Spotify is reportedly developing a new tool that would allow musicians to market their Non Fungible Tokens (NFTs) to a wider audience. Even if the NFTs mania is dying down, musicians on Spotify do have the option to market their products and tickets on the site.
As part of a beta test, Spotify is assisting a select number of musicians in promoting their third-party NFT offers via their artist profiles.
Artists like Steve Aoki and The Wombats, who were early users of NFTs, look to be taking part in the trial. Spotify’s Android app in the United States is now being tested by a “limited” group of users, who can see a preview of NFTs on the artist profiles. For those who want to see and purchase these items, they may just tap through.
NFTs aren’t being sold on Spotify, and the company isn’t collecting a piece of the revenue from NFT sales either. Spotify may use the information gleaned from this experiment to guide future decisions.
What are NFTs?
In the world of cryptocurrency, there are plenty of different types of tokens. The most common type is a security token, which is backed by something tangible, like stocks or real estate. Non-fungible tokens (NFTs) are a little different. They’re built on top of blockchain technology and can represent anything from a physical object to digital goods.
An NFT is an asset that has its own unique identifier or serial number — it’s non-fungible because every item is different and cannot be substituted with another item in the same class. Non-fungible goods are not interchangeable and each one is unique. For example, your house could be considered a non-fungible asset since it can’t be substituted with any other house in the world.
So, an NFT could be anything from a piece of art on the blockchain to a unique piece of clothing or even an individual tokenized share in a company’s stock.