TLDR
- Tune.fm, a blockchain music startup, raises $50M from Global Emerging Markets
- Total funding for Tune.fm now reaches $80 million
- Funds will be used to reward artists and users within the platform
- Tune.fm offers music streaming with an integrated NFT marketplace
- The platform is powered by the Hedera blockchain
Tune.fm, a decentralized music streaming platform, has recently secured a significant investment of $50 million from Global Emerging Markets.
This latest round of funding brings the total investment in Tune.fm to $80 million, marking a major milestone for the blockchain-based music startup.
The platform, which combines music streaming services with an integrated non-fungible token (NFT) marketplace, aims to revolutionize the way artists are compensated and how users interact with music.
Tune.fm’s unique approach allows artists to receive micropayments for every second their music is streamed, while users can earn tokens by discovering and listening to newly promoted songs.
The fresh capital will be primarily used to provide liquidity for the platform’s native cryptocurrency, the JAM token. This token plays a crucial role in the Tune.fm ecosystem, serving as the medium for rewarding both artists and users within the platform.
Tune.fm’s innovative model is built on the Hedera blockchain, known for its high-speed and low-cost transactions. This technology enables the platform to offer a seamless experience for users while ensuring fair compensation for artists.
One of the key features of Tune.fm is its user-friendly approach to blockchain technology. New users can create an account and start listening to music immediately, without the need for a pre-existing third-party wallet.
Upon joining the platform, a blockchain wallet is automatically created for each user, simplifying the onboarding process for those unfamiliar with cryptocurrencies.
This latest investment round adds Global Emerging Markets to an impressive list of backers. Previous investors in Tune.fm include LDA Capital, Alpha Token Capital, Block Alpha, Animoca Brands, The HBAR Foundation, and GDA Capital, among others.
The continued support from these prominent investors underscores the potential of Tune.fm’s vision for the future of music streaming.
Tune.fm’s approach addresses a significant issue in the current music streaming landscape. Traditional platforms often leave artists with a small fraction of the revenue generated from their music.
For instance, market leader Spotify reportedly pays artists an average of $0.003 to $0.004 per stream, with earnings only starting after 1,000 streams in a 12-month period.
The global music streaming market is projected to reach a revenue of approximately $34 billion by 2027, according to Statista. As the industry continues to grow, platforms like Tune.fm are positioning themselves to offer more equitable solutions for artists and enhanced experiences for listeners.
Tune.fm is not alone in exploring the intersection of blockchain technology and music.
Other platforms, such as Royal, backed by venture capital firm a16z, allow fans to co-own music copyrights by purchasing NFTs tied to songs. Similarly, eMusic, a long-standing digital music platform, introduced its own cryptocurrency in 2020, promising direct revenue to artists.
