More controversy has hit the digital minefield that is music-related royalty NFTs. The latest victims are experimental rap pioneers, A Tribe Called Quest.
A recent auction oversaw a 1.5% share in royalties to the first five albums of the trailblazing rappers. The event, hosted on Royalty Exchange, ended with a winning bid of 40 ETH, approximately $85,000. Now however, the band themselves have come forward to say they never authorized the sale.
On learning of the auction, Tribe DJ and producer Ali Shaheed Muhammad released the following blunt statement:
“No member of A Tribe Called Quest has entered into any partnership with Royalty Exchange. PERIOD!”
Muhammed went on to say that the royalty included in the sale originated from an ex-representative of the group from their time at Jive Records. And, that they would have bought the percentage themselves if they had been informed of the sale. In hindsight, it would explain why the NFT didn’t include the rights to the full back catalogue.
With the likes of Jay-Z also experiencing a dubious listing of one of his works, the rights to his debut album, Reasonable Doubt, it seems that more protections are required to ensure the legitimacy of such transactions. Not just for the artist in question, but for the buyer, who is ultimately making the purchase in good faith.
The moral of this story however, is that music industry big-wigs have a long history of dubious dealings. So, always do your research before making that once-in-a-lifetime purchase.
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*All investment/financial opinions expressed by NFT Plazas are from the personal research and experience of our site moderators and are intended as educational material only. Individuals are required to fully research any product prior to making any kind of investment.
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