DENVER, CO (June 3, 2021) — Royalty Exchange, the world’s largest platform for buying and selling royalties, today announced the launch of the first-ever music publishing NFT. Under this new program, investors can now buy music catalogs and songs as NFTs (“non-fungible tokens”) using the Ethereum cryptocurrency.
While sales of NFT artwork and collectibles are exploding, a common criticism lies in their perceived values based on speculation and scarcity. But Royalty Exchange NFTs have an actual underlying value tied to a stream of royalty income which the owner of the NFT will collect once purchased. Royalty Exchange is pioneering the move into income-producing NFT's with the minting of its own token—dubbed the RXT.
Converting virtual cryptocurrency into asset-backed investments delivers real-world returns, providing stability and diversification, which Royalty Exchange believes will further increase the already overwhelming demand for music royalties.
Artists selling their royalties as NFTs can receive a cut of the purchase price from any future resale of their catalog. Music catalogs are often bought and sold many times over, but until now artists never saw a dime of the proceeds other than their initial sale. The “smart contract” of NFTs ensures they are compensated anytime their catalog changes hands on platforms that honor the EIP 2981 resale royalties standard.
To kick off the NFT program, Royalty Exchange will offer the first-ever NFT for a music publishing catalog, for the song “Save Dat Money” by rapper Lil Dicky. The auction listing is live now for review, and will open for bids Monday, June 7 at 11:00 a.m. ET.
The winning bidder will collect mechanical, public performance, and sync royalties, which generate income every time the song is streamed, sold, broadcast, or licensed. These royalties will be paid every quarter in Ethereum, which can be converted into fiat currency or held as cryptocurrency. The winner of the auction can also resell the NFT at any time on Royalty Exchange, or any other NFT marketplace.
Interested buyers will need to register for a free Royalty Exchange account and complete a verification process to participate. Visit www.royaltyexchange.com to get started.
“NFTs have very practical applications for buying and selling royalties, as the blockchain represents the ultimate standard in trust and transparency,” said Royalty Exchange CEO Anthony Martini. “This is yet another tool to empower creators, while opening the market for music royalties to a broader spectrum of interested buyers. We’re only scratching the surface.”
For more details about the Royalty Exchange NFT program, read the full intro article here.
ABOUT ROYALTY EXCHANGE
Royalty Exchange uses the power of a marketplace to unlock the value of ideas that enrich the human experience. We were the first to pioneer music as an asset class and now we operate the largest platform for buying and selling royalties, bringing together creators and investors with transparency and fairness. Our marketplace lets creators raise money without giving up their rights, and gives investors access to income-generating assets that are unaffected by public markets. The result is a solution for all, not just the connected few. Find us at www.royaltyexchange.com, or follow us on Twitter, Instagram, and Facebook.