BitSong (BTSG)

token, review, prediction

Financial metrics

Current Market Valuation - $2,070,618 / ₿ 21.488

Circulating Supply – 120,487,568 BTSG

Total Supply – 121,860,709

Where to Buy/Trade BTSG – Osmosis: BTSG/ATOM, BTSG/OSMO, BTSG/USDC, BTSG/USTC

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BitSong began in early 2018 as a big idea to revolutionize streaming music through decentralization by utilizing blockchain technology in conjunction with the IPFS file storage system. The idea was to streamline the industry and eliminate the need for middlemen who decrease the efficiency and increase the cost to the end user while reducing the earnings of the artists and songwriters. The BitSong ecosystem also strives to help advertisers by ensuring that 100% of their investment goes toward productive advertising with an unbroken chain of accountability recorded on an immutable ledger.

The original White Paper had BitSong starting out as an Ethereum project, but by the end of 2018, the White Paper was amended as the BitSong project made the decision to build their own sovereign PoS blockchain using Cosmos SDK. The ICO ended successfully on December 15, 2018, with the project reaching almost 70% of the pre-established hard cap limit.

The much-anticipated BitSong Main Net version 1.0 finally launched in August 2020. Since that time the project has been building, innovating, making partnerships, and putting their dream of a better music streaming service into operation. Today BitSong has at least three working applications; these include the Studio, Sifonia DEX, and a radio player. They are currently working on their own browser wallet, which makes me think that they have plans to connect with some third-party applications at some point.

BitSong Studio

The BitSong Studio is a digital gallery of music NFTs that are for sale; it is a decentralized digital music marketplace. Click on any of the music NFTs for sale, and all of the information and statistics are revealed. The initial price in BTSG is predetermined before the NFT is minted and posted in the marketplace, but generally, the earlier you purchase new music, the less you will pay. The price fluctuates according to how many copies have been minted and how many were sold. The sale price increases after each purchase, and the previous purchase price becomes the new sale value.

It is also possible to earn royalties from purchasing, holding, and promoting your music NFT. The amount and percentage of reward are also preset before the NFT is released. These royalties are currently limited to onsite activity only, but hopefully in the future royalties will also come through other top music streaming sites online.

BitSong Radio

This application is in its infancy and is currently only streaming music from stations around Italy, but the potential is obvious. As with the studio itself, the music selection is currently very limited, and the artists are largely unknown. But there are more artists today than there were on my last visit to the site, and development on the project continues, albeit at a slow pace. This is to be expected with the first such services on Web 3; it takes time to build, and even more time and effort to attract an audience to something completely new and different.

Sinfonia DEX

This exchange is very interesting to me because BitSong was able to utilize the power of the Osmosis DEX in order to create their own specialized DEX for their clients! What a great idea! The main idea of this DEX is to facilitate buying “fan tokens,” which are internal coins for the artists that allow fans to basically give them a tip to help support their efforts. As of right now, there are no real use cases for these fan tokens other than staking them in the DEX liquidity pools or holding them in hopes that the artist becomes more popular, which would increase the value of the tokens.

Economic Projection and Analysis of the Potential Future Market in Web 3.0

I don’t think that BitSong will replace music recording studios, but it is in a position to replace producers, promotion, retail music shops, and streaming services, just to mention a few of the aspects of the music industry that could be disrupted by the success of BitSong.

The music industry in the United States alone is a $170 billion dollar per year business, according to the Recording Industry Association of America. Globally, streaming services now account for over 62% of the overall annual revenue from the music industry. With hundreds of billions of dollars potentially up for grabs, and with the advent of Web 3’s increased efficiencies, BitSong is uniquely positioned to take a lead role as the industry begins to transition to the benefits and potential for better conservation of time and resources, and thus overall profits, through the use of this new technology.

It is very likely that the first artists to benefit from a product like BitSong will be those who are new and not already established in the current status quo music industry with all of its inefficiencies and its difficulties for getting noticed and picked up for recording and production. With BitSong, an artist can submit a recording and see immediate results. The promoters are the public at large and advertisers who are keen to spot new talent on the rise. Music NFTs change the game in that the purchase of a limited supply can turn a music recording into a work of art on a level seldom seen in the music industry. Think of having an original, limited, first copy of a recording by your favorite singer or musician of the past. Early investors in a new recording artist on BitSong can own a piece of history right in their digital wallet; their NFT recording could gain significantly in value over time as the artist gains popularity. This, and they never have to worry about their NFT collection getting stolen, broken, or lost in a natural disaster.

How then are we to judge the potential value of this new start-up with the potential to disrupt such a large market with better and more efficient technology? Suppose BitSong eventually gained 0.1% of only the United States music industry revenues, or $170 million per year. Since this amount represents revenue, it is money after costs have been subtracted. There is no good way to correlate this to what the new market capitalization would be since current revenues are unknown and presumably low, but suffice to say that the P/S ratio would indicate a rather large increase above the current $2 million dollar market cap.

Of course these figures are just for dreamers and futurists; they are for fun and not for financial advice. I find it very stimulating to look at such start-ups and project what success might look like in the future.

Future Trends

The crypto industry seems to be entering a new phase of close partnerships and mergers. It stands to reason that BitSong, which already has a few collaborations and partnerships, will continue this trend in the future. There are video streaming crypto projects that could potentially form mutual benefits from a partnership. Advertising agencies are certainly a good fit for some kind of agreement with BitSong. There are many NFT marketplaces in Web 3; without a doubt, these music NFTs will one day be sold at multiple online locations.

Since I am writing and posting this blog on the Scorum blogging site, I would be remiss if I did not point out some ideas for a partnership between these two projects. Scorum is in the process of upgrading this blogging site and moving it to the Cosmos Network, which will make some type of relationship much easier when completed. Artists would benefit from a blogging site where they could talk about and promote a new upcoming release and then both reward their fans, and in return be rewarded by their fans, using Scorum’s rewards distribution system. Another possibility would be to get Scorum’s SCR listed on Sinfonia to facilitate easy trade between SCR and BTSG. This would make it easy for Scorum members to support their favorite music artists, and Scorum applications could possibly provide another use case for BitSong's fan tokens.

Even if none of the possibilities that I have listed come to fruition, there is no doubt in my mind that if BitSong continues to build and innovate, then future partnerships are not only possible, but they are almost a certainty. Each new partnership or collaboration will add value to the overall product, and thus the value of BitSong will also increase.

Summary

BitSong is a high-potential project that is attempting to disrupt a huge segment of the world's economy. BTSG is a micro-cap coin on a sovereign Cosmos Proof of Stake blockchain. This blockchain has a low fixed circulating supply and seems to be poised to potentially make big gains from future development and adoption. The founders and development team have been solid and working strong since 2018, and they seem to be determined to make this project a success. If the current trends continue and retail adoption picks up speed, it is my belief that good projects like this with multiple working applications stand to benefit the most. If you are interested in investing in this new technology and are looking toward the future of Web 3, then you should consider taking a closer look at BitSong and consider getting involved on some level.