Hi folks, some days ago I told you about musicoin actual issues and I'd like to explain not only muscoin but also some other blockchains basic problem that I think is good to take into consideration if you are going to go in. By the way, right now the musicoin web is down and the owners of the music are not able to take it down. It's said that they are working on it, but no official statement. But let's move, today I'm gonna talk a little more globally.

In fact, the first thing I think we should ask is an easy concept that can be said in one sentence: "Is there a need for crypto here?". As you can see it's about the basics. Most of the times the answer is "no". When it happens, the crypto itself is like a fidelity club points, or air miles or something like that (if the project is lucky enough to survive, of course). And then comes the question about investing or not: "why I should invest in fidelity club points?" The answer I think it's obvious. Of course, if you invest to speculate maybe the answer will be different, but if you invest long term it's important to take this into consideration. I think it's very related with where the value of a crypto comes if there's any value, of course.

There are some projects where the value comes in theory because people are going to buy the coin in order to use the app, blockchain or whatever. One example would be Moozicore, that in theory uses the coin to make actions on the app. The action is choosing the music that sounds where you are, a bar, venue... This is in, theory, because after taking lots of money in the ICO (yes, it's from that time) they did nothing more than a sample app that is for the moment useless, and a bunch of broken promises. Assuming they are legit, let's think for a moment: you have an app to choose the music like a sort of jukebox and you can do it in FIAT or with the native crypto. Also in theory, if you pay with the crypto you'll get a discount. Ok, here you have the perfect example. MZG (the actual ticker for the project) is a discount point, nothing else. There is no need to have it anywhere as you can do the same in fiat. You can think that MZG is also some kind of company shares, but then you read the last "news" from the team, you will see that they talk about "private investors" and "shares of the company" so something is wrong. If I have to be honest, I should say that I'm convinced that this statement is fake and there are no investors. So in this case there's no need for crypto because all can be done in fiat.

Other music cases (musicoin was one of these, also was choon) are the "pay per play" ones. This cases are good as an idea, but there's no way to make the coin valuable by itself. Someone could think that there should be some publicity banners on the web and these benefits should be where the value of the coin is, but there's no pub anywhere and then comes the question: Is there any real value? The answer is difficult, in most cases is NO. Let's see. If you are a musician, you upload your music and will get paid in the native coin from a pool. Then, if you are a listener, you just push play and the pool pays for you. So, if a pool takes the coins and distributes for free, how can the value grow? Can you add value to something if it's free? How can you? If there's no value 'cause there's no interest in buying a coin that is basically free to use or get, past the first speculation waves, there's no volume anywhere so no value. You can add here that the data (music in this case) is not on the blockchain but in regular servers and web 2.0 (if we are generous). So at the end, I see this kind of coins as a reproduction count and nothing more. 

There's also some project paying on the average reproductions. Ok, in this case there's no reproduction count, but a sort of ranking, but the value problem keeps being the same.

If instead of creating a coin this projects pay in some consolidated coin, maybe they would generate some interest, but the model should be different, maybe more like publish0x.

So if you are planning to invest in some music projects, take a deep look for the back value first!

 So what you think, is there a way to increase value in this kind of coins? Thanks for reading and have a nice weekend!

DISCLAIMER: this are only some ideas, I don't intend to advise no one in no way and it shouldn't be taken as it.