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Awka Journal of Research in Music and the Arts (AJRMA) Vol 17 June 2024 

BLOCKCHAIN TECHNOLOGY: A VERITABLE TOOL FOR COMBATING MUSIC PIRACY IN 

THE NIGERIAN MUSIC INDUSTRY 

 

Charles M. Asenye 

The Department of Music 

University of Uyo, Uyo 

charlesasenye@uniuyo.edu.ng 

& 

Isaac E. Udoh 

The Department of Music 

University of Uyo, Uyo 

isaacudoh@uniuyo.edu.ng 

& 

Florence C. Mandor 

The Department of Music 

University of Uyo, Uyo 

florencemandor2@gmail.com 

 

 

Abstract 

Disruptive technologies have always been the result of human growth and development, because 

development brings new challenges, thus needing new solutions. The Nigerian commercial music arena 

is fraught with numerous challenges requiring new approaches for seeking solutions. Among these 

many challenges is the nagging problem of music piracy. Musicians within the industry should be able 

to get commensurate reward in terms of revenue accrued to them. This is however not the case due 

to the dangerous activities of pirates and other middle men within system. The obvious solution lies 

in finding ways to eliminate these middle men and all forms of third-party interferences, thereby 

bridging the gap between the artistes and the music consumer. One effective way of doing this is by 

engaging the use of the blockchain technology, an advanced database mechanism that allows 

transparent information sharing within a decentralized network. The objectives of this paper 

therefore is to highlight the problem of music piracy and other negative activities within the Nigerian 

music industry, explain and advocate for the adoption of blockchain technology as a solution to these 

problems, and also highlight other applications of the new technology. The paper adopts the 

descriptive method of research. Sources of data include books, journals, and the internet. Findings 

show that blockchain technology, which is based on a decentralized system, is an excellent solution 

to many problems associated with the Nigerian commercial music ecosystem. 

Keywords: Blockchain; Music piracy; Technology; Decentralized systems; Artistes 

 

Introduction 

New technologies are discovered for solving problems. In the Nigerian music industry, piracy has 

constantly been a thorn in the flesh for artistes. Musicians struggle to make their music, going 

through the various stages of music production, marketing and distribution. Negative practices by 

some industry players range from production and multiplication of fake copies of music, to outright 

theft of intellectual properties, and charging exorbitant marketing and distribution fees. These 

individuals end up fleecing music artistes who end up with little or nothing to show for their intense 



 

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Awka Journal of Research in Music and the Arts (AJRMA) Vol 17 June 2024 

labour. It is the position of this paper that blockchain technology can be used to mitigate these 

problems, and turn the tide in favour of musicians and even the final consumer. 

 

A blockchain is a data structure that makes it possible to create a digital ledger of data and share it 

among a network of independent parties (Laurence, 2017). Due to its immutability, when data is 

recorded in a blockchain, it is extremely difficult to change or remove it. When someone wants to 

add a record to a blockchain, also called a transaction or an entry, users in the network who have 

validation control verify the proposed transaction. These are called nodes, and every node on the 

blockchain must agree to validate. Every blockchain has a slightly different method on how this works 

and who can validate a transaction. The boldness of the Blockchain system lies in implementing a 

shared database that everyone has access to their information (Zheng, Xie, Dai, Chen, & Wang, 2017). 

The level of security and trust built around blockchains is only possible because of the use of 

encryption and the consensus protocol, which in Bitcoin’s blockchain implementation is called Proof-

of-Work (PoW). 

From the foregoing, it is clear that among the many amazing and developed high-level technologies of 

the current revolutionary era, blockchain technology can easily qualify as one of the most complicated 

and advanced. This can be regarded as the ultimate level of the Fourth Industrial Revolution as a 

testament to human historical advancement and development. It is the possibility of harnessing this 

technology in such a way as to bring in some level of stability and sanity into the Nigerian music 

industry that this paper seeks to discourse in details. 

 

Theoretical Framework 

The Token Economy Theory, initially proposed by B.F. Skinner in the 1950s within the context of 

behavioral psychology, has evolved significantly with advancements in digital technology. Skinner 

(1953) posits that behavior is shaped by its consequences; rewarding certain behaviors encourages 

their continuation. This principle led Skinner to develop token economy systems, initially tested on 

lab rats and pigeons and later applied to humans. The strategy involves giving tokens instead of 

immediate rewards. These tokens can be accumulated and exchanged for larger rewards later. This 

shift enhanced the versatility of using rewards to condition behaviors effectively.  

In the realm of blockchain and decentralized systems, this theory now plays a pivotal role in 

understanding how digital tokens can create and manage decentralized economies. This theory applies 

directly to the music industry, particularly in addressing the persistent issue of piracy within the 

Nigerian commercial music arena. Token Economy Theory, as adapted for blockchain technology, 

emphasizes the use of digital tokens to incentivize and govern behaviors within a decentralized 

network. The theory implies that by using blockchain-based tokens, the music industry can create a 

transparent and secure environment where artists, producers, and consumers interact directly, 

eliminating the need for intermediaries. This process involves converting music tracks into non-

fungible tokens (NFTs), which are unique digital assets stored on a blockchain (Laurence, 2017). 

 

Blockchain's decentralized nature ensures that music assets are securely recorded and verifiable, 

making it extremely difficult for unauthorized parties to duplicate or distribute pirated copies. Each 

transaction involving these tokens is recorded on an immutable ledger, providing a transparent and 

tamper-proof record of ownership and distribution (Zheng, Xie, Dai, Chen, & Wang, 2017). This 

transparency not only deters piracy but also ensures that artists receive fair compensation for their 

work. Token Economy Theory also highlights the potential for direct monetization through blockchain 



 

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Awka Journal of Research in Music and the Arts (AJRMA) Vol 17 June 2024 

platforms. Artists can sell their music directly to consumers as NFTs, receiving payments instantly 

and without intermediary fees. This direct interaction fosters a closer relationship between artists 

and fans, while also ensuring that a larger share of the revenue goes to the creators. Additionally, 

smart contracts—self-executing contracts with the terms directly written into code—ensure that 

royalty payments are automatically and accurately distributed. 

 

An Overview of the Nigerian Music Business Industry  

The Nigerian commercial music industry is a burgeoning market with investments running into billions 

of Naira. Sunday-Kanu (2021) defines the music business as a segment of the entertainment industry 

where performers, producers, composers, analysts, and publishers earn a living. It involves producing 

music for economic gain, encompassing services like concerts and recitals and goods like CDs, MP3s, 

and music scores. Emielu (2014) supports this, noting the industry includes tangible products like 

sound carriers and intangible ones like intellectual property rights. 

 

Nigerian music is one of the most vibrant and rapidly growing music ecosystems globally, with a rich 

history and diverse genres like Afro-pop, Hip-hop, Afrobeat, Fuji, Afro-fusion, and traditional folk 

music (Forchu, 2009). According to a February 16, 2023, report in the Premium Times, the industry 

generates over $2 billion annually, driven largely by digital streaming and downloads. This growth has 

made it a significant contributor to Nigeria's economy, providing jobs and income to thousands. 

Nigerian musicians have gained global recognition, winning awards and collaborating with international 

artists. 

 

The unfortunate aspect of this seemingly wonderful story of the Nigerian music industry is the 

distribution model of the huge revenue that the industry generates. The artistes who are the owners 

of the music only gain access to a portion of this revenue which is not commensurate with what they 

put in. This is a major challenge. Pirates and other middle men in the business of music making and 

selling have, through their activities, constituted themselves into major drain holes sapping up major 

chunks of generated revenue. This is done through fake copies of albums, illegal streaming and 

downloading platforms, and exorbitant management and distribution fees. Adedji (2010) puts it this 

way: 

The major challenge that the industry is facing stemmed from the exit of the major 

labels, which marked the collapse of the structure for artists. This collapse can be linked 

to the decline in the economy which also created piracy and abuse of intellectual 

property. Piracy has not allowed those that remained to be properly remunerated and it 

is stifling the artists as well (p.264). 

On the menace of music piracy and its history, Okoroji (2009) traces the roots to the 1980s with the 

introduction of cassette technology:  

The cassette tape was quietly taking over as the major carrier of music, [but] the music 

industry in Nigeria was slow to notice this development. There was virtually no 

established facility for the production of legitimate music cassettes. Yet there was a 

huge demand for them. While the industry ultimately reacted, the pirates had moved in 

long before… [and a] pirated version of every successful release on vinyl appeared in the 

market sometimes even before the official release of a record (p. 23). 

 



 

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Awka Journal of Research in Music and the Arts (AJRMA) Vol 17 June 2024 

However, a closer look into the music industry yields the surprising discovery that there exist some 

kind of symbiotic relationship between music pirates and music artistes whose works are being 

pirated. Tade & Akinleye (2012) remark that, owing to the cost of production, pirates provide 

upcoming artistes with publicity and reduce the cost of production. As a result, pirates see 

themselves as legitimate marketers and promoters.  

Although music artistes perceive pirates as criminals, they certainly agree to have enjoyed their 

‘support’ and assistance at some point in their career, especially the early stages. Pirates use their 

network, which includes disc jockeys (DJs), and radio and television presenters to promote budding 

and high profile artistes. They, as self-styled promoters have made themselves vital if, not 

indispensable in the music industry. Despite the negative effects of theft of intellectual properties 

and drain on finances, both upcoming and popular artistes accepts that music pirates provide fame 

for a large number of artistes (Tade & Akinleye, 2012). 

 

Blockchain Technology 

Having detailed some of the challenges in the Nigerian music industry, this paper proposes a solution 

based on a decentralised technology which brings the artiste and the end-user together, eliminating 

most of the middle men. Laurence (2017) views Blockchain as a data structure that makes it possible 

to create a digital ledger of data and share it among a network of independent parties. It can be 

thought of as distributed databases controlled by a group of individuals where information can be 

stored and shared. The central feature of this networked technology is that central control of data 

flow is absent. Three main types of blockchains have been identified: Public, Permissioned and Private 

Blockchains. All three types of blockchains use cryptography to allow each participant on any given 

network to manage the ledger in a secure way without the need for a central authority to enforce 

the rules. Laurence (2017) states: “The removal of central authority from database structure is one 

of the most important and powerful aspects of blockchains” (p. 8). 

 

Blockchain technology epitomises an advanced database mechanism with powerful and transparent 

information sharing capabilities within a business network. Data are stored in blocks within the 

database, and these data are linked together in a chain, hence the name - Blockchain. Since there is 

no central authority controlling access or use of data, data is chronologically consistent and stable as 

the chain cannot be deleted or modified without consensus from the decentralized nodes. This 

attribute of decentralized control, where all have to come into an agreement for any modification to 

take place within the chain, is the central reason why blockchain technology offers an unalterable or 

immutable ledger for tracking payments, transactions, orders, accounts, and other transfers. There 

are in-built mechanisms within the blockchain which prevent unauthorized or malicious transaction 

entries and create consistency in the way these transactions appear and are seen. 

 

The blockchain employs a peer-to-peer method of data sharing and integrity. Drescher (2017) opines 

that the blockchain can be considered a tool for achieving and maintaining integrity in distributed 

systems. Purely distributed peer-to-peer systems may use the blockchain in order to achieve and to 

maintain system integrity.  



 

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Awka Journal of Research in Music and the Arts (AJRMA) Vol 17 June 2024 

 
Euromoney Learning 2020’s Model showing a blockchain process path  

History of Blockchain 

Blockchain technology, a peer-to-peer network, operates without a central authority or trusted 

intermediaries to authenticate or settle transactions. There are two generations of blockchain. The 

first generation, introduced by Satoshi Nakamoto in the 2008 paper "Bitcoin: A Peer-to-Peer 

Electronic Cash System," proposed a decentralized digital currency that eliminates intermediaries 

and the need for trust between parties. Nakamoto's solution to the double-spending problem and the 

development of the Proof-of-Work (PoW) consensus protocol were key innovations supporting a 

decentralized network (Silva et al., 2020). Bitcoin, the first cryptocurrency, was designed to handle 

various transaction types, but faced challenges in supporting diverse transaction requirements 

(Nakamoto, 2008). 

 

The second generation of blockchain was introduced with Ethereum in 2013, which enabled the use 

of smart contracts. Smart contracts, a concept introduced by Nick Szabo in 1997, allow for the 

formalization of relationships and provide a secure model for transactions (Szabo, 1997). Ethereum's 

platform supports various applications beyond cryptocurrency, such as trading intellectual property, 

through transparent and irreversible smart contracts. This ensures that all parties are aware of 

contract terms before committing, enhancing security and trust in the network. 

 

Non-Fungible Tokens (NFTs) 

One of the many possible items embedded in blockchains apart from cryptocurrencies and smart 

contracts are non-fungible tokens (NFTs). These are unique cryptographic tokens. They are digital 

watermarks that can be used to establish provenance and ownership of many types of assets, from 

tweets to artwork, real estate, and music (Tamplin, 2023). A basic characteristic of physical money 

is its fungibility. It means money can be exchanged for something else worth it. Physical money can 

be exchanged at parity. That means one unit of physical currency is always equal to another unit. It 

is this characteristic of fungibility that makes money an ideal medium for daily transactions. 

NFTs are items whose monetary value is quite difficult to place or ascertain. For example, it is 

difficult to establish the price for a valuable painting. Non-fungible tokens cannot be exchanged at 

parity with each other. Rather, they are used for unique artefacts with unequal valuations.  

 

Blockchain and the Nigerian Music Industry 

https://www.financestrategists.com/accounting/operating-assets/assets/types-of-assets/
https://www.financestrategists.com/wealth-management/valuation/


 

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Awka Journal of Research in Music and the Arts (AJRMA) Vol 17 June 2024 

Blockchain – Music production interaction model 

The Nigerian music industry faces significant challenges, including piracy, exploitative intermediaries, 

copyright infringements, concert ticketing issues, and high production costs. Blockchain technology 

can effectively address these problems. Robert Kviby, Chairman of Staccs entertainment agency, 

views piracy as a result of an imbalance between traction (exclusivity, quality, availability) and friction 

(cost, packaging, commitment, data integrity, checkout process). Piracy occurs when friction 

outweighs traction, indicating a need to enhance user value and streamline service processes (Tuck, 

2022). 

 

Musicians, who are the core of the music production ecosystem, often earn the least due to profit-

sharing with crew members, producers, and record companies. In Nigeria, piracy further reduces 

artists' earnings. Adopting blockchain technology can transform the industry by using blockchain-

based platforms and smart contracts. These tools promote inclusion, integrity, transparency, privacy, 

security, rights respect, and fair value exchange. This shift could create a pro-artist music 

ecosystem, minimizing the role of intermediaries. This paper explores the potential applications of 

blockchain in Nigerian music production and the benefits of securing musical intellectual property on 

the blockchain. Some of these applications include: 

1. Elimination of Middle Men 

The Nigerian music industry faces numerous challenges, with marketers and distributors significantly 

cutting into musicians' earnings. Even with online streaming, artists receive minimal returns, stifling 

their creative freedom. This paper advocates for Nigerian musicians to utilize blockchain technology 

and release their music as NFTs. This approach can eliminate the high fees imposed by intermediaries, 

streamline distribution, and ensure more revenue goes directly to the artists. 

2. Establishment of origins 

Toki Anifowose, in the Guardian on September 19, 2022, highlighted the pervasive issue of 

intellectual property infringement in the Nigerian music industry. He noted that many top Nigerian 

artists, as well as emerging ones, have been accused of copying songs without proper attribution. This 

paper suggests that victimized artists themselves may contribute to this issue due to a lack of 

understanding of Nigerian copyright laws, which are outdated. 

Blockchain technology can be a game changer. By releasing their music as NFTs, Nigerian musicians 

can assign unique codes and addresses to their songs, ensuring protection against intellectual theft 

and fraud. The immutable nature of blockchain technology guarantees that data cannot be altered, 

providing transparency and giving artists full control over their works. This makes illegal downloads 

and wrongful ownership claims impossible. 

3. Elimination of pirated copies of music 



 

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Awka Journal of Research in Music and the Arts (AJRMA) Vol 17 June 2024 

By the end of 2022, global losses to music piracy were estimated at US$51.6 billion (Tuck, 2022). In 

Nigeria, a 2016 study revealed that copyright piracy alone caused losses exceeding N100 billion 

annually (Nnamani, 2016). By 2021, Pretty Okafor, president of the Performing Musicians Association 

of Nigeria (PMAN), estimated these losses, including unclaimed royalties and non-payment for 

Nigerian creative works, at N10.5 trillion annually (Kenechi, 2021). 

The US Department of Commerce identified Nigeria as the largest African market for goods 

infringing intellectual property rights, with about 80% of international music CDs and 40% of local 

music CDs copied, counterfeited, and sold illegally. Blockchain technology can transform this situation 

by placing music on a decentralized, peer-to-peer (P2P) network, thus eliminating central sources of 

piracy (Tuck, 2022). Blockchain-based platforms offer effective anti-piracy measures by providing 

central storage and sharing services with integrated monitoring against infringements. Each user 

receives a unique digital fingerprint for content, allowing original pirated material to be quickly 

identified and removed (De León & Gupta, 2017).Ongoing projects using blockchain to combat piracy 

include Cinezen, a decentralized video-on-demand service, and MovieCoin, a blockchain-based content 

distribution service. 

4. Reduction in cost of music creation  

In Nigeria, the cost of creating, producing, and distributing music is high due to expenses from studio 

engineers, producers, distributors, marketers, and online streaming companies. If musicians could 

reach their audience directly, they could save significantly on these costs. Blockchain technology 

facilitates this direct connection. By releasing music as NFTs on the blockchain, artists can sell 

directly to listeners, with payments going straight to the artists' accounts. This eliminates the need 

for third-party marketers and distributors, reducing overall production costs. 

5. Crowd-funding 

Blockchain technology offers a win-win arrangement for music creation, allowing people worldwide to 

license, buy, stream, collaborate, and invest in music projects with full transparency via smart 

contracts on second-generation blockchains. Traditionally, fans support artists by buying records or 

attending concerts, but intermediaries often take a large share of the revenue. Beyond concerts, there 

is little engagement between artists and fans, and most revenue goes to companies, with only a small 

percentage reaching the artists. 

Blockchain-based crowd-funding platforms address these issues by enabling direct value transfer 

between fans and artists using cryptocurrency. NFTs and smart contracts ensure accurate transaction 

records and enforce rules. Different platforms offer varying benefits. For instance, on Audius, users 

earn tokens by interacting with artists and sharing playlists, allowing both artists and fans to share in 

the value created (Mattias, 2022). Regardless of the platform, artists receive direct payments, and 

fans gain benefits. 

6. Authenticity of tickets and ticketing 

In Nigeria, concert ticketing faces issues like fake tickets, racketeering, hoarding, and theft. Fraud 

schemes often target concert-goers, and even large platforms struggle with verification. 

Incorporating NFT technology into ticketing can solve these problems by reducing system 

vulnerabilities. Digital tickets become unique, valuable assets, as seen when Coachella partnered with 

FTX to offer fans lifetime passes and other benefits. 

Middlemen often buy tickets in bulk and resell them at exorbitant prices, making it difficult for fans 

to purchase tickets. Placing tickets on the blockchain ensures they go directly to fans, eliminating 

middlemen and reducing costs. This makes tickets more affordable and accessible. 

 



 

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Awka Journal of Research in Music and the Arts (AJRMA) Vol 17 June 2024 

 

 

 

Engaging the Blockchain Technology 

There are many companies and platforms that render specifically music-based blockchain services. 

Some of these companies offer watertight copyrights protection services, others create 

opportunities for fan engagements and reward systems. A few are highlighted below: 

1. Sound 

This fully remote platform operates by creating a more interactive relationship between artistes and 

fans through its Web3-based NFT platform. This process bridges the gap between the musicians and 

their fan base.  When an artiste releases a song as an NFT, specific numbers are attached to these 

copies which are purchased directly by the fans. Owners of early copies use these numbers to 

authenticate their bragging rights which, in turn, allow them sell their NFTs for more value. The 

Discord hangout component of the platform allows artiste engagements with their fans. 

2. Digimarc 

Digimarc is located in Beaverton, Oregon. The company develops solutions for licensing intellectual 

property for audio, visual and image content using integrated blockchain technology in licensing music. 

Digimarc uses its special Barcode system as music fingerprinting technology that links to metadata 

in order to track music sources, measure usage and estimate payments. The digital watermarking 

technology works with most music files and gives a more holistic insight for music rights holders. 

3. Mediachain 

MediaChain, which is now a part of Spotify, is located in Brooklyn, New York. Mediachain deals majorly 

on issues of fair revenues and payment of royalties to music and content owners within the music 

industry. It is a peer-to-peer, blockchain database for sharing information across different 

applications and organizations. Mediachain offers open-source information by issuing unique 

identifiers for each piece of information, thereby leaving no one in doubt. They also work with artists 

to ensure they are paid fairly. Smart contracts are facilitated with musicians that directly state 

their royalty stipulations without the nagging problems of middle men, third parties or contingencies. 

4. Royal 

Royal turns music fans into invested partners, providing a platform where listeners can purchase a 

percentage of a song’s royalties directly from an artiste. Once an artiste determines the number of 

royalties to put up for sale, a Royal user can buy these royalties as tokens and hold on to them or sell 

them on an NFT exchange. Users can facilitate transactions with a credit card or crypto, and Royal 

even creates crypto wallets for those who don’t have accounts yet.  

 

Conclusion 

This paper considers the blockchain a veritable tool for arresting many of the ills within the Nigerian 

music industry. Challenges of piracy, depletion of accrued revenue, intellectual property theft and 

other copyright infringements, distribution and streaming, ticketing for concerts and elimination of 

false tickets, funding for music production, and fan base interactions can all be managed with the 

alignment of the industry to modern technology, specifically the blockchain.  

 

History is replete with lots of lessons. One of such lessons is that early adopters of disruptive 

technologies tend to benefit the most from them. As it is currently, the world has become a global 

market place, many entities and individuals are already at the fore front of this revolutionizing 

https://www.digimarc.com/
https://www.digimarc.com/blog/fixing-music-industrys-royalty-payment-problem
http://www.mediachain.io/
https://techcrunch.com/2017/04/26/spotify-acquires-blockchain-startup-mediachain-to-solve-musics-attribution-problem/
https://royal.io/
https://builtin.com/blockchain/best-crypto-wallets


 

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Awka Journal of Research in Music and the Arts (AJRMA) Vol 17 June 2024 

technology, Nigeria is already trailing behind. Nigerian music artists and industry leaders are hereby 

urged to embrace blockchain technologies and start thinking about new ways to leverage their 

possibilities. Ideas are inexhaustive and more ways of application of technology are always discovered 

in continuum. An additional idea may just change everything! 

 

Recommendations 

The paper makes the following recommendations: 

1. Nigerian music artists who desire to break free of the status quo in the industry should 

embrace the blockchain technology by placing their songs and music materials on the 

platforms, thereby owning full control of their works. 

2. Hooking unto the blockchain technology will create a win-win relationship for both the artiste 

and the fan base, and brings them into a closer, clearer and more beneficial relationship. It 

is therefore highly recommended for adoption by the music industry. 

3. Government, through relevant agencies, should make copyright laws more potent and at par 

with current realities. This will help reduce the menace of music and intellectual piracy within 

the music industry. 

4. The blockchain and its technical aspects should have a place within the Nigerian education 

system. This will help open the horizon for wider experiences and application of the 

technology in solving our many problems. 

5. Rather than complete stifling, Government should make policies that help in regulating 

activities within the cyber-tech environment with the aim at exploring these technologies for 

national growth. 

 

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https://archive.org/details/consequentia_xxxx_1988_000_9240564
https://www.financestrategists.com/about/true-tamplin/
https://technologymagazine.com/author/alex-tuck

