After an extended period of limited activity, Royal dropped a huge product update out of nowhere. The website has been completely redesigned, there are meaningful new features, and a bunch of new offerings have been lined up.
Royal’s New Features
With the website update, a host of new features have been introduced to the platform.
NFT Trading On Royal
Arguably the most impactful change is the ability to trade Royal’s music royalty NFTs directly within the platform. Previously, buying or selling the NFTs required using a third-party marketplace like OpenSea.
Royal currently supports the equivalent of both market and limit orders on tokens.
Royal has not specified what the fee amounts will be in 2023. Due to that, we don’t have clarity as to whether or not trading on Royal will save investors money compared to trading on OpenSea.
An Improved Portfolio Page
The portfolio page now provides a much-improved summary of your holdings.
Total token value is displayed and calculated based on trades on the Royal platform. You can also see a summary of the number of streams from your tokens. Instead of only seeing this for 30 days, you can zoom out as far as 5 years to get a broad view of the changes over time.
The portfolio page also offers quick-access options for linking bank accounts, adding funds, claiming royalties, viewing transactions, and checking out posts and extras from the tokens you hold.
A More Informed Purchasing Experience
In our original overview of Royal, one of the main cons I cited was the lack of information around token valuations and reasonable expected range of returns. Royal provided, by far, the least amount of information on the streaming performance and earnings potential across their initial round of drops.
With the massive site update, Royal has made major strides in addressing this.
Now, each listing page provides a forecast range for streams and a corresponding annual payout amount. You can move the slider towards more conservative or more optimistic numbers to see how that affects your earning amount.
This goes a HUGE way to helping investors know what to expect and making sure that tokens are priced reasonably. I only wish they provided the calculation of the percentage return directly alongside the projected $ amount.
Another helpful addition to the listing page is up to 5 years of streaming performance data. Newer songs will obviously have less data to go on, but even a little bit of data can give you an idea of whether Royal’s projections seem reasonable.
But wait, there’s more!
Since you can now buy and sell tokens from previous drops on Royal, there’s also improved information about their ongoing performance. You can see the royalty payouts from previous quarters, as well as an estimate of the performance so far of the current quarter.
New Look & Updated User Experience
In addition to the previously mentioned improvements, the user experience has gotten additional logical overhauls.
The top of the website now features a banner with a rotating list of currently ongoing and upcoming drops.
The remainder of the main page (now called “Discover”) shows previous tokens, trending tokens, and news information. This makes it much easier to discover and review previous drops.
Deal flow has been one of Royal’s other shortcomings. Since the launch of the updated site, one drop has already happened, one is ongoing now, and two more coming before Thanksgiving.
This flurry of drops may be the start of improved deal flow. In their announcement of all the site updates, Royal mentioned there are more than a dozen independent artists lined up to have drops on the platform.
Also included in the announcement is a note that Royal will be working to increase the listing for newer, upcoming artists.
Is Royal Now The Top Music Royalty Investing Platform?
This update has significantly refined Royal’s user experience, provided important new functionality, and helped to shore up many of the weaknesses of the platform. The presence of the built-in secondary market and increased deal flow make it a more complete platform.
The focus on independent artists, in addition to sourcing more offerings from upcoming artists could provide a unique set of investment opportunities.
All that having been said, there are still some significant shortcomings:
- Royal’s drops are still not qualified by the SEC.
- Royalty payments can’t be sent directly to a bank account yet.
- Many offerings are relatively small, so it can be difficult to get the tokens you want.
- Royal is still a new platform in the process of developing a track record of results.
Where To Learn More
If you’re interested in learning more about the asset class, we have an overview of music royalties to help get you started.
We have some articles that can help you understand more about different places you can invest in music royalties.
Royalty Exchange is the place to deploy large sums of capital and to have exclusive ownership of the offerings that are listed. The Royalty Exchange overview has more information about the platform.