
Recent studies have concluded that around 80% of fraud is financially motivated and the remaining 20% is “perception” motivated – artists and their teams trying to puff up numbers to appear more popular. Financially- motivated music fraud often manifests as savvy teams or individuals who clain to represent or own songs that aren’t theirs on various platforms, from YouTube to ASCAP and BMI. They ther siphon off royalties from the true right: holders. It’s an effective and pervasive practice, given the difficulty associated with managing royalty collection and rights management across so many different revenue streams. Independen and older talent are especially vulnerable to these quiet attacks, given that these groups typically have less savvy and smaller teams to monitor
and protect their rights.
In addition to financial fraud, perception-motivated fraud in the music industry can take the form of buying fake followers or engagement on social media platforms, artificially inflating streaming numbers through bots or other means, and manipulating chart rankings through bulk buying or other tactics.
The impact of music fraud can be devastating for artists, particularly those who are less established or independent. Not only can it result in lost revenue and royalties, but it can also damage an artist’s reputation and credibility. It also undermines the integrity of the music industry as a whole, making it more difficult for legitimate artists to succeed and for fans to trust the authenticity of the music they are consuming.
As the music industry continues to evolve and new revenue streams emerge, it is crucial that measures are put in place to prevent and detect fraudulent activity. This includes investing in technology and expertise to better manage and protect rights and royalties, as well as educating artists and their teams on how to identify and prevent fraud. By working together to protect the integrity of the industry, we can ensure that artists are able to thrive and that fans can trust the music they love.

