Web3 streaming platform Tune.fm has reportedly scored a $50 million raise. Photo Credit: Ben Blennerhassett
After kicking off 2024 by scoring “a $20 million commitment of capital,” web3 superfan and streaming platform Tune.fm has reportedly secured another $50 million.
That sizable raise came to light in reports from crypto trades including Cointelegraph, which specified that Global Emerging Markets had put up the sizable tranche. At the time of this writing, the New York City-based VC (a stakeholder in Events.com and much more) didn’t appear to have published a formal release about its Tune.fm support.
However, per the mentioned outlet, this latest raise means the self-described “decentralized music streaming platform and music collectibles marketplace” has obtained a cool $80 million from investors overall.
Besides a reported intention to use the $50 million to provide liquidity for its JAM token – that is, the digital currency behind the Hedera-powered service – Tune.fm doesn’t seem to have disclosed its precise plans for the capital on social media. (Statements published by multiple outlets, purportedly relating to today’s round, appear to be the same as those put out at the time of the January raise.)
In any event, when we last checked in, the startup was zeroing in on a global buildout, the development of a mobile app, and major label licensing deals. Now, Tune.fm’s app is currently live on the Play Store as well as the App Store, and on the international-expansion front, the company is continuing to plug projects from acts such as Moroccan rapper CM Yassir.
According to Tune.fm, said projects have the potential to earn “instant royalties” – to the tune of “10-100X more than you can on Spotify or Apple Music” – via on-platform streams out of the gate. Also touted by the business is its value as a promotional tool and the revenue possibilities behind its NFT marketplace.
On the opposite side of that arrangement, Tune.fm says users “get paid to play” promoted tracks, which are available “as lossless uncompressed masters.”
Especially because the per-stream royalty rate at leading platforms appears unlikely to improve anytime soon – among other things, growth is strongest in emerging markets with lower subscription and ad costs – it’ll be worth following the moves of Tune.fm.
Furthermore, competing services’ price increases could render Tune.fm more appealing yet, particularly given the apparent opportunity for superfan-geared offerings to become the norm. Universal Music acts are live on Hybe’s Weverse superfan app, Warner Music is preparing to roll out its own platform for diehard supporters, and Spotify has confirmed that a more expensive “Deluxe” tier is forthcoming.
