The transition of royalty payments into the blockchain should empower artists in the music industry. It could be because of increasing their bargaining power for asking higher payouts. This arises from a report that blockchain digital music platform, OPUS shared with Cointelegraph. The report shows the positive impact of blockchain on the music industry.
According to the OPUS study, the decentralized platform could be attractive for artists. The reasons are many. However, the main one is the potential for relatively higher earnings, in comparison to conventional platforms.
OPUS believes that a shift to tokenizing royalties would also diversify the personal portfolios of artists.
In recent years, the researchers observed a “substantial” increase in the cashflows payable on the grounds of royalty contracts in the entertainment and media industries.
OPUS claims that open-source decentralized music platforms in the future could focus on educating musicians for applicable aspects of financial literacy.
“As this market is currently dominated by a few large players, there is a significant room for new platforms to change the way and amount of royalties distributed to individual musicians, podcast producers, and all other artists. In particular, the Blockchain is here to change the status quo.” stated in the mentioned report.
