Blockchain in Music Industry

Music industry is one of the happening industries where blockchain can find many use cases. Blockchain can be instrumental in increasing the reach of music to a larger user base and also reward the music creators with a fair compensation. ACME Music, a music-streaming service plans to use blockchain in its platform. Let us see how it can be accomplished.

Customers who use the app on a regular basis and who are appreciative of the music available on the app would feel encouraged if they are incentivized for few of their actions.

Rewarding tokens to the active customers would be a great way to make them happy and spread a positive vibe among the customers. This would also result in spread of positive reviews about the app through word of mouth and increase the customer base. However, it should be carefully planned as to which all activities have to be rewarded with tokens. We should encourage activities which would help in increasing a sustainable user base and which would provide good revenue to the company, without conflicting with the interests of the customers. Activities like providing constructive feedback on the music made available in the app, referring music enthusiasts among friends or family to use the app, etc. are few of them which can be considered.

Token introduced in this platform i.e., ACMEcoin can be used for rewarding the customers for specific activities. Independent composers can collaborate with the company to include their music on the app and get paid based on the number of times their music is being listened to by the users. Tokens can be assigned to the composers each time their song is streamed or downloaded and then they can later redeem their tokens for money. Token can be used to incentivize customers who provide their feedback, thereby building a reputation system within the app for various artists, genres of music, labels etc., so that company can make an informed decision in future as to whom to collaborate with for adding new music or renewing old contracts. It can also be used as the medium of transactions within the app like downloading the music for offline listening on a per song basis, buying of merchandize put on sale on the app etc. Customers who refer the app to their friends and family can be rewarded with tokens, once the app is downloaded by the referrals’ and used at least for a specific period.

Tokens can be redeemed for various services in the app like premium membership for a specific period, download option for offline listening of specific number of songs or for a specific period, purchase of merchandize available for sale on the app. Tokens can also be used by customers to reward independent composers to show their appreciation for their music.

References:

1. https://musicoin.org/how-it-works
2. https://blockapps.net/blockchain-music-industry/
3. https://peertracks.com/
4. https://cointelegraph.com/news/blockchain-music-streaming-service-to-increase-the-amount-musicians-earn-for-their-work
5. https://info.choon.co/public/pdf/choon_white_paper.pdf

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