Blockchain-based music investment platform Royal raised $55 million in November and attracted funding from artists like The Chainsmokers, Nas, Logic, Stefflon Don, Kygo, Joyner Lucas and Disclosure.
Today, Royal, co-founded by Justin Blau, aka musician and producer 3LAU, has revealed that one of those backers, hip-hop legend Nas, will be the first artist to let fans invest in his music on the platform.
On January 11, fans will be able to invest in Nas’s music by buying shares in the royalties earned from streaming for two of his tracks: Ultra Black, the lead single from his 2021 Grammy Award winning-album King’s Disease, and Rare, a single from follow-up 2022 Grammy Award-nominated album, King’s Disease II.
Both albums were released via Nas’s label Mass Appeal.
Fans can invest by buying ‘limited digital assets’ (Royal’s extended version of an NFT) in the form of “Gold”, “Platinum” and “Diamond” digital tokens for each single, and the owners of the tokens will receive a share of royalties every time the track is streamed.
If you wanted to invest in Rare, for example, buying one of 700 available Gold tokens at $99 will get you a 0.0133% share in what the track earns from music streaming.
Platinum tokens for Rare, of which there are 400 available, will be sold at $499 for a 0.0658% share and buyers will also get access to exclusive merch, plus all Gold Perks.
Only 10 Diamond tokens for the single will be sold at a cost of $9,999 each, in exchange for a 1.5789% share, in addition to two VIP concert tickets, exclusive signed vinyl, a video conversation with Hit-Boy, plus all Gold and Platinum Perks.
Ultra Black’s Gold, Platinum and Diamond tier tokens cost $50, $250, and $4,999, respectively, for a 0.0143%, 0.0857%, and 2.1400% share of what the single earns from streaming, respectively.
The Ultra Black tokens come with the same perks as those attached to Rare’s tokens, and there are 500 Gold, 250 Platinum and 10 Diamond tokens available for the single.
Royal claims to have “proved its concept in its initial interaction on the platform” in October 2021, after 3LAU gave away 333 limited digital assets (Royal’s extended version of an NFT) representing 50% streaming ownership in his single, Worst Case.
Royal reports that the song “has already reached an implied value of close to $12 million, with fans holding half of that value”.
Royal adds that the tokens have seen $1 million in secondary market trading volume.
In November 2021, Royal’s $55 million Series A funding round was led by Andressen Horowitz with participating investors CAA and NEA’s Connect Ventures, WME, Crush Music, Coinbase Ventures, Founders Fund and Paradigm.
Royal’s Series A round followed a successful seed round in August, which raised $16 million.
“I am always looking for new and unique ways to connect with the people.”
“I am always looking for new and unique ways to connect with the people,” said Nasir “Nas” Jones.
“so I am excited to partner with Royal on their new endeavor in order for the world to connect with my music in a new way.”
“Having Nas be the first artist to sell royalty rights through Royal is an incredible affirmation of our mission.”
Justin “3LAU” Blau, CEO and Co-founder of Royal, added: “Having Nas be the first artist to sell royalty rights through Royal is an incredible affirmation of our mission.
“It’s proof that artists across genres feel strongly about democratizing ownership of their music, and that they want to be connected to their listeners on a deeper level.”Music Business Worldwide