I just read an article about the reality of Korean music market.
According to a Korean musician, when his music is downloaded for 50 cents (600 KRW), he gets only 1.5 cent (17 KRW), and other 97% of profit goes to music dealers. With regard to streaming he earns 0.6 cents per play. This is a crazy market.

Will Music help this artist? If so, I would like to promote Bitshares Music to Korean musicians.

Cob, can you reveal the specific profit ratios for downloading and streaming?

It's important to remember that sometimes (often!) the artist is splitting the income with many other people/entities. The writers, the publisher, etc.
So those numbers are scary indeed! But they might result from a really bad deal that artist got from his label. PeerTracks won't be able to help in that sense. The deal you have with your business partners is a deal, blockchain or not.

That all being said, putting your music up on PeerTracks will be much better for all parties involved.

The cut taken by this project will be tiny. Nothing compared to the numbers you read about. I don't have exact numbers since we do not have our exact costs of operation yet. Keep in mind there are ways to offset costs too.


I'll leave it at that for now. Stay tuned.

YES!

We have been watching this very closely.
We are pretty confident our model can completely change that.

The big artists will make WAY more from streams. Many times more.
The smaller/newer artist will still make little  from streams just like today. The minimum being the royalty payment of course. The logic behind this is that the small time band is not trying to get paid, it is trying to be discovered in order to get known and that leads to getting paid. So as a small band, you are giving up some $ now in exchange for getting discovered. So you are "paying" for discovery and fame with some of your music income. Very much like an investment, putting a small percentage away in order to make superstar bucks in a few years.

The big artist on the other hand ceases to "pay" for the talent discovery mechanism since he is already famous and pockets all the cash.

This is an over simplification by the way. It's a way to explain it that does the job for now.

By the way, the mechanism that pays the big guys mostly in money and pays the small guys mostly in fame is only possible because of the User Issued Assets and the buy back mechanism. So unless a competitor comes out with a blockchain, they won't be able to use that mechanism.
So the UIA buy back mechanism ALLOWS the artist to get paid like this ($ for big, fame for small)

The time is ripe for PeerTracks to launch. Just a little bit longer and we'll be ready to show what we have to the world.

Quote from: cob on November 16, 2014, 07:08:51 pm

We are right in the middle of an 8 day dev meetup.

This project has been narrowed down and prioritized. All I can say right now in a few sentences before we get back to work is that: THIS WILL BE HUGE.

We have stumbled upon many problems in the music industry that can be solved thru blockchain technology. This means the project could be HUGE. We are coming up with a logical step by step, prioritized MVP.

We still have a couple of days to work everything out.

Expect a massive update near the end of the pre-sale.

This will affect the timing or the DAC vs proto-DAC dates and all.

Any news on that?
I don't want to appear impatient but we are pretty much left in the dark regarding what is going on behind the scenes.
Would very much appreciate more frequent updates, as it would undoubtedly raise investor confidence.

Hey Frodo.

Yeah sorry about that, here is the issue we have.

We actually have a nice wireframe and have been doing some UI user testing. The thing is, we can't show it publicly. We can't even divulge the parts that will make PeerTracks have an unfair advantage over the competition.

This space is filled with BIG competitors. We aren't trying to compete with Coinbase here. Coinbase is huge in the crypto world. But Apple, Youtube... those are BEHEMOTHS!
They can easily just take what we come up with and build it themselves. We want to have our platform 95% done before we really divulge any info.

Our goal is to get users to adopt it since we are the only one doing this. By the time the competition catches up, we want to have the community already used to using our service.

The community is what makes a platform valuable. The tech can be replicated and copied for very cheap (relatively speaking. For google, it definitely is)

For this reason, we have been much less transparent then the rest of the crypto projects out there. But remember that our blockchain's value will depend greatly on the centralized company to bootstrap it in the early stages. If that company does not attract users and artists, the blockchain won't have what it needs to really take off.

So I hope this helps a bit. PeerTracks is a traditional corporation.. a tiny fish thrown into a pool of sharks. We want to grow into a bigger fish before we come out of hiding.

Sorry for the crappy analogy ^^

The biggest problem for a fully crypto ebay is that it will suffer from the opposite problem that ebay does. Ebay suffers from rouge buyers, who receive the item and then complain that they didn't. Ebay always sides with the buyer since there are more of them and reverses the charges.

Since there are no reversible charges in crypto, a crypto ebay will suffer from rouge sellers, who wont ship the item, but will take payment.

Would Gateways help with this? Let's say the platform functions with the UIA "crypto_ebay_USD_IOU" it can do chargebacks in those situations correct?

Another nice find!

Awesome read. Thanks.

We want to make each song uploader put in the names of each other individual involved with that song with the % he is owed when the song is played or sold. As far as putting that info up on a decentralized ledger, it's not part of the MVP.

This could be an amazing feature of the DAC though. This is the kind of thing that can attract competitors in the space to also plug into the blockchain since it's the best and most cost/time effective way to get the royalties paid out.

If everyone switched over from the archaic system to our blockchain... that's a whooole new revenue stream coming in.

This is one thing Eddie is really pushing for actually. We just had to prioritize all the features we wanted for this project and focus on the main one. Right now that's a curated streaming site. 2015 is going to be nuts.

Oh anybody care to fill me in on the key graphs thing? Damn I'm out of the loop with other projects. What is it, and how could it help?

Hey cob. Looking forward to canceling my Google All Access subscription! You should consider letting NOTE holders pay their subscription fee in terms of NOTEs on PeerTracks!

Also is the music foundation considering liquidating some of the BTC received to fiat / bitUSD to shield against price fluctuations? Would suck if you lost some of the Pre-sale to volatility.

The subscription will be in Note USD. And the on-ramp we are considering will allow you to pay with crypto anyway.

As far as the hedging against volatility, our main cost where the devs (BitSapphire), and that is being taken care of as we speak. So we have locked that in at least. If bitcoin goes down, we've at least guaranteed PeerTracks will be built. The funds for other stuff would be affected, like marketing, legal stuff, etc.

And we intend to get some investors into the peertracks corporation itself. So you can be sure the music project will be sufficiently funded to see this through to the final product.

And yes kickky, big group hug! lol

Wait what?!

Haha ok this might need some explanation. I was thinking about token controlled access last night and how with the music project, artist will be able to offer perks to anyone that holds their respective artist tokens.
If you have 10 tokens you get 20% off all merch and music. if you have 50 tokens you have 50% off, 100 tokens and everything is free, 150 tokens are you are a VIP member, you get to go to concerts, you can see new stuff early, and have access to the classic showercam ^^

Now I started thinking about big businesses using this concept. I'm sorry if this subject was covered to death already but I've been a bit busy with the Music project these past months!
So anyway, big firms, yeah. Imagine an insurance company that uses this principle. The firms has it's regular price for medical insurance, says 100$/month. But token holders get a discount. Say 1 token = 1% discount on your premium. People would no doubt like to have free health insurance and so people might scramble to get 100 tokens. This means TONS of capital flowing into that market. You essentially opted in to "universal healthcare" no monthly costs, just buy and hold. Whenever you are moving abroad or switching companies, you can actually sell your coverage. a satoshi at a time if you want. There would be a market value for your insurance tokens.

It doesn't have to be one size fits all either. Smokers might need 110 tokens to be covered, if they stop smoking, it's back to 100, they can then sell off 10 of their tokens on the market to whoever wants health care discounts.

So that lead me to blockchain communism lol

What if a company called communism inc. basically did this. If you hold our "Communism INC token" you get taken care of.
You have x tokens, you get 10% all health insurance, public transportation, grocery store bills, etc.
If you have y tokens, you get 50%.
And of course if you have z tokens, you are part 100% taken care off and so are you spouse(s) and kids.

This btw is pure brainstorming. Holes everywhere I know but let's pick everybody's brain here.

Say you had a DAC that did something like this.
I don't know how it would work but it's an interesting thought.

I wonder how the economics would work. Say everyone wanted 100% health coverage. It would make the tokens skyrocket for sure, and I'm sure those that are healthy would probably cash out instead of keeping all those tokens while in real good health. It would be a mechanism to see who wants health care the most. A kind of rationing system for scarce ressource.
Now one thing I haven't thought through at all is the income of that company. If everyone just buys the token, how does the insurance company make $? Sure their market cap is going through the roof but how are they paying off the bills.
I think that's where dilution comes into play. If the company is a DAC or plugged to a DAC, it could dilute and sell some new tokens on the open market to fund operations.

Anyone want to take it over from here? I'd love to see a discussion about this. I must be missing something!