Songcoin: A cryptocurrency dealing exclusively with music

There's been a lot of talk about cryptocurrency, or currencies based in digital valuation. Unfortunately, most of that talk has been bad, as agencies like the Silk Road use it to peddle in illegal services, and Mt. Gox recently lost $367 million in Bitcoins to digital theft. Still, there are believers. Kasian Franks, the co-founder of Pimovi, wants to launch a cryptocurrency, Songcoin, that will deal exclusively in music-based transactions.

The argument: Musicians, like any other user of a cryptocurrency, would appreciate not being charged transaction fees whenever they make an international transaction. This doesn't quite add up for musicians, as few make frequent international transactions. Franks plans to push for more usable benefits for anyone interested in music however. He proposes embeddable "tip jars" that performers could post on their sites, which would hopefully promote listeners sending money toward up-and-comers. He also suggests that fans shopping for concert tickets could receive discounts, similar to how some credit cards work.

Alas, Franks may be overly optimistic. A problem facing small acts in the music industry is that people aren't willing to pay for what they can stream or pirate for free. Hence it seems unlikely that they'll just give money to small acts without expecting anything in return. Discounts such as those suggested by Franks would require a seller like AEG Live or TicketMaster to come onboard, and with the black eye cryptocurrencies have received as of late, it's tough to see it happening.

Regardless, Songcoin will begin doling out free coins next week. You might as well get some for yourself and take part in the theoretical up-valuing of the currency.

Plus, Franks suggests that eventually you'll be able to give tips to music writers as well. On our salary, we won't complain.