According to CoinDesk, Web3 music platform Tune.FM has secured $20 million in funding from alternative investment group LDA Capital. The platform aims to help musicians earn a larger share of royalties from their work by utilizing Hedera Hashgraph's blockchain technology. Tune.FM enables artists to receive micropayments for streaming in its native JAM token (JAM) and mint non-fungible tokens (NFTs) for digital music assets and collectibles.
Tune.FM stated in an emailed announcement that the current major streaming platforms allow large corporations to take the majority of profits, leaving artists with a small portion. The company aims to disrupt this standard by offering artists up to 90% of their streaming revenue. Decentralizing industries where money and influence are concentrated in a few hands is often considered a potential mainstream use case for blockchain technology, but this potential remains unproven.
The return of a digital asset bull market could lead to more capital flowing into platforms like Tune.FM, allowing them to test the theory in practice. Tune.FM's existing investors include Animoca Brands, the HBAR Foundation, and Broad Street Angels.
