, which is why they are non-fungible or non-interchangeable. This is in contrast to fiat money, for example, where the value of five $10 notes and one $50 notes is the same – each NFT, on the other hand, is unique and corresponds to a different digital item. Thus, they can be used to provide access and proof of ownership to digital items, songs, artwork and even digital collectibles and items in games and so on. You can find more useful information about NFT tokens here and on other online sources, since it is essential to understand how NFTs work for those interested in taking advantage of its benefits.
The Crypto.com platform is known as Crypto NFT, which was launched on 26th March, and it already has or is planning to host content from the likes of Snoop Dogg, Boy George, Lionel Richie, Bag Raiders and many more artists. It will even allow people who are not members of the Crypto.com platform to be able to buy, sell, trade and own NFTs on this platform, while accepting various forms of payment including credit and debit cards as well cryptocurrency payments from up to 20 different tokens, including the likes of Bitcoin, Ethereum and Dogecoin. The Chief Strategy Officer of Downtown Music Holdings, Joe Conyers III, will be leading this project, having been appointed as Global Head of NFTs at the platform.
This is just the latest in the ongoing NFT craze, with more and more artists and entertainment providers joining the bandwagon. Recently, even TIME Magazine jumped into this by launching three limited edition digital covers through NFTs, with an auction taking place on the digital art marketplace SuperRare. The evolution of NFTs is certainly helping artists have more control over their earnings from digital sales, as many musicians, in particular, have complained about the cut of streaming revenues that they are paid by the likes of Spotify, which only becomes a major source of income for the biggest artists who have billions of streams on the platform. NFTs, however, ensure that fans can directly purchase music from their favourite artists, compensating them fairly in the process, while also usually getting their hands on exclusive merchandise or content through the NFT. It is expected that the NFT surge could change the way record companies and labels operate as well, since they are helping artists become more independent and connected to their fans. NFTs essentially offer the same benefits as cryptocurrencies – decentralization, and with more and more platforms beginning to offer and
support NFTs, we are seeing mainstream artists move towards these platforms rather than the record companies to offer new music and content to their fans, and this could be a sign of things to come.