PledgeMusic, a platform that was hailed as an antidote in music industry, a crowdfunding site designed to empower fans support various projects from artists, is now offline owing to bankruptcy proceedings. The site owes millions of dollars to artists who now won’t be able to access details of their own profiles and fans. The company had shut down its operations in early days of this year itself, however it has gone offline recently to aid the bankruptcy proceedings.
The company posted a message for everyone who is now trying to visit the site to ensure them that their data is still 100 per cent secure and a notice with the forthcoming steps will be posted by them shortly. The message also assured that the company is working with ‘outside counsel’ to get things sorted at the earliest. The site was launched back in 2009 as a platform for bands to crowdfund their albums and sell CDs and merchandise. The site would ask for payments from fans and give it to the artists after charging a certain fee. The site served well for many artists who did not have a strong musical background to help them through.
The goodness began to fade though when it was reported that the company had begun using the funds raised for bands for their own expenses. In January this year, it was reported that PledgeMusic owes millions of dollars to artists which prevented all those artists from fulfilling their respective pledges to fans. However, in May the company confirmed it was going under administration and as was reported, it had a total debt of around USD 3 million including money that was to be paid to artists who used to perform on the platform.
Talking of Bankruptcy proceedings, Barneys is the biggest name as of now that is heading towards bankruptcy.