Fairbit Presents – How Can Blockchain Technology Solve the problems of Music Industry? Biggest problems of today’s music industry. For example, in spite of the existence of these music streaming services, song piracy and copyright infringement are still major issues of the music industry today. The past couple of years have seen the rise of multiple stream-ripping websites. These are very different from illegal download sites and unlicensed streaming sites, and are the fastest spreading networks of this kind at the moment.
Another issue is the confidentiality surrounding streaming services around music “sales” or “use” of music. Not only is the data behind these things held far from the fingertips of the artist, it is also at times unreadable or entirely unknown. In short, reduced responsibility is a real problem in the music industry today.
Monopoly is one of the industry’s oldest concerns, with various large record labels keeping their own when faced with most of their competition. Many contracts are confidential, making it even more difficult for streaming services to determine who actually owns what in terms of downloaded content and royalties for streamed music.
Another issue factor is how many music streaming services, in general, manage the metadata of different tracks, songs and albums. And, to make matters worse, because there is no established standard for data reporting of music streaming services, the result is a lot of inefficiencies which means that the artist is not paid for the music.
Last but not least, there is the middlemen issue explain Fairbit experts. All record labels have a lot of complementary businesses that have a lot of other expenses in return. Also consider the fact that all the holders involved demand their equal share of the income that is separated into so many parts that it becomes very difficult to determine what actually happens to the end of the artists.
Fairbit – What’s the solution?
To recap, accountability and intermediaries are two of the most significant issues currently facing the music industry. There are, therefore, many who assume that blockchain could actually solve these pressing issues in a democratic, equitable, and efficient manner. Through removing the intermediaries as well as providing much-needed transparency, the correct implementation of blockchain in the services of the industry could mean more money in the pockets of the artists, which is exactly what is required, particularly when we don’t think on a global scale where all the known artists dominate the scenes.
With the aid of blockchain, artists may potentially gain access to real-time royalty information in order to further extend the topic of openness (because everything is public). Anyone who has ever heard of Ethereum might argue that smart contracts can also play a very important role here, particularly when it comes to describing the terms of digital distribution. The result will be that artists fully understand their contract details and track their contract terms with respect to their payments.
The blockchain could also prove to be extremely beneficial in providing full control over its production to the copyright owner of a certain song. We have confirmed that the Blockchain ledger is public. Which means the blockchain will theoretically also serve as a kind of contact channel between fans and the artist.