On Wednesday, SoundCloud revealed its acquisition of Nina Protocol, a decentralized music service that allowed independent musicians to sell their music directly to fans, retaining 100% of their earnings.

The specifics of the financial arrangement have not been shared. It is also uncertain if any individuals from Nina’s team will migrate to SoundCloud. The company has not yet provided a response to a request for comments.

This acquisition marks SoundCloud’s first since acquiring the AI music firm Musiio in 2022 to enhance music discovery. The move indicates that SoundCloud is continuing to broaden its role from merely hosting music to becoming a comprehensive platform for independent artists.

As a result of the deal, SoundCloud will gain ownership of Nina’s editorial records and “genre map.” The company stated in a blog entry that this enables it to maintain Nina’s “extensive archive of music journalism, artist profiles, and cultural insights” and “assist in highlighting emerging artists, scenes, and music for a wider audience.” 

“[Nina Protocol] created an outstanding platform centered around independent artists, communities, and scenes, and our main objective is to respect their achievements while progressing that mission,” SoundCloud CEO Eliah Seton expressed in a statement. “Together, we aim to empower more independent artists to forge stronger connections with fans, discover new revenue opportunities, and access the necessary resources to cultivate sustainable careers on their own terms.”

The acquisition follows closely after Nina announced it would terminate its platform on May 28, citing the inability to establish a viable business model. 

Established in 2021 by independent artists Jack Callahan, Mike Pollard, and Eric Farber, Nina Protocol provided musicians with a means to run their digital storefronts independent of conventional streaming services. The platform was developed on the Solana blockchain for quick, cost-effective transactions and utilized Arweave for the permanent decentralized storage of music files and associated metadata.

For artists associated with Nina Protocol, SoundCloud is providing a migration tool to help transfer their work to its platform. Additionally, these artists will receive a free SoundCloud Artist subscription valid until the end of the year, which offers monetization options and audience development tools.