Security Center

Glossary

Music Royalties Glossary: Key Terms Explained

C

Composition

The underlying melody and lyrics of a work.

Catalog

All of the Compositions and/or Recordings by Artists and other related material in which Rights Holder owns and/or controls certain rights, title, and interest.

Creators

The musicians, songwriters, and/or recording artists of the Recordings and/or Compositions in which the Rights Holder owns and controls certain rights, title, and interests.

I

Issuer or Co-Issuer

A company established to facilitate and manage investors’ economic exposure to the Royalty Rights. The Issuer facilitates and manages investors’ economic exposure to the Royalty Rights by issuing, for each series, the contractual right to receive a specified portion of royalties, fees, and other income streams embodied in the Income Interests the Issuer receives that relate to Royalty Rights for a specific Music Asset, or a compilation of Music Assets, to investors in an offering of securities pursuant to Regulation A of the Securities Act of 1933, as amended.

M

Mechanical Royalties (Composition)

These royalties are paid to songwriters, publishers, and administrators for the reproduction and distribution of their compositions. They are generated from:
• On-demand streaming platform (e.g., Spotify, Amazon Music)
• Digital downloads
• Physical sales

Music Assets

The legal protections that give creators of original music the exclusive rights to control how their music is used. This means that the copyright owner—usually the songwriter, composer, or publisher—has the right to reproduce, distribute, perform, and license the music, as well as earn royalties from these uses.

Music Copyrights

The legal protections that give creators of original music the exclusive rights to control how their music is used. This means that the copyright owner—usually the songwriter, composer, or publisher—has the right to reproduce, distribute, perform, and license the music, as well as earn royalties from these uses.

Music Royalties

All monies, fees, royalties, revenues, amounts, and sums of any kind or description payable or becoming payable to Rights Holder by any individual or entity anywhere in the universe in respect of the use or exploitation of a Music Asset net of services fees, if applicable.

N

Neighboring Rights/Digital Performance Royalties (Sound Recording)

These are public performance royalties paid to the owner of the recording of the song performed and to the performers whose performance was recorded. They are generated by exploitations outside of the United States or when their recordings are played over digital and satellite radio in the US, such as Pandora, Sirius, and iHeartRadio when they collect similar “digital performance royalties.” These royalties are generated by:
• Non-interactive streaming platforms (e.g., Pandora, SiriusXM)
• Public performances of recordings outside the USA

O

“Other” Royalties (Composition & Sound Recording)

This could include income generated by print, karaoke, or social media, or other income generated by a composition or sound recording that doesn’t fit clearly into any of the above categories. Some compositions or sound recordings include rights associated with related remixed versions or cover versions of such composition. The rights associated with remixes generally accrue royalties from the various income interest sources described above in this list.

P

Public Performance Royalties (Composition)

These royalties are collected by performance rights organizations (PROs) and paid to songwriters, publishers, and administrators. They’re generated by:
• Non-interactive streaming platform (e.g, Pandora)
• On-demand streaming platform (e.g. Spotify, Amazon Music)
• Radio
• Live performances
• Restaurants, bars, and other venues
• Advertisements/uses on television

R

Rights Holder

The party that owns and/or controls the Income Interests. JKBX collaborates with the Rights Holder to determine which Income Interests to sell as Royalty Shares on the JKBX platform.

Royalty Share Payments

A pro rata portion of the amounts JKBX or Issuer actually receives from the specified Royalty Rights that correspond to a series of Royalty Shares (less any fees and expenses) that an investor who holds Royalty Shares are entitled to receive. This is calculated based on the number of Royalty Shares of a particular series that an investor holds compared to the total outstanding number of Royalty Shares of such series.

Royalty Shares

The fractionalized Royalty Rights embodied in the Music Assets. Royalty Shares will be issued in series. Royalty Shares do not confer any ownership in JKBX, the Issuer, the Rights Holder, or the underlying music copyrights embodied in the Music Assets.

S

Sales Royalties (Sound Recording)

These royalties are generally paid to record labels from the sale of records in all formats (physical, downloads, and streams). These are generated by:
• On-demand streaming platforms (e.g., Spotify, Amazon Music)
• Digital downloads
• Physical sales

Series

Each series relates to a specific Music Asset, or a compilation of Music Assets, and the corresponding Royalty Rights.

Sound Recording (a/k/a “Recording” or “Master”)

The fixation (i.e. recording) of the musical composition. Refers to the sound recording copyright and all monies generated from the exploitation of the sound recording (i.e. artist royalties, synch, and other income).

Synchronization (Sync) Royalties (Composition & Sound Recording)

These fees are earned when a composition or Sound Recording is synchronized with visual media, such as movies, TV shows, commercials, and video games. The rights holders receive payment for the use of their music in these visual productions. This is typically a one time fee that is pre-negotiated based on the song, and its specific use. The Sync royalty is typically paid equally for the composition and for the song recording.

Public Performance Royalties (Composition)

With Jukebox, you can own music royalties for as little as $500. Invest in your favorite hits and start earning as they stream.

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Jukebox Technology LLC ("JKBX") operates a website at JKBX.com and certain mobile apps (the "Platform"). By using the Platform, you accept our Terms of Service and Privacy Notice. Neither Jukebox nor any of its affiliates provide investment, tax, or legal advice and do not represent in any manner that the outcomes described on the Platform will result in any particular investment, tax, or legal consequence. Prospective investors should confer with their personal advisors regarding the investment, tax, or legal consequences based on their particular circumstances. Neither Jukebox nor any of its affiliates assume responsibility for the investment, tax, or legal consequences for any investor of any investment conducted on the Platform. See additional important information here: Full Disclosure

JKBX is not currently and does not intend or plan on conducting any securities offering, including any offering pursuant to Regulation A under the Securities Act of 1933. Rather, JKBX affiliated entities may sponsor entities that may raise capital pursuant to Regulation A, including by using the services of the Platform. The information provided above does not constitute an offer or a solicitation of interest in any securities offering. Any indication of interest provided in response to any solicitation materials by JKBX-affiliated entities may be withdrawn or revoked, without obligation or commitment of any kind before being accepted following any qualification of an applicable Regulation A offering, and any such offer, solicitation or sale of any securities will be made only by means of an Offering Statement. No money or other consideration is hereby being solicited, and will not be accepted without such potential investor having been provided the applicable offering document. Your personal data will be used in accordance with our Privacy Notice.

Joining the Platform neither constitutes an indication of interest in any securities offering nor involves any obligation or commitment of any kind.

Please see Jukebox Hits Volume 1 LLC's Offering Circular here.

©2025 Jukebox. All rights reserved.

Legal Disclaimer

Jukebox Technology LLC ("JKBX") operates a website at JKBX.com and certain mobile apps (the "Platform"). By using the Platform, you accept our Terms of Service and Privacy Notice. Neither Jukebox nor any of its affiliates provide investment, tax, or legal advice and do not represent in any manner that the outcomes described on the Platform will result in any particular investment, tax, or legal consequence. Prospective investors should confer with their personal advisors regarding the investment, tax, or legal consequences based on their particular circumstances. Neither Jukebox nor any of its affiliates assume responsibility for the investment, tax, or legal consequences for any investor of any investment conducted on the Platform. See additional important information here: Full Disclosure

JKBX is not currently and does not intend or plan on conducting any securities offering, including any offering pursuant to Regulation A under the Securities Act of 1933. Rather, JKBX affiliated entities may sponsor entities that may raise capital pursuant to Regulation A, including by using the services of the Platform. The information provided above does not constitute an offer or a solicitation of interest in any securities offering. Any indication of interest provided in response to any solicitation materials by JKBX-affiliated entities may be withdrawn or revoked, without obligation or commitment of any kind before being accepted following any qualification of an applicable Regulation A offering, and any such offer, solicitation or sale of any securities will be made only by means of an Offering Statement. No money or other consideration is hereby being solicited, and will not be accepted without such potential investor having been provided the applicable offering document. Your personal data will be used in accordance with our Privacy Notice.

Joining the Platform neither constitutes an indication of interest in any securities offering nor involves any obligation or commitment of any kind.

Please see Jukebox Hits Volume 1 LLC's Offering Circular here.

©2025 Jukebox. All rights reserved.

Legal Disclaimer

Jukebox Technology LLC ("JKBX") operates a website at JKBX.com and certain mobile apps (the "Platform"). By using the Platform, you accept our Terms of Service and Privacy Notice. Neither Jukebox nor any of its affiliates provide investment, tax, or legal advice and do not represent in any manner that the outcomes described on the Platform will result in any particular investment, tax, or legal consequence. Prospective investors should confer with their personal advisors regarding the investment, tax, or legal consequences based on their particular circumstances. Neither Jukebox nor any of its affiliates assume responsibility for the investment, tax, or legal consequences for any investor of any investment conducted on the Platform. See additional important information here: Full Disclosure

JKBX is not currently and does not intend or plan on conducting any securities offering, including any offering pursuant to Regulation A under the Securities Act of 1933. Rather, JKBX affiliated entities may sponsor entities that may raise capital pursuant to Regulation A, including by using the services of the Platform. The information provided above does not constitute an offer or a solicitation of interest in any securities offering. Any indication of interest provided in response to any solicitation materials by JKBX-affiliated entities may be withdrawn or revoked, without obligation or commitment of any kind before being accepted following any qualification of an applicable Regulation A offering, and any such offer, solicitation or sale of any securities will be made only by means of an Offering Statement. No money or other consideration is hereby being solicited, and will not be accepted without such potential investor having been provided the applicable offering document. Your personal data will be used in accordance with our Privacy Notice.

Joining the Platform neither constitutes an indication of interest in any securities offering nor involves any obligation or commitment of any kind.

Please see Jukebox Hits Volume 1 LLC's Offering Circular here.

©2025 Jukebox. All rights reserved.