What Are NFTs?
NFTs are unique digital assets verified using blockchain technology, representing ownership of a specific item or piece of content, such as music tracks, albums, or exclusive experiences. Unlike traditional music sales or streaming, NFTs can offer artists direct profits, greater control over their work, and unique engagement with fans.
Why Music NFTs matter for Artists
NFTs break the mold of conventional music revenue, offering artists:
1. Direct earnings from sales without intermediaries.
2. Continuous income through resale royalties.
3. Stronger fan-artist relationships.
4. Unique ways to engage and target fans, such as offering exclusive content, early access, or immersive experiences.
By making your first steps in the NFT space, you position yourself on the forefront of a trend which could play out for your professional career as a musician in the future.
How to Get Started
To begin, familiarize yourself with NFT platforms that cater to musicians. Understand the process of minting NFTs—creating a blockchain-based representation of your work. Consider your goals: Do you want to get some first collectors to start off your collector community or make exclusive NFTs with higher scarcity? Do you want to offer your fans any other perks along with the NFT (e.g. Vinyl, Tickets to a concert, etc.)?
We suggest using the platform Sound.xyz as it offers you a very simple way to create your first Music NFT and involves no use of crypto money for the creation process. Check out our workshop from minute 16:00 on to understand how to create your NFT on Sound.xyz.
Taking Action with CWXP
CWXP is here to assist you during that process. We guide you through the creation process and give you the tools needed to make your first steps in the NFT space. Feel free to reach out to our team via our CWXP Discord by creating a support ticket, and we will answer all your upcoming questions. After using Sound.xyz to create your NFTs, we will highlight those NFTs inside our very own CWXP Metaverse space that will host your live performance. Your fans will not only be able to see you perform live in a very new and exciting way but also support you through the purchase of NFTs.
NFT Sales prognosis
Right now, the expectations to sell NFTs for high prices are rather low. The crypto market and NFT market are highly correlated. Currently, the crypto market is still recovering from its big drop in 2022, but the last months were a constant trend upwards which shows that we are in a bullish momentum again. This being said, NFTs are also on the urge to rise again assuming there will be another hype again as back in 2021. Positioning yourself in the NFT space right now by selling your first pieces (probably for lower prices or even for free in the beginning) could potentially pay out in the future when NFTs gain in attraction again. CWXP does not provide a guarantee to sell your NFTs. We provide you with the tools to do so, but it’s up to you what you make out of it! Think about creating an account on platforms like X (Twitter) or Discord and to stay in contact with your Web3 community! And don’t give up! NFTs that don’t sell today, can sell tomorrow.
Risks associated with NFTs
When dealing with NFTs, understanding and adapting to the evolving legal and regulatory framework is essential. This means keeping abreast of laws and regulations and seeking expert legal advice where necessary. Given the volatile nature of cryptocurrencies, which are typically used to buy NFTs, it’s wise to quickly convert these to stable currencies post-transaction to reduce financial risk.
The integrity of NFT marketplaces is not guaranteed, as they can be vulnerable to technical issues or security breaches. To protect your NFTs, you should use decentralized permanent storage systems such as Arweave (if provided by the platform) and diversify by listing your NFTs across various established platforms.
Phishing is a prevalent risk, with attackers often posing as trustworthy sources to steal sensitive information such as private keys or login credentials. To combat this, rigorously verify the authenticity of websites and communications, enable two-factor authentication, and keep your private keys in a secure hardware wallet.
Lastly, intellectual property rights must be considered; only tokenize music or art that you have the rights to. Consult with industry experts or legal counsel to ensure you are not infringing on another’s copyrights before tokenizing your work.
Conclusion
Embracing NFTs can be a game-changer for music artists. By understanding the landscape and leveraging platforms like CWXP, you can pioneer new creative and financial horizons. Start exploring today and shape the future of your music career with the power of NFTs. As exciting the space can be, keep your expectations realistic, be curious to explore the space and its different opportunities and take it as a chance to experiment!
Are you ready to create your first NFTs and play in the metaverse as an artist? Sign up on gigmit for free, and apply via this link!
