Coopahtroopa, the founder of Coop Records, recently announced a 10 million dollar early-stage fund. Coop Records Fund I will be used to help next-gen music projects grow their reach.
According to the latest announcement by Coop Records, the project acts as a hybrid between a record label, an incubator, and a Web3 venture fund. It collaborates directly with artists and founders to develop products for new revenue streams.
The fund offers a way for users to support their favorite artists while being an early investor in next-gen music. Web3 can establish new monetization models for musicians via NFTs and other tools.
As stated by Coopahtroopa, an artist can earn more by selling 25 Music NFTs for 0.1 Ether than getting a song streamed over a million times on Spotify. Additionally, the competition over Spotify is much more cutthroat than any music-based NFT project.
Over 8 million artists are competing on Spotify, while a mere 2,000 artists have minted a music NFT till now. These factors clearly showcase the potency of Web3 and NFT for artists.
Besides mentioning this information, the tweets by Coopahtroopa also shared an image of music-based NFT projects. If the ecosystem can grow, the market may see the projects collaborate and perform better.
With Web3, music enthusiasts can monetarily help their favorite artists. Coop Records is focusing on facilitating this practice with its Artist Seed Rounds. It will allow artists to raise capital and build an ecosystem for fans.
Additionally, it will provide equity rights to the artists, who can control and distribute their music as they wish. The past 18 months have witnessed Coop Records gain several angel investors: Sound, Mirror, Zora, Seed Club, Royal, NFT Now, 0xSplits, POAP, SongCamp, Catalog, Bonfire, Koop, Variant Fund II, Medallion, and Hume Collective.
Given the stature Coop Records is building, its use cases and investors’ portfolios will grow immensely.