What the DAO can offer independent artists + The emergence of Web3

The Decentralized Autonomous Organization, or DAO, is a business model gaining a lot of attention now thanks to Web3. As we discussed in this article, the DAO is a business where the CEO is a code. It’s a community where the members agree to a certain set of rules and allow the code to activate automatically when a task is assigned. Governed by a native crypto token, any token-holding member is allowed to vote on the important matters relating to the DAO. This model can prove beneficial for music artists and content creators in general. But before we take a deep dive into the DAO, let’s skim over what exactly Web3 is.

Web3 and the DAO

Web3 is a term that references the major shift in the infrastructure of the world wide web. The web has evolved greatly since coming. Web2 is the name used to describe the current version of the internet.

The Timeline

Web1, 1991-2004, the first iteration of the internet was a ‘read-only’ style web where the creators were developers. Web2, 2004-current, is highlighted by the shift from developer-created content to user-generated content. Platforms became homes for individuals to share their thoughts worldwide with sites like Facebook, WordPress, and Youtube.

Web3

Web3 will differ from our current internet format mainly thanks to decentralization. Rather than storing data in one location web3 apps (or dApps as they will be called) will be stored on blockchains. In short, this decentralization will give creators more control and cut out the third parties who store your data and sell it to advertisers for millions. Crypto will play a big role in Web3 going forward as well.

“It provides a financial incentive (tokens) for anyone who wants to participate in creating, governing, contributing to, or improving one of the projects themselves.” – Nader Dabit, What is Web3? The Decentralized Internet of the Future Explained, Freecodecamp.com

The DAO and Independent Artists

Now that you have a basic understanding of Web3, the concept of the DAO makes a little more sense right? In the music industry, the DAO concept could fix a lot of issues plaguing artists. For starters, DAOs will give power back to artists. For instance, in this system, artists will have a say in; How their music is distributed and consumed, how much to charge for their music and products, when content is released, help develop an environment where fans can be a part of their favorite artist’s career.

Wrap Up

There has been an imbalance of power in the industry for years. Labels and big tech companies leave artists, especially independent, with virtually no say in how much they earn for their effort. In 2022 we are going to see the monetization of content like never before. Artists will finally be able to build their brands and decide how much it is worth. With how accessible these organizations can be, artists, label execs (former or current), artists managers, and fans can all be a part of the project and build something truly unique and special. What do you think? Are you excited about DAOs or is it a pipe dream?