Tune.fm’s $80 Million Investment and the Future of Decentralised Music Streaming
In partnership with RS Media
By Kody Boye
The music industry has always been at the crossroads of creativity and commerce. From the days of vinyl to the current music streaming platforms, artists are finding themselves paying out more of their revenue. TUNE.FM, a decentralised music streaming platform built on Hedera Hashgraph, has been built to disrupt the status quo. The company has also recently secured $50 million in funding through alternative investment group Global Emerging Markets (GEM), bringing its total funding to $80 million.
The Platform & Promise of Web3 for Music Artists
Tune.FM is a web3 decentralised music streaming platform with an integrated music NFT marketplace, which enables artists to monetise their fanbase directly through streaming royalty micropayments and digital music collectibles with exclusive unlockable experiences powered by the JAM token ($JAM) utilising Hedera Hashgraph distributed ledger technology.
The Hedera public network is a next-generation enterprise-grade layer-1 protocol known for its low fees, speed, and security. It is owned and governed by large companies like Google, IBM, Dell, LG, and Boeing.
The music industry has experienced a dramatic transformation over the past decade. As the iPod and CDs have become obsolete, streaming platforms like Spotify and Apple Music have taken center stage.
Solving the Industry’s Problems Today
Often, artists are only left with a small piece of the profits. However, a new type of Web3 music platform is emerging, powered by tokenisation, blockchain, and distributed ledger technology.
Tune.FM wants to shake up the current standard by offering artists 90% of their streaming revenue, a staggering increase compared to traditional streaming services.
The project has positioned itself as a conduit for artists seeking greater control and compensation for their creative works, where artists can receive 10 to 100 times more for their music by eliminating intermediaries and empowering artists with greater autonomy, enabling them to monetise and distribute their music directly to their fans.
Empowering Artists
The platform’s motto is “When the music gets played, the artist gets paid.” Powered by the $JAM token, artists on Tune.fm earn streaming royalty micropayments instantly for every second their music is streamed directly from the listener.
Artists can expand their fanbase by promoting their music with $JAM, so first-time listeners can play to earn JAM to discover newly promoted music. This allows artists to earn an ROI on their promotion as new fans discover and stream their music again and again.
It’s Also for the Fans
In addition to streaming, Tune.fm also enables artists to monetise their superfans by providing exclusive access to experiences like backstage passes, meet and greets, VIP packages, merchandise, Facetime or Zoom calls, and limited access to fan clubs and group chats with the artist for news and behind the scenes content.
At the heart of this approach is tokenisation and digital collectibles like music NFTs. Tune.fm’s multifaceted music NFT marketplace allows artists to mint and sell digital assets and music collectibles with unique unlockable perks featuring immersive exclusive experiences for fans. Tune.fm is essentially modernising the business model of how artists are monetised and financed.
Tune.FM’s $80 Million Fundraise
With GEM Group’s additional $50 million funding commitment, Tune.fm is on track to revolutionise the music industry through the power of web3. The new infusion of working capital will enable Tune.fm to grow its user base and provide liquidity for its token, marketing, development, and new product offerings.
The now $80 million total investments following the fundraising event underscores the platform’s potential for sustainable growth and impact. With its pay-as-you-go and play-to-earn (P2E) business model, the platform facilitates seamless micropayments for music streaming via its JAM token ($JAM). This model benefits artists and allows fans to discover new music and support their favorite artists.
What’s next for Tune.FM?
Looking ahead, Tune.fm will soon launch a desktop application for Mac and Windows to complement its mobile apps in the Apple App Store and Google Play Store. As Tune.fm continues to build on its unique model, the question remains: can it truly disrupt the streaming status quo? While streaming giants have deep pockets and extensive reach, Tune.fm’s $80 million in funding suggests that there is significant belief in its vision.
Ultimately, Tune.fm is about more than just a new streaming platform; it’s a challenge to the old guard. Whether it succeeds will depend on how effectively it can balance its technological innovations with its promise of a more equitable music ecosystem. For now, all eyes are on how this ambitious player will navigate the complex, often treacherous waters of the music industry.