Spotify acquires blockchain startup Mediachain to solve music's attribution problem
In short, the startup was working to leverage blockchain technology in order to help solve problems with attribution.
Last year, Spotify settled a licensing dispute with the National Music Publishers Association in the U.S. over unpaid royalties.
With Mediachain, Spotify potentially has a solution on its hands - but instead of building out a centralized database with music rights information, it looks like it will build a decentralized one.
As Mediachain explains in a blog post, its vision for the problem with attribution is a shared data layer, which is says “Is key to solving attribution, empowering creators and rights owners, and enabling a more efficient and sustainable model for creativity online.”
Mediachain says it will turn over the technology it had already built to the open source community as it moves to Spotify.