The Solution: Songshares

Our solution is simple: convert each song into 10,000 tokens (Songshares) representing 100% of the artist's revenue. Artists can then freely sell or trade these Songshares for funding or services they need. This even includes the possibility of temporary loans to third-party companies.

This system allows artists to:

• Secure funding from fans directly
• Use song royalties as a currency to pay other professionals
• Sell or lend Songshares under their preferred terms

Phase 2: Empower Artists and Fans

Once an equal playing field is created where each Songshare represents the same ownership rate in any song (0.01%) and all musicians are treated equitably, we can conduct the first sales and transfer tests of Songshares.

From now on, artists will be able to know exactly who is profiting from their work and to what extent, while ensuring that all stakeholders receive their payments simultaneously. This transparency opens the door for artists to use their royalties as a form of currency:

1. Flexible Funding:

   Artists can generate Songshares for upcoming songs before distribution, using them to secure funding, pay collaborators, or incentivize merchandise purchases/content sharing. Songshares can even be "rented" to third parties. This empowers artists to retain ownership of digital distribution revenue, even when signing with managers, labels, or distributors.

2. Live Royalties Payments

   Songsshares aim to streamline royalty payments to a model in which the listener money arrives the fastest possible to the author of the track.

Examples

• An artist selling 50% of their Songshares (representing 50% of future revenue) at $1 each would receive $5,000. Currently, an artist would need 2-5 million streams to earn this amount. For fans, this is a minimal investment that supports the artist while granting access to song statistics and the ability to resell their Songshares. Imagine owning Songshares of your favorite songs! What would this mean for artists to obtain this level of funding without surrendering their masters to third parties with opaque exploitation practices?
• An independent artist wants to upload their song directly to DSPs. As they are just starting out, their priority is to gain fans over potential future profits from the song. Dynamics could be created to incentivize fans to share their music in exchange for Songshares, such as "1 retweet for 1 Songshare". These people who share the artist's music and receive a Songshare will become "micromanagers" or "superfans", gaining access to the song's statistics and having a real incentive in the artist's success.
• A music band composed of N members is releasing an album and wants to distribute the shares among themselves in a specific manner. Before the album's launch, a record label shows interest in them. These N artists could allocate X% of the total Songshares to the label, extracted proportionally based on their shares, and specify the duration of the Songshare loan to this third party. They know that once this period ends, the loaned Songshares will be returned to them. During this time, the unloaned Songshares can be freely transferred or sold at the discretion of each band member.

Once the system is in place, allowing artists to decide who holds the Songshares of their song and under what terms, blockchain technology enables the creation of a secondary resale market. This market allows buyers of those Songshares to resell them, while also giving artists the opportunity to benefit from future resales of the royalties they originally allocated: