Grammys 2022: NFTs hot topic of discussion amongst musicians and industry experts

The billion-dollar euphony manufacture has shown caller involvement successful nonfungible tokens (NFTs) arsenic musicians everyplace are beginning to recognize the power of moving distant from centralized concern models. 

This conception is presently being demonstrated by aboriginal innovators similar the fashionable rapper Snoop Dogg, who precocious acquired Death Row Records with plans to alteration the institution into the first NFT signaling statement successful the Metaverse. Country euphony icon Dolly Parton besides precocious launched her archetypal NFT collection dubbed “Dollyverse,” which consists of tokenized artwork and euphony arsenic portion of a promo for her medium Run, Rose, Run. 

NFTs: A taxable of treatment during the 2022 Grammy Awards

While notable, the intersection of euphony and NFTs was brought to fruition during the 64th Annual Grammy Awards, which took spot connected April 3, 2022, astatine the MGM Grand Hotel and Casino successful Las Vegas. The Grammys whitethorn precise good beryllium 1 of the astir important events for the United States euphony industry, arsenic a bid of awards presented by the Recording Academy are fixed to admit outstanding achievements wrong the euphony sector. 

Given the emergence of NFTs, nonfungible tokens were blistery topics of treatment during the 2022 Grammy Awards. Trevor Noah, comedian and big of the 2022 Grammy Awards, joked mid-way done the event, “You cognize it’s been unsmooth erstwhile your favourite artists spell from trying to merchantability you euphony to pictures of integer monkeys.” The remark was referencing the Bored Ape Yacht Club NFT collection. But, NFTs proved to beryllium much than conscionable a chuckle during the Grammys this year, arsenic manufacture experts expressed involvement successful nonfungible token usage cases. 

— Cointelegraph (@Cointelegraph) April 3, 2022

For example, Tia Smith, Grammy politician and co-chair of the Music Video Committee, DC Chapter and the owner/executive shaper and manager of talentedSOL productions, told Cointelegraph that she is funny successful learning much astir NFTs and what they mean for the originative assemblage arsenic a whole:

“NFTs look similar a precise viable signifier of look and commerce. There person been truthful galore antithetic industries adopting NFTs, and I’m precise funny successful creating contented and forming partnerships to make NFT artwork arsenic an hold of music, tv and film.” 

Tia Smith (center) with Cointelegraph elder newsman Rachel Wolfson (left) astatine The Grammys 2022. Source: Tia Smith

Smith added that her wheelhouse is movie and tv production, noting that this peculiar manufacture has undergone a fig of transitions implicit the years. “We’ve seen the inception of film, video, digital, high-definition and truthful forth. But, determination are different ways euphony and aspects of creation are thriving, truthful I’m precise overmuch funny successful the improvement of movie and NFTs,” she remarked.

While the NFT assemblage is inactive an emerging conception for euphony manufacture experts, Smith shared that she tin recognize however nonfungible tokens could soon beryllium incorporated into large unrecorded shows specified arsenic the Grammy Awards moving forward. “We are surviving successful the property of intelligence spot and this is conscionable different hold of this,” she said. 

It’s besides notable that a fewer mainstream musicians decided to motorboat NFT collections during the Grammys this year. For example, the American rapper and grounds shaper Gerald Earl Gillum, besides known by his signifier sanction “G-Eazy,” told Cointelegraph that helium was highly excited and honored to motorboat his archetypal NFT postulation astatine the Grammys this year. Known arsenic “The Geralds,” this postulation was created by the graphic decorator Dzanar and launched connected the NFT euphony level built connected Tezos’ OneOf NFT platform. G-Eazy explained that this driblet features 10 unsocial 3D-NFT avatars that correspond his divers personality:

“Anyone who knows maine would accidental I’m an eclectic idiosyncratic with antithetic interests and hobbies. So determination are antithetic avatars successful this postulation to correspond that. For example, determination is the ‘snowboarded G’ who loves the mountains and there’s a achromatic leather overgarment G with slicked-back hairsbreadth who gets connected signifier to perform.” 

While “The Geralds'' postulation is surely unique, it’s important to constituent retired that G-Eazy whitethorn beryllium the archetypal creator to showcase an NFT postulation astatine The Grammys. G-Eazy elaborated that this was important for him, fixed the gait of innovation today. “You person to wage attraction to what’s going on, and this is wherever the satellite is now,” helium commented. G-Eazy added that helium has ever been a large believer successful creation not being constricted to 1 medium, noting that some of his parents are ocular creation professors. “I grew up appreciating galore antithetic forms of creation and I deliberation this is each cross-compatible with assorted industries.” 

In summation to G-Eazy’s NFT postulation being launched during the 2022 Grammys, Colin Fitzpatrick, CEO of Animal Concerts — a level that helps artists participate Web3 — told Cointelegraph that the Avila Brothers presented and unveiled their caller deed track astatine the Resorts World Hotel successful Las Vegas for the archetypal time. “The way features Billy Ray Cyrus and Snoop Dogg and is called ‘A Hardworking Man.’ Animal Concerts are enforcement producers,” said Fitzpatrick. According to Fitzpatrick, an upcoming NFT motorboat volition soon travel the recently released track. 

NFTs deed the reddish carpet this year, but why? 

While it’s noteworthy that NFTs were a taxable of treatment astatine The Grammys this year, it’s important to constituent retired that aboriginal NFT usage cases came into improvement successful 2017. As such, immoderate whitethorn beryllium wondering wherefore it took implicit 5 years for nonfungible tokens to participate the spotlight. 

Josh Katz, CEO of Yellow Heart — a marketplace for euphony NFTs and live-event NFT ticketing — told Cointelegraph that 1 twelvemonth ago, nary 1 successful the euphony manufacture truly knew what nonfungible tokens were. Yet, Katz believed this changed erstwhile the American stone band, Kings of Leon, released 1 of the industry’s archetypal NFT albums with Yellow Heart successful March 2021. “Following this album, everyone successful the euphony and amusement manufacture started paying attraction to NFTs. The much originative artists jumped successful first, past everyone other started to poke around,” said Katz. 

Fast guardant astir a twelvemonth aboriginal — Katz believes that the euphony manufacture is present seeing mainstream adoption of NFTs fixed the imaginable astir nonfungible tokens:

“For years, we’ve had aggregate formats of euphony content, whether this has been CDs, tapes oregon streaming platforms. But, now, fans privation to beryllium a portion of an experience. They privation to summation entree to perks and utility, truthful NFT platforms are present releasing NFT euphony that a definite magnitude of fans volition bargain from innovative artists. This volition soon go different gross watercourse which galore radical successful the euphony manufacture are present realizing.” 

To enactment this successful perspective, Katz explained that traditionally, signaling artists and musicians person micro-payments from streaming services similar Spotify that past spell to a third-party grounds label, steadfast and others. “All of these entities instrumentality a percent of the outgo and the remainder trickles backmost to the artist. We telephone this the 90/10 rule, wherever an creator volition instrumentality location lone 10% of their net and everyone other gets the different 90%.” With NFT albums, however, Katz noted that an creator tin merchantability a batch little and support 90% of their net oregon more. Katz added:

“The 2022 Grammys represents an inflection constituent wherever creativity is connected display. NFTs are the aboriginal of the manufacture and the smarter artists astatine The Grammys are alert of this.” 

Crypto companies sponsor the 2022 Grammys to further innovate 

Given this, it’s besides notable to constituent retired that 2 crypto companies served arsenic main sponsors during The Grammys this year. Binance, the fashionable cryptocurrency exchange, and OneOf, a greenish NFT level moving with musicians similar G-Eazy, some had a large beingness astatine the 2022 Grammys. Lin Dai, CEO and co-founder of OneOf, told Cointelegraph that helium was excited to spot tier-one companies successful the blockchain abstraction bringing crypto and NFTs to The Grammys:

“The Recording Academy is the astir important instauration for the euphony manufacture and we cognize they are precise selective erstwhile deciding which companies to align their marque with. We are excited that much and much crypto and blockchain companies are getting progressive with the biggest structure rod events successful music, sports and manner and we expect the inclination to continue.”

Binance logo connected show astatine The Grammys 2022. Source: Rachel Wolfson

A Binance spokesperson further told Cointelegraph that Binance wanted to person marque visibility done its caller concern with the Recording Academy. “We are exploring assorted avenues successful which we tin bring Web3 exertion to the euphony community,” the spokesperson said. While innovative from a selling perspective, the Binance spokesperson added that moving forward, Binance volition beryllium educating the Recording Academy’s members connected cryptocurrency and however blockchain tin assistance marque their concern much guardant reasoning and financially secure. 

Indeed, this appears to beryllium the lawsuit for some musicians and businesses wrong the amusement industry. For example, MGM Resorts International — the venue wherever The 2022 Grammys were hosted — precocious announced a concern with Yellow Heart to contented NFT tickets for its newest production, “Timeless.” The amusement features the creation crew, the Jabbawockeez, and volition beryllium Las Vegas’ archetypal NFT ticketed performance. 

Andrew Machado, elder vice president of integer plan and concern adjacencies astatine MGM, told Cointelegraph that NFTs for ticketing could supply worth for guests. “They crook thing arsenic mundane arsenic a performance summons into a surviving breathing integer entity that tin alteration with each concern specified arsenic entering the venue for a amusement oregon aft the amusement arsenic a collectible.” Machado added that the creator present has a one-to-one narration with the NFT owner, meaning they tin airdrop holders caller content. “For example, successful the lawsuit with Jabbawockeez, NFT holders volition person nutrient and beverage recognition astatine MGM’s Level Up lounge,” helium said. 

In presumption of issuing NFT tickets for a large lawsuit similar The Grammys, Machado believes it’s possible, but lone clip volition tell. “MGM Resorts sits astatine the intersection of amusement and gaming and we judge NFTs tin play a portion there, but clip volition archer connected user adoption.”