Music DAOs: What Do DAOs Mean For The Music Industry?
Imagine if musicians sourced from any genre were able to make a living off of their art sans the help of a major record label. With music DAOS or music decentralized autonomous organization, this idea is becoming much closer to reality.
There’s a lot of confusion around on what a music DAO is and how it could help the everyday musician, especially those weary of Web3. We’ll clear the fog on music label DAOs and related organizations below so that you can understand how DAOs might benefit artists.
What Is A DAO?
A DAO is a decentralized autonomous organization, which pairs down to a community that’s designed to run without a central authority. Oftentimes, users within any DAO can help create the rules surrounding these communities through proposals and voting. However, there are infinitely different models of DAOs, each with its own decentralized structure.
There is a wide range of DAOs across several industries, with the entertainment sector and music niche being one small piece of the blockchain pie.
What Are The Different Types of Music DAOs?
So how do music DAOs or music label DAOs operate? There isn’t an easy answer– Every day, more W3 music communities are opting to identify themselves as DAOs creating plenty of variety throughout the space.
There are a couple of clear classifications beginning to emerge within the sphere of music DAOS:
Music Funding DAO
This type of DAO is designed to help fund independent artist projects through community voting and music NFTs. A clear example of this community can be found through Music Fund.
Music Business Focused DAO
This DAO aims to make music industry insight and data ownership more accessible to artists. CreateSafe is a great example of this, providing management and artist services directly to creators.
These DAOs give members part ownership of an asset, typically centered around some sort of intellectual property. A great example of this is Holly+, a voice model and community.
Conceivably, one or multiple DAOs could replace the role of a major label for endless emerging artists. This earmarks a major shift in the music industry that artists have desperately yearned for, by prioritizing transparency, community, and fair pay for creativity.
What Do Music Label DAOs mean for artists?
So, why would a musician be interested in building a community through a DAO? For many, the most intriguing prospect of DAOs is increased monetization opportunities. Unfortunately, money flow in the music industry isn’t exactly transparent, with income from DSPs being prohibitively low, let alone livable.
Many music-oriented DAOs work to cut out the middlemen, providing artists with more direct access to their data and earnings. Artists may also be able to benefit from the following:
Interactive Fan Cultures: Monetized communities within Web3 create a space where fans and artists can interact in a safe, intimate space. Artists have a new funnel for their most dedicated fans.
Membership NFTs: Tokenized DAOs can help introduce Web3 natives to new music and put their stakes directly into artists they love.
Self Governance: The hands-off approach of DAOs allow the organizations to run themselves, enabling artists to focus on their craft while still providing a community for fans.
Identity Access: Web3 purchases and transactions serve as a personality piece, allowing online users the opportunity to show off their interests in the space, and potentially connect with more like-minded consumers.
13 Music DAOS You Should Know
The list continues to grow, but here are some music DAOs you’ll want to keep your eye on that are bubbling across the internet.
Ampled: A collectively owned platform where musicians can receive regular payments and additional financial support directly from fans.
Audius: A DAO with a streaming platform interface that allows artists to distribute tokens and NFTs, providing fans with access to a more intimate music experience.
Dreams Never Die: Independent record label turned DAO hoping to take on new artists and support them through the community blockchain.
GENRE: A DAO created by independent label Leaving Records designed to promote multigenre artists through their unique community and token.
Good Karma Records: A record label DAO that uses a shared treasury to fund exclusive NFT projects, host live events, and help artists grow within Web3.
Holly+: A voice model of Holly Herndon’s voice that can be used to create music and participate in various projects as dictated by the DAO.
MODA DAO: A DAO that allows artists to mint and monetize NFTs, seek out creative grants, and crowd-fund their next project.
Mudd DAO: A DAO centered around artist Julian Mudd that seeks to amplify artists at the intersection of music and technology.
Opulous: A platform backed by Ditto music designed to help artists secure creative loans for projected future royalty earnings.
PHLOTE: A DAO geared towards independent artists designed to provide instant access to royalty earnings and support artists in the cryptocurrency space.
RAC: A community centered around the namesake electronic musician’s token offering tokenized ad space, NFT exclusives, merch discounts, and more.
SongADAO: A platform that highlights a featured track every day owned and governed by the NFT-gated community.
Songcamp: A music DAO working to provide its artists with universal basic income and an NFT collection split with profits split amongst the collective.
These are just a few examples meant to illustrate the variety across music DAOs, but it’s clear that music DAOs are here to stay. Web3 is positioned to make music more viable for artists and interactive for dedicated fans.
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