NFTs are redefining ownership of assets and creating an environment where previously illiquid assets can be traded instantly. This movement has taken over the art industry and turned visual art into a financial tool for millions of users. Many commentators believe that this technology will continue to revolutionise many other industries over the next decade. Loud Market are the first to try and apply this to the music industry.
Loud Market, the world’s first NFT marketplace for the sale of music hosts 0% fees and is underpinned by the $LOUD Token. $LOUD launched publicly in September with a record breaking presale, selling 1000BNB ($400,000) in under 4 minutes! Loud Market is run by Loud Market Ltd – a UK registered company directed by James Gray (CEO) and Tom Whitten-Morgan (CIO). Established in April 2021 Loud Market Ltd worked behind closed doors for almost 5 months before taking their idea public at ICO on the 21st September 2021. They take legal advice from a UK based Law Firm.
Music has seized to be a profitable passion for the majority of musicians around the world. On average, little over 12% of the music industry revenue makes it to musicians, and this is distributed unequally towards the mainstream artists. The sad truth is that many low-mid level musicians now find themselves having to work day jobs to fund their passion. These artists are loved by many and their music is the source of so much enjoyment, but they still see the majority of their work’s rewards end up in the hands of multinational tech organisations. What was once a community-based, grassroots industry, is now a centralised cash-cow for a handful of organisations.
The current beta marketplace – available to view on beta.loudnft.co
Loud Market aims to completely restructure how musicians profit from their work by removing the complicated process associated with streaming, and all the unnecessary middle-men. On Loud Market musicians will be able to sell their music directly to their fans as collectible and tradable items. By structuring the music industry through decentralised NFT technology, we will enable musicians to take back control of their music and return the level of autonomy that once existed with physical sales. In line with this, musicians get to keep 100% of their sale price as Loud Market takes 0% fees on all on-market transactions. Loud Market is not your standard NFT streaming platform, it is an ownership-based marketplace where musicians and fans can interact seamlessly.
Quality of Listeners vs Quantity of Listeners
This new revenue structure will revolutionise how music is valued. Current streaming structures are entirely dependant on the quantity of listeners a song/artist gets. If we replace this system with auction style listings, these songs suddenly become valued by the quality of listeners. Two fans can bid up the price of a song far higher than their streams will ever generate
Being the FIRST NFT music marketplace is great, but longevity requires more than that. Cementing the Loud brand is fundamental to the long term success of the project. We believe with our name and logo we can develop a brand that is synonymous with NFTs and with an equal and fair music landscape. It is this development that will facilitate the longevity of the project and earn Loud a position with one of the great names in Crypto.
The $LOUD Token
$LOUD token usecase
The $LOUD token earns it’s use case by being the vessel for fee-less transactions on Loud Market. Loud Market has been developed to sidestep the inbuilt 6% token tax when used for on-market transactions. However, this tax does still apply on all off-market transactions.
6% native tax on all off-market transactions
- This includes all buys, sells and private wallet transfers.
- This is broken down as such
2% Marketing & expenses wallet
- This tax automatically converts into $BNB to be used by Loud Market for artist partnerships, development, advertisement and other company costs. This tax is the source of revenue for Loud Market.
2% redistribution Tax
- This tax automatically converts 2% of all transactions into $BUSD (dollar pegged crypto) and distributes it to $LOUD holders proportionately to the amount of tokens that they hold, thus rewarding those holding $LOUD.
1% Liquidity Pool Tax
- This tax distributes 1% of all transactions into PancakeSwap liquidity to increase the ease of trading, and the value of $LOUD. This also helps to cement price floors for the token.
1% Buyback and Burn function
- This algorithm stores 1% of all transactions until there is a period of price decline. At this point the SmartMath wallet uses the stored tax to purchase $LOUD tokens to reduce the fall in price. These purchased tokens are then burnt reducing total supply and increasing the value of each token.
Benefits for Artists
The first obvious benefit for artists is that they are able to choose the sale/starting auction price for their music and then make sales directly to fans and consumers. Following this, they keep 100% of the sale price and pass nothing on to the platform.
This structure guarantees them instant income from the sale of their music, but the addition of “Royalty Fees” help to secure a continued income from previously sold NFTs.
Artists can choose a specific percentage royalty fee which is then inbuilt into the NFT. All future sales of that NFT will ‘kickback’ the chosen percentage of the sale price to the original creator.
A return to Artistic Freedom
Currently many musicians are stuck with the dilemma of continuing to make the music they love, how they love, or ‘selling out’ to specific time frames, genres, and quotas given to them by centralised music bodies.
If artists can list and sell their music directly to their fans, they will be free from the chains of a centralised music industry. Artists won’t have to choose between controlling their productive process and making an income from their work.
Loud Market is going to completely redefine an industry by allowing musicians to own their sales process, and determine the proceeds from this.
The Loud Market marketplace has been in development for over 5 months and is almost ready to be launched publicly. The beta version is available to test on the BSC Testnet. Here users can interact with the user interface and experience what it will be like to maneuver around the site!