FonoRoot Audio NFTs
A New Standard for Web3 Music
Before we go into the nitty gritty and explain how the FonoRoot system works let’s start with why we decided to build and implement it into the core of our Web3 music launchpad and introduce it at SoundSplash.
Since we began experimenting and innovating with Audio NFTs back in early 2020 we have had the opportunity to witness more & more musicians enter the space. And upon their arrival, two of the most frequently asked questions have been (and still are) “how many?” & “how much?”, to which the only way to answer was to use the average price of the NFTs that had sold to date and use that price as a baseline according to the number of editions on offer.
So, It was partly due to this ambiguity that we felt the time was right to work on a standardized model that might help us define the future of this new music delivery format we call NFT, and set us apart from the rest.
At its core, FonoRoot is an on-demand Music NFT factory that encourages fans and supporters to get in on incentives built into early generations and, once we’ve moved out of our Alpha, allows artists to set the price and royalty of their song according to a sliding scale. So how does it work?
The Artist’s Perspective
Artists can think of FonoRoot as their solution for a mass-market release, with a flexible yet affordable price point for fans to collect their music and take advantage of built-in royalty incentives and NFT staking opportunities (coming soon).
No more trying to figure out how many editions to mint, FonoRoot is limitless. With that in mind, we believe the price should be flexible and affordable in order to make it easy for artists to onboard their audience. Think of it as the iTunes of Music NFTs, but way cooler!
DAOrecords will be the perfect place to mint your back catalog
After you’ve uploaded your audio file and cover art, filled in the song description and set your splits (multiple wallets can be added and %’s set) there will be a sliding scale for price and royalty. This functionality will be integrated at a later date. Be patient as we’re testing this all out with our Alpha launch and Metaverse Music Event Series SoundSplash right now!
The Fan’s Perspective
The current Music NFT ecosystem has closely followed the model established by Crypto Art, where the artist determines the price and quantity of their NFT when they mint on the various marketplaces. And while there’s nothing inherently wrong with this model in theory, it often makes it challenging for fans who don’t have a lot of money to support the artists they like and follow, as the prices tend to be out of their reach. Here’s the solution.
FonoRoot is the perfect onboarding point for fans, allowing them to affordably collect the NFTs they want. It’s also an opportunity for them to take advantage of the additional benefits attached to collecting, such as royalty rewards (according to the generations they own), NFT staking, and in the case of SoundSplash, token rewards for Splash Pass holders. Let’s get into how this works by using SoundSplash as the example.
Bridging The Generation Gap
The way that generations work when it comes to FonoRoot is that every time an NFT is purchased two children are born. This is important when it comes to our SoundSplash Alpha because there are built-in incentives for holders of Generations 1 through 5, which is only by holding a Splash Pass. With a total of 31 NFTs available for advanced purchase you can be in the running for the coveted Gen 1 NFT of each of our 12 Drops, if you get yourself a Splash Pass NFT!
The Coveted Generations:
- Gen 1= 1 NFT
- Gen 2 = 2 NFTs
- Gen 3 = 4 NFTs
- Gen 4 = 8 NFTs
- Gen 5 = 16 NFTs
These 31 NFTs are eligible to receive $SPLASH rewards. Read more about it here.
As we make our way through SoundSplash we will be finetuning FonoRoot to introduce some cool utility in the form of distributed royalties and NFT staking.
Royalties Up The Root
One of the perks of holding an early generation DAOrecords NFT is that you’re able to earn passive income from all the NFTs purchased through your children. Remember? Each time an NFT is collected, 2 children are born and so on and so on down the root system.
When we launch our Public Beta in August 2022 we will be implementing a market fee that will be associated with each first purchase. This fee will be a small % of the list price and deducted from the final sale so, aside from the gas/storage fee the collector pays on the transaction, there won’t be additional costs on top of the list price.
That means if you hold a Gen 1 edition you can earn a % of every NFT purchased down each generation of children, forever. Of course over time this % shrinks as more children are born and more generations come into existence. With this incentive mechanism built into our FonoRoot system we hope to encourage the community to get in on the early generations and get rewarded.
Audio NFT Staking
This is something we’ve been wanting to do for some time now and will be ready for the end of this season of SoundSplash in August. We will begin by enabling staking specifically for SoundSplash NFTs (so go get one!) and we’ll be using our $SPLASH token as the staking reward.
There’s a possibility we will also be including some other NEAR ecosystem tokens into the mix, but for now we are waiting until we officially launch $SPLASH at the beginning of June 2022 through our fundraiser with MetaPool’s new platform (TBA).
Later, once we move into our Private Beta phase we will give a bit more thought to how we will implement NFT Staking as we have a bunch of ideas that are potentially way cooler than just “staking”. Stay tuned!