Thread by @AbelowRob

Last year, one of my artists sold the streaming rights to a portion of their catalog for hundreds of thousands of dollars.

It was a mistake.

This is why. 👇

Selling the rights wasn't the mistake. That money in their pocket was a game-changer for an indie artist.

It's about HOW we sold the streaming rights. I was still using my music 2.0 brain.

Web2 👉 sell to one company
Web3 👉 share with many collectors

Let's compare.

THE BUYER

We sold to a large, respected indie label.

But, that company won't do anything other than collect checks every month.

We could have made our fans our partners.

THE TERMS

🤝 10x prev 2 years avg streaming $$
🤝 100% streaming in perpetuity
🤝 50% streaming in perpetuity on the biggest record.

Great money, but a one time sale.
We no longer have upside!

Why would selling as Music NFTs have been much better?

1) Bring fans into your upside, rather than a corporation
2) Align incentives, reward fandom & create more superfans
3) Recurring payments via creator share
4) Options, options, options

Let's break this down.

1/BRING FANS INTO YOUR UPSIDE: Who do you want rewarded by your success -- fans or a corporation?

2/REWARD + GROW FANDOM: Core fans get ownership. New ones learn & join our tribe.

Give more benefits to holders going forward - and we own that relationship thru the token.

3/CREATOR SHARE: Why get paid once, when you can get paid perpetually?

With NFTs, artists set a creator share and receive a % of subsequent secondary sales.

The artist still has upside and mailbox money!

4/OPTIONALITY

With our original deal, it was perpetuity or nothing. All or nothing. We fought to retain 50% ownership in the most valuable record.

Through our own NFT launch, we could have set the terms EXACTLY how we preferred.

Which songs. Which rights. How long. What %.

Building long-term as an artist is growing your tribe. You overdeliver, and it comes back to you 10x.

What better way to do this than by turning fans into partners.

Then, continuously reward holders to show the value of being your partner builds over time.

The future of music rights ownership is tokenized and fractionalized.

Incredible platforms are emerging now to facilitate this process via #MusicNFTs

@join_royal
@decentxyz
@AnotherBlock
@opulousapp
@vuzecmx

Just to name a few.

If you have any questions about selling rights in Web3 or Web2, I am happy to share what I know.

For free resources on music nft organizations & platgorms, head over to the @dopr_ai directory: app.dopr.xyz/nft-directory

For tweets on music in web3, give me a follow.