Copyright law has constrained the music industry. Continuing to focus on rights management and their oversight is a costly vestige of outdated thinking that doesn’t align with the open and collaborative nature of the internet. It’s time to let go of the old model and build a new one.
Music is begging to be open sourced. Removing the legal hurdles to sampling, remix, reuse of work will unleash creativity by removing the stigma against “borrowing”. The gaming industry gets it and has used a more open source ethos to transform consumers to participants to the benefit of the industry. As we enter the phase of the internet where creators are at the center, why not encourage more creative participation around music as well.
To do that, we’ll have to get past the idea that music is untouchable. A cultural reset is required. Capitalizing on the opportunity will take admitting that no creative idea is 100% original, but exists along a continuum that builds on a myriad of references, influences, and experiences of the creator.
The music industry may never be willing to accept this or cede control over the protections that power their business. Could this be where Web3 steps up?
If we’re here to use blockchain to build new infrastructure to facilitate massive global collaboration, music feels like the perfect use case.
It would be cool to see open source become hallmark the next phase of internet culture. Blockchain technology allows a rich web of content to create experiences that can be captured around an original work. Imagine a world where all remixes, comments, fan art, and user-generated content are linked to show the true cultural value of a song. This is the open, inclusive, bottoms up web that we want to see.
The crowd matters and can now contribute to the art more publicly.
Our aim is to increase the pace of innovation and use music to showcase what’s possible by creating a user generated ecosystem for music to forge a new culture of openness and sharing. We support anyone building towards the same future and invite partners on the same mission to join us.
#001 Genesis Tokens for our founding partners.
Generative art marketplace
Curated drop marketplace
Mixtape marketplace - record store feel w/editorial
Open Source Work, Open Source Music, everything will be open to be reused, remixed…I believe. DAOs are open source projects with a token. The largest companies being built in Web3 rn will have characteristics that are gleaned from decades of open source development.
We’ve been headed this direction, but now have a framework to follow. The open source movement has been around for 40 years. Lots of examples on how to build product with community.
Other insights: Interest circle are about to dominate social circles. Social media for interests.
Phlote is a community-owned and operated music discovery platform. The value of Phlote is the sum total of our community contributions. Our ability to curate talented artists into Web3 is reflected in the value of our unique social token, $PV1, which gives every member of Team Phlote an economic stake in its growth.
To facilitate the growth of our community, we've built a music TCR as a merit based community onboarding tool. created an open submission process that allows any music fan with an internet connection and a crypto wallet to earn $PV1 tokens for curating music on Phlote.xyz.
We're opening the door for people with a keen eye for talent to distinguish themselves as leading curatorial voices in Web3.
How do people get these tokens?
Each day, our community members scan the music submissions on Phlote.xyz and co-sign the songs they like. Curators who receive co-signs, earn $PV1 tokens and earn the right to have a profile on Phlote.xyz to start building their track record.
This effort ensures Team Phlote controls how the community grows and helps guarantee that our path towards a truly community-owned platform - where curators are the owners and operators of the network - is in line with the open, transparent, and permission-less ethos of blockchain technology.
How does it work?
$PV1 isn’t available for purchase and can only be earned through submission at Phlote.xyz.
$PV1 will be distributed to anyone who submits music at Phlote.xyz and receives co-signs from current members of the community.
Curators earn 15 $PV1 for each co-sign received.
Curators earn higher status within the community as they earn more $PV1 tokens. 1 co-sign earns the right to have a unique profile on Phlote. Curators who earn 20 co-signs (300 $PV1) earn the right to become co-signers.
The game will last until the total supply of 1,000,000 $PV1 tokens has been fully distributed to members of the community.
To surface up-and-coming voices at the cross section of music and technology.
To introduce the world's most talented, independent artists to the blockchain.
To build Team Phlote into an elite community of artists and curators who will create the world's leading music discovery platform.
Our #1 Priority: A custom auction house that sells NFT editions at Vickrey Auction. All NFT editions are sold in rounds with preference given to DAO contributors. Phlote to test auction mechanics with NFT sale that decentralizes marketplace on Day 1.
The full potential for Web3 are products that are 100% built, operated, and owned by the community around them. Platforms that are open for anyone to join, have a clear mission, and a value orientation. These platforms will be structured as user owned companies or DAOs.
In the music industry, many artists must fight to be heard. Music discovery is not designed to showcase the many talented vocalists, musicians, producers, songwriters who exist in the world, but should.
We propose a system that centers artists, curators, and collectors as the backbone of the music industry. One that incentivizes the discovery of new music, makes it easily sharable, and help artists to identify their core fans. This alternative path that allows great music to be heard and doesn’t require artists to sign away their creative rights or ownership to labels.
The opportunity allows a new set of internet users to participate. Now anyone with an internet connection and a crypto wallet can earn tokens for phloting great music to Web3.
Some believe that music discovery is alive and well in the hands of streaming platforms like Spotify. We disagree.
Today music discovery is not happening for independent artists on streaming platforms. Sixty thousand songs are uploaded daily. Only major label supported artists get seen. The system is broken.
Algorithms are an inferior way to spur word of mouth spread for indie artists. Human recommendations reign supreme in music discovery.
The True Fans looking to find new music are coming to Web3 for the ability to discover new artists and buy in early via NFTs. Adding crypto may prove difficult for incumbent music platforms to implement.
Users will begin to migrate to platforms that they help build, use, and co-own as a community. Spotify is not likely to revolutionize a business model that has been profitable for the executive team and shareholders.
Phlote is designed to solve these issues for artists, curators, and True Fans.
The Future of Online Curation
Few people are just browsing the internet. Most are actively searching for things. Every day, Google processes 5.6 billion searches for 5 billion global internet users. The search results we see first are those that are ad supported, relegating the best information “below the fold”. In this scenario, Google and its advertisers win, while users are underserved by search 5.6 billion times per day. Sadly, we’ve grown accustomed to this just being the way it is.
The number of daily internet searches shows that the internet is an active space for discovery. We’re all looking to discover new ideas, new technology, new art, new music. So why would we tolerate an internet that makes it more difficult to find the best ideas and best information? We shouldn’t.
One reason why online communities became popular is because they allowed people to meet others like themselves and learn from one another. From blogs to chat rooms to threads, communities have always been where curated conversations have taken place, serving as the best source of information.
Outside of online forums, internet curation is present, but not widely recognized for the value it brings to our online experience. Internet tastemakers are the source of cool internet shit and important instigators of ideas spreading by word of mouth. Depending on how close you are to the source determines how early you are to emerging internet culture, and culture in general. That said, the value generated by curators is not matched by the compensation they receive for their time. Using music as the example, a large community of internet curators spend hours digging for new music only to receive benefits that are mostly intrinsic and derive from one's ability to say they found it first. What’s needed is a way for this work to be compensated commensurate with the value generated for creators and consumers.
With blockchain technology, this is now possible.
volume of phlote tokens moved
Value of NFTs sold
OBP - on blockchain percentage
Producer Battle Final - Southpaw Suede vs. Asha
Crypto ABC’s (Odenz)
Phlote x Zora deck (AJW)
Chapter One application in (AJW)
Phlote x VB deck (AJW, Odenz)
FAQ from Producer Questions
Zora x Phlote Deck
Open Marketplace w/ transparent submissions beneath
Guests: Yuri Rybak
Prism Multisig Wallet
Airdrop original PV earners + Partner token holders on Polygon
Sandeep and Kenzi Co-GPs
8 months since inception
15 million - founder friendly + services
16 deals so far.
Mostly Play-to-earn w/ some infrastructure
All the above on investment structure (tokens, equity, safe + warrants)
Distribute coins to buyers of NFTs at establish ratio (1 ETH : 1000 Coins)
A predermined % of NFT sale proceeds goes to artist’s treasury to back coins
Treasury proceeds used to deliver benefits to token holders
Self provided liquidity also available.
Show what we are doing for artists publicly to drive submissions.
Be more transparent on submissions + feedback (Twitter).
Not everyone can be a creator, but everyone can curate.
Phlote’s job is to the find the best music on the internet and bring it to Web3.
Submit at phlote.xyz. Get co-signed. Earn tokens.
Emerging artists get their journey told through transparent submission and feedback processes - comments make up our editorial.
This is the game.
This is how your play.
These are the rules
Once tokenomics loaded, our focus will shift to designing games that use the protocol to identify great artists.
Idea: “Curated Open Sea”
Submissions can be slowed down by raising the submission price.
SXSW Follow up
Doug from Chapter One
Rad to connect to JR MultiCoin
Send Deck to Cooper
Y Combinator App
Monetizing curation is the most lucrative opportunity available in Web3.
For the past two years, we've been building a composable curate-to-earn protocol that:
Decentralizes curation by enabling anyone to make money by curation music on the internet.
Adds transparency to submission process for curated content platforms
Allow curators to build a track record on chain
The cross section of tech x culture will undoubtedly center around music.
Our key insight is that the curator will be the key to unlocking the Web3 opportunity for Music. Decentralized curation allows music to emerge globally.
Global music industry revenues 2020 $60 billion should be far greater than Apple’s market cap $3 trillion. A open, transparent music industry could grow 60x and deliver value to a new group of participants.
Are user owned playlists the future of music discovery?
Find safe with token warrants (template)
Find Multicoin Cap TCR paper
Guest: Shayon (Multicoin Cap)
Profiles added to Phlote.xyz
Co-sign rewards drafted
Phlote Live Vote Winner @carissavision
Phlote.xyz allows anyone to earn money for curating music on the internet.
Fractionalization of contract on chain - 5k pieces.
Start differentiating. As a collective.
Send Milley Crowdfund Example
Curators always attached to the submission, even for open submissions.
$10k/1 million PV1 tokens
Co-signs are reputation
5 co-signs required to mint on Phlote minting platform
Minting on Eth and Polygon
Treasury Amount on the Website
How to add liquidity to the token at the end
Token gated liquidity pools
Need a way to provide liquidity for PV to membership
Decentralized manner — that is, as a protocol owned and operated by a community of users.
What it takes to build a successful product at the outset — product leadership, rapid iteration, a managed go-to-market
But analysis of recent SEC commentary and enforcement actions suggests
that true decentralization may enable a startup’s token to a non-security if the team is able to sufficiently eliminate dependency on the efforts of the founding team to create value.
Step 1 - Product Market Fit
Test Hypothesis and Update Assumptions Quickly
Step 2 - Community Participation
Run the product like an open source project:
Invest in good documentation; develop openly; offer bounties, grants or other incentives for third-party development
A pragmatic and familiar business model for crypto services is a fee-per-call, similar to an API micro-service like Twilio or Stripe. Distributing this fee stream to active contributors can align the community around the project’s success.
The three core elements of each startup - team, product, and market
The quality of a startup’s product can be defined as how impressive the product is to one customer or user who actually uses it: How easy is the product to use? How feature rich is it? How fast is it? How extensible is it? How polished is it? How many (or rather, how few) bugs does it have?
The market is most important
In a great market—a market with lots of real potential customers—the market pulls product out of the startup
The market needs to be fulfilled and the market will be fulfilled, by the first viable product that comes along.
The product doesn’t need to be great; it just has to basically work.
And, the market doesn’t care how good the team is, as long as the team
can produce that viable product.
Everyone can be a curator. The internet is the market.
Includes ID of curator who curated into Web3 (curator token)
Artist has master key to edit but users can suggest edits
Users can upload and edit artist without him being on platform
Tokenomics models added features and refined economics
Stage 3 - POS
Advanced Minting features
Rollout Schedule (DRAFT)
Stage 0 - Public Launch - Feb 22, 2022 (2.22.22)
Stage 1 - November/December 2022
Stage 2 - August/September 2023
Rough Estimate Costs
Stage 1: 30-50K
Stage 2: 40-60K
Stage 3: 60-90k
Grand Total : 130-200k Spread Over 2 Years
Focus on driving demand for curator and artist submissions as a way to support the token. Post curation the listener should ideally be buying NFT's and creating their own playlists.
What is the full depth of our TCR Token mechanics?
Token value is driven by token demand for archive/index inclusion.
Music submissions require tokens.
Curation requires tokens.
As more tokens are purchased/burned through the submission process, value accrues to Phlote Token Holders.
A quality index creates demand to be included in the index, which translates into earnings for curators.
Curators drive value for artists by taking the selling burden off of them.
Should reviews be emotionally driven (how the art made the curator feel)
That commentary could be more valuable than a simple rating and as valuable as providing the historical/cultural context for works.
Dashboard could be used to show number of submissions, percentage reviewed, tokens staked, token inventory, archive. Maybe we create a music inbox - goal is to get to inbox 0.
Is there a feed?
Are there recommendation engines that advertisers use that could be reframed to present users helpful information based on preferences?
What should we take away from bitclout for our token economics and functionality? Betting on artists early before they even get on the platform - buying value in that artist.
Idea - artists can mint a song as a rare 1 of 1 NFT that can be kept private or added to a public playlist
This makes a whole new economy around rare tracks the artist can release outside of albums.
Artists can put rare 1 of 1 songs on a playlist that is “pay to stream”
If we're encouraging collection/playlisting, then rarity of songs will be a big driver of value and an important part of the ownership experience. If we assume all curators are DJs that are using the TCR to source music for their sets, then we should absolutely figure out a way for them to be able to monetize their lists and share proceeds with the artists.
One way is to let DJ's play sets and list/link to NFT's that are included in the set.
NFTs owned will also be a part of everyone's profile.
Appendix NOTES: July 31
Make the experience fun → gamified experience
randomized rewards → builds hype → randomly get 10k
Guests; Saeed Bolden, Singh Cap Partners
Operating Agreement signed
Social media branding updated
Guests: Odenz, Yana Sosnovskaya
Email activation + podcast/newsletter
Released First Episode of “Curator Call”
Guests: Stefanie Thomas, Sean Wilkes
Guests: Harrison, Glue, Heno, Carter Brown, Odenz
Phlote Search Tokenomics
Curators buy NFT's and receive PV tokens to participate --> Establishes Eth/PV ratio
Curators mint curation NFTs --> Higher ETH/PV
Curators only gain "exposure" to treasury from having submissions staked (co-signed) by other curators.
Unstaked tokens are burned at the end of the period.
Artists pay to sbmit songs --> Higher ETH/PV
Curators ranked by tokens staked (points) and by number of co-signs received
Payouts happen automatically at the end of each epoch.
Micro Algorithmic Curation Hedge Funds
Track Record established and tracked.
We curate the Highest Returns.
Consider establishing a 1 week lag on curated versus externally shared content
To start, keep search open and updated it in real time.
Create an index of such quality that artists are compelled to submit.
Maintain Free Search so that the information is always free.
Having a permissionless minting platform underpin our submission process like Mint Split will allow Phlote to personally direct artists to our minting platform to support Phlote tokens and create custom smart contracts that have the following provisions banked in:
social impact royalty
automatic inclusion in Phlote Index
Phlote economics - 80/15/5
Rankings are calculated per period based on points accrued from each curators curation and co-signing activity.
The curator has three token balances
Only tokens staked and received count towards rankings to encourage sharing and co-signing great content that others will enjoy :-)
Some curators may not be compelled by game or social mechanics, preferring to prioritize the opportunity to archive culture on chain as reward enough.
Token staking rewards.
Curator (+ 6x PV1)/$.5
First cosigner (+ 5x PV1)/$.25
Second cosigner (+ 4x PV1)/$.25
Third cosigner (+ 3x PV1)/$.25
Fourth cosigner (+ 2x PV1)/$.25
Firth cosigner (+ 1x PV1)/$.25
PV1 - Phlote Vote 1 Tokens
Those who stake tokens early have highest potential for to accrue points.
Curators who mint submissions are only players who have potential for immediate financial benefit.
Rankings and Rewards
Phlote Treasury is the reward pool.
Top 3 winners get payouts as below.
All participants have exposure to art portfolio through PV1 holdings.
Continue 1 million token epochs.
Liquid treasury assets (submission fees and curation NFT mint fees) earned over the period get paid out to top 3 curators as follows.
1st Place - 40%
2nd Place - 30%
3rd Place - 20%
Phlote 10% + Yield (fee for Phlote platforms/partner curation)
At the end of each period, a set of new NFTs is minted and Vickery auctioned to restart the game.
Participants in the current round have a chance to retain membership seat.
This is a curation game that allows members to identify the highest quality digital assets. Any association with high quality art will drive many positive benefits to the business and is leading to many amazing opportunities that we're excited about.
To start revenues generated from 3 primary means:
Minting Fees - (Selected Artists)
Curation Submission Fees (Active Curation)
Co-sign Minting Fees
Music Submission Fees (Passive Curation)
Phlote Fund One - $50 million Fund
To build Phlote into the hottest Internet company on the Planet.
I do like the idea of curators receiving artist NFTs as a form of compensation for artists they onboard into Web3.
We also like the idea of using the meta and transaction data from the submission mints to create generative art. Each mint could generate a unique NFT based on variables such as date, time of day, transaction hash, third letter of the artist's name, marketplace, etc. Interesting to think about rarity becoming something that develops over time from curator habits.
D’Angelo produced by Questlove is the project we wall want to see.
Empowerment, Culture, Decentalization
The open sourcing of music may follow the Github model (Redito)
Guests: John Gotty, Gab Micheletti, John Slade, Mark Redito
Design for Speculation
Curation mode activated by -
Grants from Treasury to select artists/collaborators
Staking/buying tokens of other curators picks
Locked version for active curators -
Guests: 5150, Glue, Ken, Rodolfo, Carlyle Smith
Phlote Live Vote Show
Tuesdays at 7 pm
Winner receives mint on Catalog*
One submission per DAO
Phlote will purchase NFT for a predetermined amount.
Purchased NFTs held in Phlote Treasury
Phlote Token Holders owners shares of Phlote Treasury
More Phlote Tokens = More Shares of Phlote Treasury
For the past three months, we’ve been testing community voting processes to find good music. We realized early on that our community has great taste. The first artist we identified, Billy Racxx, is now prolific across Web3. Jansport J is now a 2x Grammy nominated artist. Rocky Snyda and JayProb have been unleashed to take over NYC. We believe in the power of our curation so much,that we’ve started to buy NFTs of the artists our community has introduced us to.
Recently, we brought live voting for songs to Twitter spaces. The results have been just as impressive as before, with the added benefits of live programming. We invite you to come join us every Tuesday at 7 pm. Each week’s winner gets minted on Catalog. We pay the gas fee and buy the NFT. We now plan to scale our efforts by opening the opportunity for anyone to participate as we curate and purchase NFT of artists emerging in Web3.
As curators, we want to tag the content we fw. Any writer will tell you that the most important thing your tag can carry is respect. Otherwise, there is no value.
Collectors of $Tags will have the opportunity to help us decide which artists to #stamp and have incentive to do so. Funds raised through this crowdfund will be directed to the Phlote Treasury, where they will be used to purchase NFTs of the artists we collectively decide to support through our Live Vote Show. Any holder of $Tags will also own shares of Phlote Treasury, giving them financial exposure to the value of the underlying NFTs.
50% of the tokens generated from this Crowdfund will be retained by Phlote to compensate hosts and reward curators.
Scott Cantin - insurance broker. He will be happy to discuss options with you. Here’s his contact information: 305-904-8989, National Marketing Group Services- firstname.lastname@example.org. Let me know how it goes!
VB Notes w/ Sheed
Luke Sim Sima, Jiles - Juice, Felix - That's Just How I Feel.
Developer coming to the show.
Felix x Sound? Anniversary Drop In Bloom Forever + 3 songs.
How do we get Lyor on Howard Spring Break?
“Right Click Mint”
ETFs of the Index (Young Crews)
Adobe - Ask Tom
Calls: Ken (Insight Capital), Team Code, VB, Jack Spallone
Seeing Saint Lyor open for Bryce Vine had me wondering how we might enable him to convert a higher percentage of the audience to new fans. Initiation an onstage “POAP” process? For ex, fans could text their wallet addresses to a cell phone # (powered by Zapier) to get a POAP for his performance at the show. The goal of the “POAP” would be to send a link or piece of media that would get user to fall down the 🐇 🕳
Blue House Walkthrough 2/3
Calls: 5150, Rodolfo, R3ll
Each Curator Token distributed as Editions
“First 30” Curators + 30 Partners (1 + 1)
Find Artist for token design
Box + Handwritten Note
Submissions are now taken on Twitter.
Newsletter - Something to watch. Something to read. Something to listen to. Something to learn. This week’s winner (Something to play). Upcoming schedule. Roadmap
Current state of Music Touring. Most music tours in the US are currently at risk. The culture cares about big transactions. A tour is symbolic of level because of the associated expense. Inferences are drawn and assumptions are made based on the city/run/venue sizes of an artists tour.
Question: Does this lead to pent up demand for music consumption?
Add feedback form + Instructions (how to use) + Reaction counts
Content Drip Strategy (🔦)
Experience design / Tokenomics - Design interfaces where people have an exchange of value and are monitoring their value in real time, driven by tokenomics (Johah BCA)
Discord - Start weekly cohorts + location based channels
Today we curated our first live event as a DAO. Rocky Snyda and JayProb (aka FUTRxLGND) we're curated into Phlote by Claude Easy. Approx 6 weeks later, we're introducing them to Web3 with a genesis mint on Glass, the first to use Prism, a bonding curve feature for buying/selling NFTs (guaranteed liquidity) that may become commonplace across Web3.
If NFTs unlock digital ownership, should we all be building valuable digital properties/assets?
How can we allow owners to take digital assets (like music) into physical spaces.
Create opportunists for 1v1 engagement - Jelly Jeezus
The new business model is raising money from the community and building for them. Product, utility, built for the community. Token exchange for strategic investors that are additive to the network. Phlote is multi-sig signer Phased investing
This is a “money grab” in disguise. Royalties are not likely to generate enough income for these NFTs to be considered a attractive investment from a yield perspective. Buyers are likely to be very disappointed with the low level of royalty generated relative to the price of these tokens. EVERYONE involved in this transaction is likely aware of this except for buyers. 👎🏾👎🏾
How do we allow curators to "stamp" Web3 content?
On chain voting is one of many use cases enabled by Layer 2 scaling solutions.
Peer to peer sharing network with incentive layer for conversions. (music archive)
Calls: Beatstars, Lloud App
Curators are the artists.
Multiple playlists + content
Playlist teams + competitions
Not Financial Advice - Column about undervalued projects.
Use all forms of media - column, airletter, podcast section, IG
What is the larger context around our media? Is there a job to be done beyond education + curation?
Calls: Arif, Glass, FUTRxLGND, Ria
The most exciting music company on the internet. Decentralized curation @ scale.
Build cultural meeting places on valuable digital real estate (Jelly Jesus).
Obstacles: 1. Organization 2. Noise
Metrics (# of) 1. Transactions and 2. Wallet Addresses
Stats over narrative.
Calls: VB, Avin A.
Podcast recording starting 1/13 with Greg @ Beat Stars.
Vision: "Cartoon Network for music discovery." 🤫🤫
Calls: Slim Jeff, FUTRxLGND, Glass
Open Submissions --> Secret Radio --> Live Vote Show
How do we integrate the live show into the site? What is the goal of the live show?
Ideas: Discord Music Festival, Selling Experiences as Token Gated Discord Servers.
Calls: Young Crews, Lloud App
Phlote was founded in June 2020. Very early, it was obvious to us that artists x crypto was a good idea, enabling independent artists to get paid and retain creative control without requiring them to give away their rights. We immediately saw the opportunity to support up & coming artists in new ways. Two years of research and experimentation have taught us a thing or two. We now know where we fit and see an opportunity to tell our story. Thank you for reading.