Spotify will add NFT and elements of blockchain technology to its platform to increase artists’ income.
As Spotify plans to strengthen its competitive advantage in the market through the offering of NFT, it will spark enthusiasm in both the music industry and the cryptocurrency market. Spotify is an important player in both the technology and art markets (and podcasting).
The NFT market is a decentralized market that specializes in trading unique digital assets. In contrast to traditional markets, the NFT market operates without intermediaries, has no need for physical stock-keeping units and can be accessed through digital wallets. The number of items and their value is determined by the users themselves, who decide on the market rules. The NFT Market is based on the Ethereum blockchain, enabling anyone to buy and sell digital collectibles using cryptocurrency.
As a result, the app would be able to attract new users by offering them several benefits. These benefits include selling and purchasing digital goods, backstage passes for concerts, or other features that would be associated with NFT.
Snoop Dogg is a known investor in NFT, which qualifies him to serve as Spotify’s brand ambassador. DJ Steve Aoki, who recently admitted that he earned more from NFT than from his work, would be next in line.
Additionally, this group may include musicians Kings of Leon, Grimes, Polish death metal band Behemoth, Ozzy Osbourne (The Crypto Batz collection), and Megadeth (the NFT series has their mascots).
As the NFTs market continues to grow, they are increasingly being touted as the future of the music industry. Why? It’s all about digital certificates of rights to a given work. In other words, they prove that the music we listen to on our smartphones is bought legally. This is extremely important today when piracy continues to cause great losses in the music market.