Universal Music Group has partnered with NFT platform Curio to develop NFT collections
Universal Music Group has partnered with NFT platform Curio to develop non-fungible token (NFT) collections for its record labels and artists, the companies said Thursday.
The deal is an important step in a potentially new revenue stream for the world’s largest music company, which, like its rivals, relies heavily on streaming music for its financial survival.
Universal Music said it plans to partner with Curio to develop digital artwork and other collectibles for the company and its artists. Curio will also serve as an online retail outlet for fans to purchase officially licensed NFTs, beginning in March with a collaboration between Capitol Music Group and British singer-songwriter Calum Scott.
Michael Nash, Executive Vice President of Digital Strategy at Universal Music Group, said NFTs and Web3, the next generation of the Internet built on blockchain technology, provide an opportunity for labels and artists to create unique digital products for fans at a time when streaming has made access to music ubiquitous.
“With Web3, we have the ability to have ownership in addition to access,” Nash told Reuters in an interview. NFTs are unique data files that can be music, art, and more.
“With all the innovation that is happening around Web3 and NFTs, you have the opportunity to make all kinds of digital products available that provide that property… And you have technology-enforced scarcity so you can appeal to collectors,” said Mr. Nash.
Universal is actively looking for ways to capitalize on the growing popularity of digital collectibles, going so far as to form a music group, Kingship, made up entirely of monkey-like characters from NFT brand Bored Ape Yacht Club. Living as unique items on the digital blockchain, the animated monkeys have become coveted prizes for Hollywood celebrities and other collectors.
In Curio, Universal found an executive who was well acquainted with the company, as Co-Founder and Co-Chief Executive Officer Ben Arnon previously worked at Universal Music Group. One of Curio’s advisors, Marc Geiger, is the former head of music at talent agency William Morris Endeavour.
The partnership is a milestone for Curio, which was founded in 2020 and dropped its first NFT last February. The company has subsequently released more than 75,000 digital collectibles in collaboration with partners from the music, film and television industries.
The platform features NFTs inspired by Neil Gaiman’s “American Gods” television series and Universal Pictures’ cult classic “Scott Pilgrim vs. The World from 2010”.
Mr Arnon told Reuters that he built his NFT marketplace so that it would be accessible to mainstream consumers, including those who have never used cryptocurrency before.
