Royal Secures $55M to Revolutionize Music Rights with NFTs

Royal Secures $55 Million Series A Funding

Just under three months following a $16 million seed funding announcement spearheaded by Founders Fund and Paradigm, the NFT music rights platform, Royal, has successfully secured a substantial Series A investment.

This new round totals $55 million and is led by Andreessen Horowitz’s dedicated crypto investment division, a16z Crypto.

Revolutionizing Music Ownership with NFTs

Royal facilitates partnerships between the company and musicians, enabling users to acquire NFTs that symbolize shared ownership of an artist’s musical creations.

The venture is guided by Justin Blau, known professionally as 3LAU, an EDM artist, and JD Ross, a former co-founder of the home-buying platform, Opendoor.

Royal signifies an initial, yet encouraging, exploration of NFT applications extending beyond the traditional domains of digital art and gaming.

Early Success and Market Valuation

Last month, Blau distributed hundreds of NFTs via the platform, representing 50% of the streaming rights to his most recent track.

The startup reports that secondary market transactions for these tokens have already reached nearly $600,000.

This activity implies a valuation of $6 million for the new single.

Musicians receptive to cryptocurrency, such as Blau, have already realized significant earnings from crypto investors seeking portfolio diversification through NFTs, while simultaneously supporting initiatives that broaden the blockchain’s market reach.

Navigating Regulatory Challenges

Innovative projects like Royal must carefully balance promotional opportunities for growth with adherence to securities regulations.

Key Investors and Strategic Partnerships

This investment round is prominently led by Katie Haun, a co-lead at a16z Crypto, who also serves on the boards of Coinbase and OpenSea.

Andreessen Horowitz already maintains a strong relationship with Royal’s leadership team, having previously invested in Ross’s prior company, Opendoor.

Furthermore, Naithan Jones, a former Andreessen Horowitz partner who previously managed the Talent X Opportunity Fund, joined Royal in September as the firm’s Head of Growth.