Songvest mini

Let's talk about this new song royalties exchange because I was really interested to hear about this. Alright, so Michigan a few weeks ago and meeting with some friends and they were talking about IPOing their music. And I was like, what are you talking about? And they were like initial public offerings for music. And I was like, so you're selling your music on the NASDAQ or the New York Stock Exchange, the Nikkei? Like, what are you talking about? And they didn't really quite understand it fully, or at least they couldn't explain it to me at that point. So I kind of just started to do my own research and I found out like there's this company called SongVest that was formed in March 18, 2021. And what they do is they get the royalty rights to a song. And then they take that and they're able to sell it to investors and fans who can now own parts of their favorite songs. So instead of it just being like a company that sells shares and owns things privately and you buy shares of pieces of their separate companies or anything. It's a legit security exchange, U.S. security exchange commissions certified company. So this is the first royalties exchange. Now they base their money or they base the royalties on like an auction. So they do this first step where they'll auction off your rights to ownership. So with music, you can be a producer, you can be a publisher, you can be a writer, you can be an artist. And each one of those persons or individuals, businesses is going to own certain pieces of that song. And so the artist... Performance rights as well as the writing of the song. Right. Yeah. And the streaming rights too. So it's like usually the streaming rights are split between everybody. Sometimes the artists write their own music and produce their own music. And, you know, there are the Chris Stapletons and the David Lees and, you know, different artists, the M&Ms of the world that write, produce and create their own music. Right. So that's Kanye West is another one, too. But so what these guys did is they'll they'll take a song, say you want to auction off your song and they'll put it up for an auction. See what the units or shares that they can sell. And then they'll determine if that they should do a public offering for your music. Otherwise, they just do like this auction thing. Now, they pay you every quarter based on the revenue from the royalties and the shares that you own. So if you have a song, I don't know, just to make something up. If you know you've got a happy birthday song that's done by Elmo and you some of this, whoever produced it, he's got 20 percent shares and they decided to sell it on song vest. Now, me and you, Ben, we can go buy a unit or as many units as they offer, how much we want to spend. And then every quarter it's going to say Elmo's happy birthday song produced this amount of revenue on Spotify, Tidal, Apple Music, Amazon. And we're going to get a breakout check based on the shares that we own. So it does cash. It's about cash flow, right? Yeah. Cash flow. That's awesome, because this is there's there's a lot of these sites now that are similar to this. So you've got Masterworks, which lets you do a similar thing with like paintings that cost millions of dollars. Right. You can buy like Banksy's and Bangos and whatever on Masterworks, fractional shares of paintings that cost several million. There's another one that's kind of interesting called VinoVest, which lets you invest in wine and they store your wine for you. And then they, you know, they curate it and they, you know, when the bottles mature, they sell it. So this yeah, this is Masterworks. And they yeah, they basically. But Masterworks, you don't get cash flow. You only get paid when they sell it. And they've had some pretty impressive exits where they've got like 30, 40 percent, you know, selling a painting on the market. But yeah, you don't get cash flow every quarter. So this song vest is pretty interesting, because if you, you know, if you invest in a big song, you know. Yeah. Well, you invest in a hit song or 20 percent like they just had Nas's Affirmative Action, which is a song that was really popular. They had like the writer's share or something auctioned off. So you could have bought a piece of that. They've got all kinds of different artists. And the thing that this is, this is VinoVest and WhiskeyVest. So, yeah, you can invest in wines and whiskeys. The guys in Tennessee would love this, actually. Yeah, right. This would go great in Nashville. But the thing that stuck out to me about SongVest is that their security exchange. They're governed by the SEC. Wow. Which is like all this other stuff is like, to me, this the wine and whiskey, it's like almost like crypto, right? It's like here or there. Who knows how it's going to really work out? Like, but if you know, if it's SEC governed, these guys can't play games. They'll get shut down. So that's awesome. So the only thing that I was thinking about, and I haven't seen anything, but, you know, if I want to sell my shares on the open market, then you start to see the price fluctuations go up and down based upon who holds, how long they hold their shares. And now you start to get like that dividend effect plus the shareholding effect. I mean, the SongVest. Yeah, the same as stocks, isn't it? Yeah, it would turn into a stock. And what if you if you hold it for a year, do you get short term capital gains on it, I guess, right? Yeah, I would assume so. It's part of the SEC. Long term, sorry. Long term capital gains. Long term capital gains. Yeah, I would assume so. Yeah. But it's, you know, it's really interesting. They can they can actually they do this auction part where it determines how much the the song could potentially be worth. And then they don't even have to do that. They can use their internal team to determine its worth and then launch it. And once the shares are purchased, they'll distribute the royalties to the shareholders quarterly. That's awesome. Yeah. So it's it's pretty cool that it's an actual exchange and not just like, hey, we're going to invest in this random artwork and hope it gets sold or some NFT stuff or some crypto stuff. Remember NFTs? I don't hear anything about NFTs anymore. I think AI took over from NFTs. NFTs were like a hot thing for like a year and now it's AI. Yes. The ape NFTs took off and whoever was on top of that was killing it. Well, except for the people who bought them at the top of the market and lost like 90 percent. Yeah, it's painful. Three big names lost a lot of money, although they have bragging rights now. I don't really I didn't get involved with NFTs at all. I didn't buy one or do anything. I had a little bit of fun with a few, but I never sold any, you know, and some of mine went up in value. Like I bought this NFT for like 50 bucks or 100 bucks and it went up to like eight hundred dollars. But I never sold any of it. So it was just a little bit of fun. I had one friend who was really into it, this guy out in Vegas, and he was like he was making a lot of money on it. But I think he was he wasn't really selling them. He was just holding them. And I think in the end he did lose a lot as well. Yeah, I got burned. I'm going to probably I opened a song vest account. There we go. Vorepiaklub. Yeah, this was this was the one that actually had some staying power. Vorepiaklub, that's there's still substantial worth there for those. But I think for SongVest, I'm going to turn around and probably do it a little bit and we can revisit it later and see if what kind of returns I get on the shares for the music. You know, the shares are like 100 bucks. OK. And there only be like 250 shares or or 350 units. They call them units. I'm sure that has to do with the SEC. Right. Yeah. And how it's organized. Approved language. Yeah, exactly. So and then I wonder if I own the share, can I resell the share? That's what I was really trying to figure out. I couldn't get to the bottom of it. But even if it's an exchange, in theory, you can, but you need to hope that there's enough liquidity on the market to be able to, you know. Exactly. Right. And that's, you know, it's only started in 2021. I'm pretty sure they only move forward recently, but you can go to like past sales. And, you know, it's mainly a hip hop community, I noticed. But I don't think anybody else in the music industry even knows it exists. You know, so. Oh, nice. Yeah. Right. That's what I was talking about. Affirmative action song like famous song Beyonce. So it's interesting, you know, to think about. I'm going to explore it and see what it has to offer. And then, you know, go from there. you