Recently, Spotify is in the process of testing a way for its music artists to showcase their Non-fungible tokens (NFT) collections. The platform has rolled out tests for some of its users on Android in the United States. Currently, this consists of previews of artists Steve Aoki and the Wombats.
In its ongoing initiative, the music streaming platform is conducting tests to help small groups of artists promote their non-fungible token collections by creating artist profiles. Spotify conducts such regular series of tests to improve the artists’ and fans’ experiences, thereby paving the way for better experiences.
While more and more companies are moving towards leveraging NFTs, there’s also a significant decline in NFT sales and the number of NFT wallets. The NFT sales have dropped from 92% at 225000 in September 2021 to just 19000 as of May 2022. The number of NFT wallets also showed a steep decline from 119000 in November to 14000 by the end of April.
Spotify provides options to see the details of the NFTs and also directs the users to the NFT page on OpenSea to help them buy it. It seems at present, Spotify doesn’t support NFTs that are videos or GIFs – it only displays a static image of the NFT, not the complete video. The strange part is while it is a music streaming platform, it doesn’t include any sound. You can only listen to the NFT or see its video or GIF through the OpenSea platform.
According to Music Ally, Spotify will not charge any commission for any NFT sales that happen through the app and it is only testing the working of the integration. It remains unclear if the testing of integration is open to all artists or only to Steve Aoki and the Wombats for now.
In March, Spotify posted two job listings related to blockchain technology and NFTs. This created rumors about the music platform’s foray into the Web3 space. Besides, according to Music Ally, some users report seeing a pop-up option on the Spotify app page that asks for their opinions on NFTs. Spotify says that these tests are a way to improve the link between the artists and their fans, both on and off the platform.
Last October, Spotify partnered with Shopify to let users connect their Spotify profiles with Shopify stores and allow the company to market its products to Spotify fans via the Spotify app. After linking their Spotify for artists accounts with the Shopify online stores, artists can connect their online Shopify catalog to Spotify. This will display the products that they choose on their profile in the music streaming platform.
In addition to Spotify, Instagram is also in the process of testing the NFT integration with select creators in the United States. Creators and collectors can now share the NFTs that they have made or they have bought. Facebook is planning to support NFTs in the future as well.