How to invest

A walkthrough: from browsing to owning a piece of your favorite artist.

Step 1. Browse the leaderboard

  • • Go to the leaderboard. You can sort by:
  • • Trending (artists whose share prices are rising fastest)
  • • Newest (recent listings, get in early)
  • • Most raised (most popular offerings)
  • • Each artist card shows: current share price, 30-day price change, total raised so far, and investor count. Click any artist to see their full profile.

Example: You see KARMA NOIR, a Brooklyn trap artist with 412 monthly listeners. Her share price is $0.34 (just listed). 47 investors have already committed. You click to learn more.

Step 2. Read the artist profile

  • • On the artist page, you will find:
  • • An animated share price chart showing movement over the past 30 days (or since listing)
  • • The artist's bio and music links (SoundCloud, Spotify)
  • • Funding details: the project being funded, target amount, what the funds go toward
  • • The royalty share available to investors (usually 15-25% of the release's revenue)
  • • Investor activity and live distribution tracker (if there have been any payouts)
  • • Social proof: 'X investors own shares in this artist' and recent activity

Example: KARMA NOIR's profile shows she is raising $8,000 for her debut EP. Investors get 20% of the EP's streaming and sync revenue for 5 years. The raise is 56% funded ($4,480 committed). You see that 8 investors bought in yesterday.

Step 3. Decide how much to invest

  • • You can invest between $25 and $1,000 per offering (these are Reg CF limits).
  • • Use the investment calculator on the artist's page to see:
  • • How many shares you will own
  • • What percentage of the offering that represents
  • • Projected quarterly payout range (based on similar artists' earnings)
  • • Your break-even timeline and potential upside
  • • Remember: this is a 12-month holding period minimum. Only invest money you won't need for at least a year.

Example: You decide to invest $100 in KARMA NOIR. The calculator shows you will own 294 shares (0.018% of the offering). At projected earnings of $2,400/quarter from streams, your quarterly payout would be about $4.32. At best case ($4,000/quarter), it is $7.20/quarter. You are betting on her growth.

Step 4. Click Invest

  • • Click the Invest button. A modal appears with a 4-step confirmation flow:
  • • Step 1: Amount slider (confirm your dollar amount)
  • • Step 2: Share breakdown (see your share count and % ownership)
  • • Step 3: Email confirmation (just making sure it is you)
  • • Step 4: Success (your order is complete)
  • • After step 4, the $100 is held in your Artist Exchange account. Funds only leave your linked bank account when the raise closes and is funded.

Example: You drag the slider to $100, confirm that you are buying 294 shares. You see a disclaimer: 'Not a real offering. Phase 1 demo.' You enter your email to confirm. Done. Your investment is pending funding.

Step 5. Wait for the raise to close

  • • Once the artist hits their funding target, the raise closes. This is when your money actually transfers from your bank account to Artist Exchange's custodian (held in trust).
  • • You can track the funding progress on the artist's page in real time. The progress bar updates as new investments come in.
  • • If the raise does not reach its target by the deadline (usually 30-45 days), all investments are refunded automatically.
  • • Funds are never charged unless the raise fully closes and is funded.

Example: KARMA NOIR hits her $8,000 target on day 18. The raise closes immediately. Your $100 (along with everyone else's) transfers to the custodian. You now own 294 shares of her EP's revenue stream.

Step 6. Distributions start in month 3

  • • After funding closes, the artist has 60 days to deliver the promised deliverables (usually recording and release of the EP).
  • • Once released and live on streaming platforms, quarterly distributions begin (month 3 post-close at the earliest).
  • • Every quarter, you receive a statement showing:
  • • Total revenue from the project (streams, syncs, etc.)
  • • Your share percentage
  • • Your payout (ACH transfer or other method you selected)
  • • Detailed accounting (so you can see exactly where the money came from)
  • • You can view all this in your dashboard under Earnings.

Example: Month 3 post-close: Artist Exchange reports that KARMA NOIR's EP generated $12,000 in streaming revenue in Q1. Your 0.018% share = $2.16 in dividends. It hits your bank account via ACH. You will see the same distribution report quarterly.

Tips for smart investing

Diversify

Do not put all $1,000 into one artist. Try 3-5 smaller bets. If one artist breaks, you still have upside from the others.

Check the artist's streaming data

Click through to their Spotify/Apple Music. Are they growing? Listen to a track. Does it resonate? Your gut is data.

Read the project details

What exactly is being funded? A new EP? A tour? Videos? Artists with clear deliverables are lower risk.

Understand the hold period

You cannot sell for 12 months. Pick artists you want to believe in for at least a year. This is not day trading.

Early investors get premium upside

Artists just listed often have room to grow. The further along they are, the more 'known' the risk.

Use limit orders after month 12

After your 12-month hold is up and secondary trading opens, you can set price targets for when to sell.

Want to know more?

Read about how shares work or explore the risks.

How shares work Learn the risks