Blockchain Could Revolutionize Royalty Payments in the Music Industry
The music industry is facing a widespread issue of unpaid royalties, with millions of dollars lost due to outdated and inaccurate metadata systems.
Limp Bizkit’s lawsuit against Universal Music Group (UMG) highlights how royalty software is allegedly designed to hide payments, a problem that affects both well-known and emerging artists.
The heart of the issue lies in the inconsistency and inaccuracy of music metadata, which is crucial for ensuring fair compensation but is spread across various databases without a standardized system.
SoundExchange has also filed a lawsuit against AccuRadio for failing to pay royalties, further demonstrating the industry’s deep-rooted problems. These issues arise from outdated technology that’s prone to errors and intentional manipulation.
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Blockchain technology, however, offers a potential solution by providing transparent, decentralized tracking of royalties, creating an immutable record for every song played. Despite its limitations, blockchain could vastly improve accuracy, reduce errors, and restore trust in the industry.
Companies like Ripe Capital, Audius, and Myco are already exploring blockchain to improve royalty payments and give artists more control over their income. By adopting these technologies, the music industry could address its long-standing issues, making it more transparent and fair for both artists and investors. The industry must embrace innovation to secure a fairer future.
Alexander Stefanov
Reporter at CoinsPress
Alex is an experienced finance journalist and a cryptocurrency and blockchain enthusiast. With over five years of experience covering the industry, he deeply understands the complex and constantly evolving world of digital assets. His insightful and thought-provoking articles provide readers with a clear picture of the latest developments and trends in the market. His passionate approach allows him to break down complex ideas into accessible and insightful content. Follow up on his content to be up to date with the most important trends and topics - stay ahead of the curve with CoinsPress.
