Why Should I Invest in CODA?

Investing in CODA means gaining exposure to a groundbreaking model for royalties, creative assets, and blockchain-powered ownership. Let’s explore this idea from a financial perspective, incorporating key concepts like earnings potential, risk management, and strategies to reduce market losses.

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Why Invest in CODA?

Unique Value Proposition

Tokenized Royalties

CODA allows you to invest directly in creative works such as songs, albums, or other IP, represented by tokens. These tokens entitle holders to recurring royalty payments, offering a potential passive income stream.

Diversification

Creative assets are a non-traditional investment class, often uncorrelated with the broader stock or crypto markets. This helps balance your portfolio.

High Growth Potential

The global music and entertainment industry is growing rapidly, with streaming revenue alone projected to hit $103 billion by 2030.

By owning a piece of this growth through CODA, you gain exposure to an industry with long-term upward trends.

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How Much Money Can You Make?

The earnings potential depends on several factors:

Performance of the Asset

The royalties earned by a song or creative work directly impact your returns. Popular hits generate higher revenue.

Token Allocation

The more tokens you hold for a specific work, the larger your share of the royalties.

Market Value

Tokens themselves may appreciate as the underlying asset gains popularity.

Estimated Returns

Let’s consider an example:

You purchase tokens for a song with an expected annual royalty payout of $10,000.

If you own 10% of the tokens, your share of royalties will be $1,000 annually.

Growth Over Time

Royalties can grow as the creative work gains traction. For example: A song that initially earns $10,000 annually might grow to $50,000 in 5 years, increasing your returns proportionately.

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Mitigating Market Losses

Risk Reduction Through Diversification

By investing in multiple assets (songs, albums, or IPs), you reduce reliance on a single work’s performance. CODA makes it easy to diversify your portfolio with its tokenized system.

Royalty-Backed Stability

Unlike speculative crypto assets, CODA tokens are backed by real-world revenue streams. This provides intrinsic value, reducing exposure to market volatility.

How CODA Protects Investors

Transparent Data

The CODA Manager and Royalty Distributor contracts provide full visibility into earnings and payouts, allowing you to make informed decisions.

Smart Contract Mechanisms

The platform ensures that royalties are distributed fairly and securely, avoiding mismanagement or delays.

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How Do We Handle Unrealized Gains and Market Downturns?

Unrealized Gains

Unrealized gains are increases in the value of your tokens that haven't yet been cashed out. CODA encourages long-term holding, as royalties provide steady income even if market prices fluctuate.

Market Downturn Mitigation

Stable Revenue Base

Royalties are tied to consumption (e.g., streams or sales), which remain relatively steady even during market downturns.

Dynamic Valuation

Token prices may drop during a downturn, but their underlying value, royalty rights, remains intact, offering long-term recovery potential.

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Conclusion

Investing in CODA offers a blend of stability and growth by connecting you to real-world revenue streams. While no investment is without risk, CODA’s model is designed to maximize earnings while reducing exposure to volatility through diversification, intrinsic value, and transparency.

This approach allows you to invest with confidence, knowing that your assets are tied to an industry with proven demand and future potential.

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