Web3, dubber by some the next phase of the internet, is gaining traction as more platforms and startups integrate blockchain technology to enhance user experiences, including in the music industry.
Over a month ago, the Web3 Music Association (W3M) was set up as a new global music industry trade body that aims to “facilitate industry-wide research and development.”
Now, DRiP Haus, a creator platform on the Solana blockchain, has announced the acquisition of Vault Music, a platform specializing in limited-edition music releases. This acquisition aims to bolster the on-chain music experience on the Solana blockchain, DRiP said Monday (July 1).
DRiP describes itself as a creator platform on the Solana blockchain that allows artists and creators to distribute digital works like art and music.
Financial terms of the deal were not disclosed.
Following the acquisition, all Vault Music drops and users will transition to the DRiP platform. DriP says this transition aligns with the upcoming release of its mobile app, which promises to expand the types of content and experiences available to its users, including news, video, and podcasts.
Vault Music, co-founded by the minds behind FanDuel, has been a player in the Web3 music space since it was founded in November 2021.
Its platform allows artists to create exclusive, limited-edition releases, creating a unique model that rewards top fans and generates new revenue streams. Artists benefit not only from initial sales but also from perpetual royalties on every resale within Vault Music’s secondary market.
“Vault was our first music partner on DRiP,” said DRiP CEO Vibhu Norby. “They did a phenomenal job harboring musicians from outside of the existing ecosystem, and we’re excited to help them continue that effort.”
Vault Music’s roster of artists includes FLETCHER, Kids That Fly, Caroline Rose, AKTHESAVIOR, Naika, BLÜ EYES, and more. The company claims to have released over 100 music drops a year from its breakout artists.
“We’re incredibly proud of the tools and community we’ve built to help independent artists sustain their careers directly with their own fanbases,” Vault Music CEO Kara Burney said.
“DRiP shares our belief that web3 technology can be used thoughtfully to create true ownership and new royalty models that did not previously exist for artists.”
Kara Burney, Vault Music
“DRiP shares our belief that web3 technology can be used thoughtfully to create true ownership and new royalty models that did not previously exist for artists.
“Ultimately, this is a win for our community, who believed that on-chain music could make a sustainable difference in the livelihoods of artists, and improve fan experiences in the process. We believe wholeheartedly in DRiP’s vision to transform the creator economy, and we are grateful to be a part of their ongoing investments to serve the music industry.”
DRiP’s mobile app is slated for release later this summer on Android and iOS, said Norby. The app, currently in alpha testing, will feature a built-in wallet and music-specific functionalities.
DRiP says it has already attracted established Web3 artists and mainstream names like Jason Derulo and Waka Flocka Flame.
The platform’s vision extends beyond music, aiming to become a comprehensive hub for diverse content creation. Creators will have the ability to share news, videos, and podcasts directly through the DRiP app and compatible wallets like Phantom.
The deal between DRiP and Vault Music arrives at a time when Web3 music companies are attracting significant investments. Earlier this year, TRAX, which describes itself as a Web3 music startup for “superfans,” raised $2.9 million in a decentralized funding round.
In January, San Francisco-headquartered Tune.FM, which describes itself as a Web3 decentralized music streaming platform, secured $20 million in funding from LDA Capital.
Sona, a Web3 music streaming platform founded by DJ TOKiMONSTA, raised $6.9 million in its seed funding round in December 2023. Subsequently, Sona partnered with Tuned Global for content delivery tools and reporting services.
Music Business Worldwide