Blockchain technology is essentially a detailed database shared across potentially millions of computers which safely stores a vast array of information depending on the user’s requirements. Not only is it safe, and continuously updated, but it is time stamped and permanent. Furthermore, the history is stored indefinitely.
You are probably wondering why this could be important for the music industry. Actually, it could prove revolutionary for a number of things. To keep things legal, let’s consider unregistered copyright works. The availability of a chain of events for copyright works from its founding block, all the way through to licenses, and assignments could save a mass amount of time in the long run. A blockchain would keep track of the whole life of a piece of work and provide an untampered, reliable source of information/records that could also be available publicly and offer certainty of ownership. Above all, a database of this sophistication is near on impossible to crack.
Now put this into the context of the music industry. Having a chain of events, with music data stored, licenses transferred, and everything logged. More importantly imagine if the chain can go the other way. Usage can be logged, calculations made on royalty, and even more incredible, payments transferred across in the form of cryptocurrency.
This new technology is the future. Already there are companies getting in on this ideal. Vezt, work by for example by allowing rights-buyers (including fans, music professionals and brands) to buy song rights during the ISO (which Vezt have trademarked, and stands for initial song offering) and the artists receive funds credited to their account immediately. The song rights information is encoded on Vezt’s blockchain. Song royalties are then collected from Performing Rights Organizations in 137 countries around the world, as well as STEM, which aggregates digital performance royalties from Spotify, iTunes, YouTube, Pandora, etc. Vezt transfers those earnings back to the artists and rights-buyers, creating a new marketplace, with no limits. See https://vezt.co/ for more information
Because this is a form of digital rights management, there are protection available that would assist in this development, such as Ss. 296-296ZF CDPA (Copyright Design Patents Act 1988) and cases such as Sony v Ball have applied this Act after a modification chip was developed and used to for PlayStation gaming. The basis for blockchain technology is truly revolutionary. In fact, if there was a central blockchain database maybe even controlled through central government that everyone in the music industry can use, then it will become the norm. Legislation could be passed to coincide with it, and it will make the legal profession easier to manage. Being able to trace back through the chain for detail. Advise clients on their standing, and whether there is any break in the chain and how it can be legally dealt with are examples. The future is in Blockchain technology for the music industry.
Watch this space……..
