Netra Introduces NFT Music Royalty Sharing Platform
Decentralization is now not only spreading in the financial sector, but also extends to the music industry. The decentralized concept of Web 3.0 is driving the emergence of various Web 3.0 projects, including Netra, a royalty-sharing music NFT platform that utilizes blockchain technology and is claimed to be the first in Asia.
Blockchain-based, Netra’s web3 service allows local Indonesian and international musicians to offer their fans ownership and royalty rights to their musical works in the form of NFT digital assets. This technology is expected to bring more equitable prosperity to the core producers of the music industry, namely musicians.
Netra allows musicians to earn alternative income from creative activities which basically reduces or eliminates the work portion (and profit-sharing portion) by middlemen such as distributors, even labels.
Apart from musicians, music lovers are also given the opportunity to contribute as investors who have ownership and can get royalties from streaming.
Netra’s Vision and Mission
According to the official release, Netra CEO Setiawan Winarto explained, Netra’s main vision is to become a platform and as a partner for musicians to enter the world of Web3, Blockchain and Metaverse.
In addition, Netra also has a mission to give fans the opportunity to have a lasting legacy of musicians that cannot happen without blockchain technology. Simply put, when we buy a CD/album, we only buy a copy of the song. We do not hold any ownership or ownership. Netra wants to change this.
Now music lovers can buy NFT of their favorite songs, as well as own some of the intellectual property of the songs themselves. Having NFT Netra means owning a song by your favorite artist and earning royalties every time the song is played.
Currently, Netra has been officially introduced and is preparing to open whitelist access to be able to buy their NFT. His party has prepared at least 4 artists, including Dewa Budjana, Indra Lesmana, Andra Ramadhan, and Lalahuta who will be distributed and entered the Netra platform. Every song distributed by Netra will be split in the royalties.
The first NFT will be released on March 9 to commemorate National Music Day. Dewa Budjana’s work became the debut of NFT music on Netra. In a press conference, Netra briefly explained the calculation of royalties on his platform.
The 50% royalty will be owned by the artist aka Dewa Budjana himself and the other 50% will be split up to be distributed to those who are interested.
Royalty ownership for streaming this song will be marked by tokens in the form of NFT which are divided into 3 tiers, namely Gold (0.02% royalty on streaming), platinum (0.05%). and Legend (can get 0.3% as well as exclusive access from events held by musicians).
Transparency In Blockchain Technology
One of the problems identified in the music world is related to transparency. Musicians from around the world have long acknowledged that it is difficult to make a living on music because of the big players who act as intermediaries but lack clarity and transparency about the distribution of royalties.
By applying the principle of decentralization, the profits earned through music streaming will be directly transferred to musicians and can be claimed by NFT Netra owners without any third-party intervention. And by utilizing blockchain technology, the security and authenticity of every transaction is guaranteed and transparent.
The presence of blockchain is considered to be the new standard in transparency in the music world. Blockchain enables unprecedented data transparency.
With decentralized and trustless characteristics, all transaction history that occurs on the blockchain can be accessed by anyone, but at the same time no one can manipulate it.
Regarding smart contracts, Netra uses Matic which runs on the Polygon blockchain. This is considered to be able to reduce the cost for gas fees because in Polygon the gas fee will not be as expensive as in ETH layer 1. Netra also stated that later this NFT will be able to be traded on the Opensea secondary market.