Spotify, the most popular music streaming platform in the world, integrates NFT (Non-Fungible Tokens), as a way to attract more customers and maintain their supremacy in the music market. The idea of the company is to offer the user a unique experience regarding the acquisition of NFT.
The platform is testing whether artists can offer NFT collections from their site, in addition to the musical themes, events and other elements that they currently offer to users.
This function currently is only accessible to a li groupmitNumber of Android Device Users in the United States. Such users will be able to access NFTs from artists such as Steve Aoki y The Wombats.
Spotify and the Web3
Thanks to the Web3, Spotify can offer a rich user experience when it comes to handling NFTs. That said, people will be able to get a view of the NFT they want to purchase. From within NFT itself you will have a 'see more' option which will take you to the NFT page at OpenSea where you can buy it.
Spotify will offer a static version of the NFT, so it is a GIF, video or audio, It can only be reproduced on the NFT website, that is, on OpenSea, if it is hosted there.
A spokesperson for the company indicated that the tests are being carried out where a small group of artists decided to promote their NFT offers to third parties. But the test may go forward as a stable feature for all users or, in case of negative results, be forgotten.
“We routinely run a number of tests in an effort to improve artist and fan experiences. Some of those tests end up paving the way for a broader experience and others serve only as important learning,” the spokesperson said.
He explained that this characteristic, once it goes on the market, will make a greater difference than its most direct rivals. And it's been a while since Spotify has been very inclined towards other types of content to distance itself from its most direct rivals.
Spotify could also open up to Web3, as other platforms are already doing, in this case we cite Instagram as an example. The profits that the artists have in the sale of their songs as NFTs exceed those of Spotify.
The source of the problem between Spotify and its artists' war on compensation is the Swedish platform's algorithm and compensation model. In this sense, the artists charge a percentage per transmission.
The algorithm, on the other hand, always favors the most successful pieces, a system that works to the detriment of the most independent musicians. In other words, the more listened to a song, the more present it is in the platform's recommendation systems, which makes it unsustainable for many artists.
Although independent artists account for 70 percent of Spotify's revenueThey don't earn enough. While selling their NFTs, they manage to exceed 50 thousand dollars a month. For more information about this project, visit their official Web site.