Israel-based music startup Revelator has announced that it has raised $2.5 million this week in order to efficiently track music rights and distribute royalties to rights owners using blockchain.
According to reports by Mashable, the distributed ledger’s record-keeping feature allows Revelator to track uses of digital assets and get royalties of any size to the owners in a much quicker way.
"The blockchain technology does provide a truly disruptive technology for the music industry. It's not the only thing that matters and it won't solve all the problems in the industry, but I do believe our current offering introduces new features for music," Bruno Guez, CEO and founder of Revelator told Mashable.
The startup revealed that almost half of the royalty payments are not reaching the correct owner due to outdated systems. Also, music owners wait for months to receive royalties for their projects. Blockchain curbs the speed delay and music rights holders can use this technology to license and distribute their music or other content. Blockchain will also enable tracking downloads, streams on Spotify and other services.
Revelator was founded in 2013 by music veteran Bruno Guez. The company launched its Beta in Israel, serving over 800 Israeli artists, and partnered with ACUM, the local Performing Rights Organization in Israel, to offer distribution to an additional 8,000 artists.
