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Comment by scott_s | Hacker News Reader

You’ve described a share in a private company. Not only do you not need an NFT for that, using an NFT provides you no additional guarantees.

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Cool! How would you like to open a private company and manage that, including accounts and taxes, for every song?

An NFT is just a receipt, it doesn't do any of the above. It's only better than a paper receipt in that it can be transmitted electronically.

NFTs don’t do that for you. The company linked still has to do that.

NFTs can absolutely do that. They're programmable tokens that can be coded to do anything.

When people purchase songs though the smart contract, part of the value can be automatically sent to the wallet of the person who owns the NFT that corresponds to that song.

The problem is most people, even on here still think NFTs are just some dumb pointer.

You're begging the question; you are assuming all transactions will happen on chain. That's not reasonable. Most transactions will happen with normal currency, using normal means. This company then needs to track all of that and do the distribution on chain.

And if they only allow people to compensate artists through cryptocurrency, then it's not viable for artists.

Please point me to a musician who has created a private company and sold shares in order to compensate investors for royalties from their work.

That’s beside the point. This company does not need NFTs to do it.

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