Jalan Sukses: Muzika: Blockchain Ecosystem to Disrupt the Music Industry

Business Idea

The global music industry is a tremendous one. In 2017, the revenues from the industry were around 16 billion USD, showing the predominance of three major record labels: Universal, Warmer, and Sony. The global recorded music market grew by 8.1%. Among the various revenues streams, over a third came from global streaming. In particular, approximately 176 million users of paid subscription services (such as Spotify or Deezer) shaped this revenue stream.

Nonetheless, many issues remain, mostly around the payment of royalties to artists. Music creators often find it challenging to properly see the reward of their work in a business where many intermediaries control revenues. A report suggests that for every $1,000 of music sold, the average musician gets a paltry $23.40 (just over 2%). Another dramatic stat shows that music producers get barely anything out their song played on air: on Apple Music, musicians earn $0.00783 per stream. They receive $0.00397 per stream on Spotify and $0.00074 per stream on YouTube. To meet the US monthly minimum wage, musicians would need over 188,000 total plays on Apple Music (and even more on the competing platforms).

To summarize, musicians do not make much money from album sales, cannot claim or follow up on royalties efficiently, and on top of that, face RIAA file sharing issues. Introduces you to MUZIKA! this new ICO is entering the market with a lot of potential. By creating a new digital music ecosystem as a move towards decentralization, Muzika is planning to undertake the role of existing intermediaries and actualize a fair distribution structure. So, let’s dive right into out Muzika ICO to know all its worth.

About Muzika

Muzika is digital music ecosystem will function as a channel for distributing and publishing music content while providing fair compensation to artists. Fans will also get to partake in all stages of a song’s lifecycle, ranging from sponsorship and production to consumption. Muzika plan is to “reform how value is created and captured by various players within the industry.” The rewards will be returned to those who create the value while recovering the share lost from digital piracy through blockchain technology.

Muzika aims to provide musicians the best of both worlds: a higher commission rate for their creative content and a strong user base. Muzika has developed a strong system for incentivizing fans to contribute to the Muzika ecosystem. These incentives will build the userbase necessary for Muzika to provide both higher commissions to artists along with the mass userbase of traditional music streaming sites. The network effect from a mass userbase will be the key to developing an autonomous, self-sustaining ecosystem. In other words, Muzika can provide musicians with 90% of $1,000.

How It works?

Muzika’s digital music ecosystem will function as a channel for distributing and publishing music content while providing fair compensation to artists. Fans will also get to partake in all stages of a song’s lifecycle, ranging from sponsorship and production to consumption.

Overview of the Muzika Ecosystem:

Within this self-sustaining ecosystem, community members are rewarded with loyalty points for a variety of community activities, including voting, commenting, posting, and sharing songs. These loyalty points are then converted into Muzika’s utility token, MZK. The ecosystem also provides a direct link between sponsors and artists, enabling sponsors to pay artists directly for their music.

All transactions between sponsors, fans, and artists are recorded on the blockchain, which is a decentralized, secure, and immutable ledger. Outside streaming services are also able to participate in the ecosystem using the same shared blockchain ledger, which ensures ultimate transparency when accounting for the number of streams and subsequent royalty payouts.

Muzika Features

Blockchain technology will protect and provide official proof of evidence for copyright of all music sheet.
Smart contract will allow digital musical products to be transferred directly from artists to fans, ensuring fairer and more transparent economic distribution.
Fans will be rewarded with loyalty points for their various community activities, which will be regularly converted into MZK coins - the sole medium of exchange for all economic activities in the ecosystem.
Fans will have opportunities to make direct sponsorship to their favorite artists, supporting them and receiving exclusive benefits in return.

Muzika Token (MZK)

Muzika is backed by an already established platform called Mapiacompany that has about 2 million active users covering over 150 nations in terms of subscribers and artists from more than 30 nations. Now, in order to create a loyal and incentivized community, the company is going the blockchain route.

Drawing inspiration from popular Steemit project’s community, the Muzika Coin (MZK) has been created. The sole medium of exchange within the Muzika ecosystem, it will perform four functions viz. community building, means of transaction for commercial items and service, sponsorships opportunities, and community programs.

In order to obtain MZK, there are three options namely, participating in the ICO, cryptocurrency exchanges, and loyalty points.

Out of the total 1 billion MZK tokens, 20.5 percent i.e. 205,000,000 tokens will be up for sale. The major chunk of the tokens i.e. 40 percent is allotted for the reward ecosystem. Partnership and team both get 10 percent each of the MZK tokens. About 14.5 percent will go to reserve while remaining 5 percent is for advisors.