The music industry explores tokenization amid opportunities and legal challenges.

Against the backdrop of growing interest in the tokenization of assets in the music industry, Joaquim Matinero, counsel specializing in blockchain, digital assets, and Web3, analyzes the main legal challenges posed by this model of rights digitization in an article published in ABC and written by Adrían Espallargas. In his analysis, he highlights that the complexity stems from the coexistence of multiple rights holders for a single work—authors, composers, publishers, producers, performers, and collecting societies—which requires verifying in advance who can issue the tokens, what rights and revenues are linked to them, and how potential conflicts will be resolved.

He also emphasizes that tokenization requires a rigorous legal framework from the outset, since moral rights are excluded from commercial transactions and certain economic rights may be assigned or managed collectively. In this regard, he warns of the need to clearly define “who can do it, what revenues are allocated, how they are audited, and what happens in the event of conflicts or changes in exploitation,” thereby avoiding uncertainties throughout the project’s lifespan.

Finally, it highlights that, although jurisdictions such as the European Union, Switzerland, Luxembourg, Singapore, and Dubai already offer various regulatory frameworks for the tokenization of assets and the development of blockchain infrastructure, Spain must move toward greater legal certainty. Furthermore, it notes that the possibility that certain tokens may be considered financial instruments “complicates the process and requires each issuance to be carefully designed from the outset.”