The entertainment industry, particularly the music sector, has undergone significant transformations. One of the most groundbreaking innovations is blockchain-based music streaming, which provides musicians with fairer compensation for their work and talent. In this article, we explore how blockchain technology is reshaping the music streaming landscape and the advantages it offers to artists compared to traditional streaming platforms.

The Impact of Streaming Platforms on Music Industry Revenue and Artists

Leading music streaming services like Spotify, Apple Music, Amazon Music, and Tencent allow users to access their favorite artists’ work through paid subscriptions. The diagram below illustrates the distribution of users across these major platforms.

However, the financial model of these platforms often leaves musicians with minimal earnings. On Spotify, payouts per stream range from $0.006 to $0.0084, depending on factors such as song length, subscription type, and listener location. Even then, these payments typically go to rights holders—such as record labels, publishers, or distributors—rather than directly to the artists themselves.

Low per-stream royalties have been a long-standing frustration for musicians, leading many to seek alternative distribution models, including blockchain-based music platforms. In 2014, American singer Taylor Swift famously pulled her catalog from Spotify, arguing that its business model devalues artists’ work and undermines their creative efforts.

As dissatisfaction with traditional streaming platforms grows, blockchain music distribution is emerging as a promising solution for artists seeking greater transparency, control, and fairer compensation.

Read the full article