Utility token vs. Ownership token for Music NFT
Everyone is so focused on Music NFTs being ownership tokens, but the real value will be in utility and direct connection to the artist. This is nothing new for Music. Let me give a example:
let's say you buy a limited edition signed vinyl. it comes with a front row ticket to the show, a meet n greet, and a tshirt. you go to the signing…you get to meet the artist and get your collectible vinyl! it's great, even to say a few words to this artist. you really enjoy their music, you just want to say thank you.
its a great experience. you carefully take it home your signed collectible vinyl and make sure its in perfect condition.
the show sold out, now the ticket that came with the vinyl is worth $200!
You sell it to someone from work because you can't make it. It's an hour away anyway. You're glad you could make it to the signing tho.
Now its 10 years later. Your concert days are more limited now, but you still love the music. You find that old tshirt, still in perfect condition in the back of your closet. Its worth $250 on StockX. Wow!
Next, you think about your prized vinyl. Signed and still in mint condition. You see that the signed collectible vinyl is worth $1000 on eBay. Wow! You think to yourself about how funny that is. You listen to the music on Spotify or watch on Youtube every once in a while. For the most part, the vinyl has been gathering dust in your collection. But thats okay, it's like an old trophy to you. Maybe you'll frame it one day. You decide to hang on to it. You love having it, and plus if its worth $1000 now…imagine another 10 years later?
Did any part of this have to do with owning this music?
Did you ever think you owned the music?
Music NFT is just like these products. The Music NFT itself is like a digital vinyl with a lifetime access ticket to irl and virtual events/shows/community. Also, Music NFTs deliver the same products listed above. Its a way to go directly to fans and let them pay in crypto. It's a new way to deliver a product package. It doesn't have to be an ownership token to create huge value.
submitted by /u/famous_Dyl
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