The main reason for the depreciation of crypto tokens has always been their isolation from the real world. When the novelty of a digital asset wears off, its value plummets. An increasing number of industry participants are looking for ways to adapt their tokens to reality in this regard. In turn, the music industry offers to bridge the gap between art and technology.
The Corite project is a prime example of this. Corite is a blockchain-based crowdfunding and fan engagement platform that allows fans to invest in their favorite artists. Let’s take a look at how this hybrid approach might be able to provide crypto tokens with the real-world value they were missing.
Corite Is a New Way To Connect Artists And Fans
To begin, what is Corite and what makes its concept unique? For starters, Corite is the first music blockchain-based platform where artists and fans can interact directly and support one another in a variety of ways without the use of intermediaries. Fan engagement, or “Fan Power,” as the project team refers to it, drives artist growth, funding, and distribution. In that sense, “fan power” means that fans become supporters of their favorite artists’ vision, work, and music. In turn, artists can receive upfront funding to release their music in exchange for sharing a portion of their revenues with their fans, as determined by the artist.
So, to sum up, the project’s goal is to make it possible for musicians at any stage of their careers to release their music independently of traditional record labels while still having it available on all major streaming services.
‘Fans Campaign’ Mechanism
“Fan missions,” or challenges and tasks musicians can offer to their fans to reward those who are truly involved in their artwork, believe in them, and support their future releases, are one of the key elements of the model that Corite is implementing.
Artists start “fan campaigns,” which have a set fundraising goal, a streaming target, and a deadline. For example, an artist may seek to raise $5,000 with the goal of providing backers with a 2x return by amassing 2.4 million streams over the next three years. Users will continue to receive revenue if the streaming goal is met for the entire three-year period.
On Corite’s CO platform, fans use stablecoins to fund campaigns in exchange for song shares. Non-fungible tokens can also be used to connect ownership to song shares. This system ensures complete transparency of revenue splits between fans and funds raised for artists. Artists also benefit from this model because they can raise funds upfront and use them for promotion while retaining full ownership of their music and master recordings.
The $CO Token And Its Role in the Corite Project
The $CO token was introduced in September 2022 and will keep playing an important role in the platform’s future development.
The CO token grants its holders access to all of the functions that Corite has developed and continues to develop: artists will need it to generate Fan Power for their Fan Missions, mint NFTs, and gain access to new artist services that the community will provide. Users can get early access to top-tier fan-funding campaigns, a multiplier for their Fan Power earnings, and rewards in the form of exclusive content, goods, and access if they own some $CO tokens.
As a result, both fans and artists can be rewarded financially with the $CO token and non-financially with badges, content, and experiences for engaging with and adding value to the platform, community, and music it aims to promote. The platform and the artists incentivize fan participation on three levels: revenue sharing from backing artists and profits from things they own, fan missions set up by the artists and the platform, access to exclusive and fun content, and rewards both offline and online.
Technical Aspects and Tokenomics
$CO makes use of the BNB Chain, which enables advanced blockchain and DeFi features. The token has already been listed on two prominent exchanges, PancakeSwap and Bybit.
In terms of token distribution, 18% will go to ecosystem development, 10% to the foundation reserve, and 7% to liquidity, implying that more than one-third of all tokens will be used to support and propel the ecosystem forward.
Projects and Accomplishments
Corite has raised a total of $1 million for its artists from dedicated music fans since its inception. This sum was raised through fan campaigns and NFT drops of digital collectibles from exclusive artists.
The platform has already hosted over a hundred successful fan campaigns. One standout has been the “Unity” campaign, which was launched in collaboration with EDM superstar Alan Walker. The campaign had a break-even goal of 6.7 million streams by June 2027, but it has already surpassed that figure. Users who took part in this campaign have already earned more than their contribution amount and will continue to benefit for the next four years or so. Successes like these show how real value can be captured and shared by combining music and blockchain.
Gate.io, Coin98, Kyros Investment, Shima Capital, Everse Capital, KuCoin Labs, Rarestone Capital, and Charles Goldstuck are among the prominent investors who have backed the platform and Corite’s $CO native token. Last year, Corite raised $6.2 million in a private $CO token sale for its blockchain-based sister project, Corite CO.
These initiatives led to the launch of Corite’s CO platform, which enables holders of $CO tokens to take part in blockchain fan funding and promotion, gain early access to invest in music projects, and receive rewards for contributing to and participating in the governance of the Corite ecosystem.
New Features and Developments
A new feature was recently made available to both existing and new $CO token holders. They can now stake $CO for a 15% yield. In addition, the platform will soon launch Missions in which investors can earn Fan Power by completing tasks and challenges. Staking $COs grants them a multiplier ranging from 1.1 to 2.0, which means they can double the Fan Power they earn in Missions. Users must have at least 1,000 Fan Power to be invited to the Mission BETA. This will grant them early access to major Fan Campaigns. There will also be weekly prize pools for the users with the most Fan Power.
According to the roadmap posted on corite.org, the project will move forward with selected artist drops, an app redesign, and the launch of additional artist missions in the first quarter of 2023. In all of these steps, the $CO token will be crucial to the platform’s operation.
SOURCE Vestigo Finance