Q) So I see a talented artist's coins are really cheap so I spend some BitUSD to get them. I then want to spread the word to my friends on facebook, but they aren't into crypto so dont have any BitUSD. What do I do about this? Will PeerTracks accept credit cards as a substitute to buy BitUSD first?
Q) Im trying to fully understand the buy-back process. An artist initially offers 10000 coins at 1 dollar each for example, and half of then are bought up. The artist gets the usual 80% of each sale, but where does the 20% go to, as there are not yet any other coins for sale in the hands of users?
-Do the 20% of the initial sales sit waiting to buy-back coins as soon as some of the initial buyers start selling?
-What if the initial buyers sell their coins back undercutting the initial artist sell price of 1 dollar?
Q) How soon can we expect to see artists sign up to PeerTracks ? Any confirmed ones yet?
Thanks for any explanation on this.
I think it's a mistake to let artists try and set a price. The market should determine the price otherwise you'll have a lot of music which doesn't get purchased at all because artists set the wrong price.
With altcoins every altcoin finds it's price. How does an artistcoin find it's price? I think the way it should work is to just get rid of the whole salary stuff and just let artists use their own coins.
If you buy their coin you buy their song. The moment you redeem the coin then the coin is destroyed and you're left with the song. This way the more songs there are which get sold the less coins remain and the price of the song goes up as market and trading activity goes up.
What if a song is worth more than $1? The price can't go up beyond that even if demand suggests people would pay more than $1. There has to be more options for artists on how to find the price.
1) Let artists choose to let the market find the price of the song.
2) Let artists choose to set the price themselves.
3) Let artists choose to let the fans set the price for them.
It's probably not a good idea for artists to set the price for their songs because every artist is going to set the price higher than people are willing to pay. The only way they could do this is if the songs are for mixtape where in the IPO the mixtape is extremely cheap because no one has heard it before and then over time the fans turn the mixtape into an album by working with the artist to develop a marketing plan, album cover, video, and perhaps more.
Fans aren't going to develop an artist if they can't either set the price themselves and determine a split which favors the fans, or let the market set the price. In my opinion it would be suicide for an artist to try to sell a mixtape at an 80/20 split with fans. The fans should get 60 and the artist 40 because typically a mixtape doesn't get sold at all and is just downloaded.
If it's an album where the artist did all the work, the cover art, the video, and just needs the fans to tell their friends, in that scenario I think the artist can do 50/50 or even 80/20 because the artist did all the work and just needs the fans to share the song.
I think the default split should be 50/50 because I think a lot of artists will fail if the default is 80/20. Fans will put all their effort into the artists offering 50/50 splits or better and unless the artist offering 80/20 already has a machine behind them they'll have trouble. If NAS or Snoop Dogg were to go on Peertracks and offer 80/20 to the fans then I'd think it was fair but independent artists aren't going to get away with that split.