Overview of analysis:

One of the most interesting topics on NFTs are Music NFTs. In this dashboard, I developed a NFT tracker for Music NFTs on Ethereum. This tool has data input sections:

• The first one used for selection of NFT collection- By default Kingship selected.
• The second one used for identification of time period of analysis and by default set to 180 days.
• The time basis of analysis can be sent and by default set to weekly basis

Into the NFT collection, five NFTs have been chosen as below:

• Wvrps by Warpsound
• Eulerbeats
• Kingship
• Stickmen Toys
• Audioglyphs

The details about the structure o this tool explained in the methodology section.

Ethereum blockchain:

Ethereum is a platform based on blockchain technology, which was created to remove middlemen from various things such as financial services, social networks and even computer games. Ethereum is a decentralized network, no government body oversees it and it is not controlled by any person or intermediary. The decentralization of the Ethereum network has made this blockchain resistant to events such as hacking, network failure due to equipment failure, etc.

Ethereum runs on a decentralized computer network, called a distributed ledger or DLT (Distributed Ledger Technology). DLT itself has many sub-branches, blockchain being one of them. Blockchain manages the data of transactions and blocks. Computers that are responsible for processing transactions and building new blocks in blockchain networks are known as nodes.

Methodology:

The data provided by Flipside has been used to handle this analysis.

In this dashboard the following steps have been used to handle the investigation:

• Step 1: The identification of top Music NFTs

  • This part handled by the use of articles that referenced in the last part

• Step 2: Sale analysis

  • Metrics: Sale count, Purchaser count, Sale volume, Cumulative analysis, volume per day, Creator and Platform fee.

  Step 3: Price analysis

  • Metrics: 7-day moving average for sale price, Average sale price, Max and min sale price, Bond price, Median of sale price

• Step 4: Investigation on Marketplaces

  • Previous metrics

• Step 5: Leaderboard and purchasers behavior

  • Top NFT purchasers and Traders with highest profit in USD

  • NFT hold time, Count of NFTs hold by holders, Sale and purchaser distribution by sale price, Purchaser distribution by sale count, Crossover with other NFTs, Top traders of each collection

Part 1: Sale stats

The first section of this analysis represents the stats related to the sale activity of selected Music NFT collection over the chosen time frame.

In this part we will see:

• Overall sale stats
• Sale activity over the selected time frame and time basis

By the use of the results of this section, you can find the activity of NFT collection and obtain the updated information about top Music NFTs from sale point of view.

Part 2: Price analysis

This section provides the price analysis related to the selected Music NFTs over the chosen time period.

In this sections you will find the following metrics:

• Average sale price in ETH and USD
• Floor and highest sale price in ETH and USD
• Median of sale price in ETH and USD
• 7-Day moving average sale price in ETH and USD

All of the above metrics find out in overall and time base analysis and represented in this section.

Part 4: Leaderboard and Purchaser behavior

One of the most important investigations related to each Music NFT is determining the behavior of purchasers from various aspects. In the first part of this investigation, the leaderboard of each Music NFT determined.

The following metrics have been determined to underestimate that how users interacted with marketplace:

• Purchaser distribution by count of buy: 3 buckets have been introduced.
• Purchaser distribution by sale price in USD: 4 buckets have been defined.
• How many NFTs held by each owner.
• The crossover with other marketplaces mean that how users of selected marketplace interacted with other marketplaces in the chosen time period.
• Top NFT buyers with net profit in USD.

Useful links:

• About Music NFT
• OpenSea article about Music NFTs
• Music NFTs trend

Author:

Credited by MZG

Discord handle: m.zamani#0361

Twitter handle: @GargariZamani

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Part 3: Investigation on Marketplaces

The third section of this investigation is related to the secondary sale activity of selected Music NFT on various marketplaces. The following metrics have been used to find out the sale pattern of NFT collections on Ethereum NFT marketplaces:

• Share of market by sale count
• Total sale volume in ETH and USD
• Paid fee as Royalty and platform
• Average sale price on each marketplace
• Over time sale analysis on each marketplace

Music NFTs

Music NFTs, like other NFTs, is a type of digital asset available on the blockchain network that can be bought or sold. Compared to conventional NFTs that are a kind of visual asset, a music NFT has musical properties in addition to the visual aspect.

Having assets such as NFTs on blockchain networks has advantages, one of which is ownership transparency and data access. The decentralization of blockchains has made it possible for anyone to participate in it just by having a stable internet and sufficient initial capital. Despite not having a specific and stable legal framework present in traditional banking systems, blockchains have a special transparency that can ensure the accuracy of its affairs.

With the emergence of the online music distribution model, which is known as streaming, the chances of composers and singers to earn money by selling their works have decreased drastically. Considering that NFT's approach to the music industry is like a physical work of art that can be bought and sold, we can hope that fans will buy cassettes, records and CDs in order to listen to their favorite albums and songs as in the past and invest in their favorite artist. They also have the chance to increase the value of their digital assets in the future.