The world’s biggest music label in the world, Universal Music Group has entered into a deal with music digital collectibles marketplace and NFT licensing platform LimeWire, to help artists promote their music using NFTs. Following the deal, artists under the music label group can sell audio and audiovisual content, artwork, bonus tracks, backstage footage, images, and other content as NFTs on the marketplace.
As a result, the deal could, in turn, make NFTs popular with thousands of musicians and their fans. It could also rejuvenate the NFT euphoria now that NFT sales have been going south in the recent past. But it is not the first time the music industry is embracing the NFT euphoria. In March last year, Kings of Leon released the first-ever NFT album titled When You See Yourself which generated $2 million in sales. Many other musicians and studios have hit headlines with music NFTs and the trend is yet to die down.
Based in the Netherlands, Universal Music Group is home to over one hundred music labels and brands and many popular musicians including Lady Gaga, Eminem, Justin Bieber, Rihanna, Andrea Bocelli, Taylor Swift, Lil Wayne, Maroon 5, and many more.
According to the Wednesday announcement by Universal Music Group, the deal will open up new revenue streams for musicians and at the same time provide exciting ways through which they can engage with their fans. The artists and labels under UMG will create music NFTs and collectibles and sell them directly to fans and collectors on the LimeWire platform.
“Universal Music Group and our labels are fully embracing the exciting web3 space and will work with LimeWire, our artists, and their communities on engaging NFT projects with real utility and creating cool experiences for fans, while allowing mainstream consumers to participate in a safe and trusted environment with low entry barriers,” said Holger Christoph, the group’s Senior Vice President of Digital Business in Central Europe.
LimeWire CEOs Paul and Julian Zehetmayr said the partnership demonstrated the pace at which the music industry was embracing web3 technology. The two said they are looking forward to the first music NFT on the platform. The company will not only provide the technology and marketplace connection but also will facilitate credit card payments, handle gas fees and reduce technical handles related to the use of NFTs by customers.