TECHNOLOGY

Our technology is a blockchain-based IP management system that supports the music industry in guaranteeing ownership, protective exploitation, and the financial flow back to everyone who participates in the network. 

It is designed to provide the necessary infrastructure to manage intellectual property in a way that captures the value of emerging technology such as AI and the Metaverse.

“Blockchain is the technology that enables industries to operate in a non-linear fashion. This means the value chain doesn’t follow a linear sequence, passing each participant step by step, but allows participants to cross-communicate, interact, and collaborate, through which the value chain effectively becomes an ecosystem.”

    – Sergio Mottola, President and CEO of the Web3 Music Association

The Music Industry is Looking for Innovative IP Data Availability Technologies

The music industry is transitioning towards more sophisticated data management practices to enhance data integrity and interoperability. While existing standards support data exchange among stakeholders, inconsistencies in their application often lead to errors and data discrepancies. Although the concept of a centralised global database for music rights has been considered, it has faced substantial hurdles in funding and governance.

In response, the industry has seen the emergence of openly accessible databases provided by Collective Management Organisations (CMOs) and Digital Service Providers (DSPs). However, these databases do not fully solve the problems of data comprehensiveness and interoperability. A more viable solution has proven to be data collaboration, where industry entities share and communicate data to enhance its accuracy and utility for specific applications. This collaborative approach allows for data enhancement and integration without the complexities of a centralised system, effectively tackling issues of data consistency and quality across different organisations.

Modernising Data Management in the Music Industry

The blockchain is a technology born in recent years, but inherently designed to ensure the maintenance and updating of datasets while guaranteeing data integrity, and traceability.

Technological progress in the blockchain field is very rapid, and recently, even high levels of scalability compatible with managing high-frequency transaction systems have been achieved. This includes decentralised data storage functionalities that until a few years ago were unthinkable.

All this constitutes a great opportunity for the music industry: blockchain can be used to create a global market infrastructure that, thanks to the data availability it guarantees, reaches the highest level of security, transparency, and absence of counterparty risks in data management. The same infrastructure can also become the global growth engine, digitising all processes related to IP management, ownership, and licensing.

Enhancing Revenue Through Collaborative Data Management

For the music industry to maximise revenue, rights holders and other stakeholders must engage in effective data collaboration. This involves sharing and managing data across the supply chain, possibly facilitated by service providers specialising in continuous data management. Data collaboration leverages existing standards for identifiers, messaging, and metadata, and utilises APIs and open databases to circumvent the challenges of centralised data repositories.

This strategy not only addresses the common issues of incomplete or inaccurate rights data but also fosters substantial financial and qualitative benefits for all parties involved. Stakeholders engaging in collaborative data management have reported potential revenue increases of up to 20%.

Our Unique Technology Stack

Our technology is uniquely designed to support the music industry’s needs. It stores and manages key data elements—recordings, works, products, and participants—for each client, creating a comprehensive dataset. By comparing, scoring, and matching data, our system constructs a ‘best-known truth’ composite that benefits the entire music ecosystem.

Addressing Structural Data Challenges

The rapid expansion of the music industry and the proliferation of platforms and rights holders contribute to significant financial losses due to poorly structured data. With over 300 licensed music DSPs worldwide and CISAC’s affiliated organisations representing more than 5 million creators, the stakes are high. The daily addition of tracks and the volume of royalty transactions highlight the urgent need for improved data structures in music, metadata, and licensing information.

Managing User-Generated Music Content

The rise of music use on social media platforms, such as TikTok, has shifted focus towards user-generated content, often overshadowing the original artists. Traditional licensed music libraries and fingerprinting methods fall short of capturing and monetising these uses effectively. With European legislation placing increased pressure on online services to secure proper licences for copyrighted material, the importance of robust metadata and licensing data management has never been more critical. Our technology ensures that the underlying music assets are accurately linked to their metadata and licensing data, maximising licensing opportunities across these platforms.