Track A · Case Study · Sampling, Viral Marketing & Publishing Splits

Old Town RoadHow a $30 beat, an uncleared sample, and TikTok created the most streamed song of 2019

A teenager in the Netherlands chopped up a sample on his laptop and sold it for $30. What happened next became the longest-running #1 single in Billboard history, and a crash course in sampling, uncleared licenses, and the modern digital music ecosystem.

$30
Original Beat Cost
19 Wks
Billboard #1 Record
6
Publishing Stakeholders
The Story — From $30 to #1

"Old Town Road" is one of the most remarkable stories in modern music history. What began as a teenager in the Netherlands chopping up a sample on his laptop and selling the result for $30 on a beat marketplace became the longest-running #1 single in Billboard Hot 100 history at 19 weeks, and introduced millions of students, artists, and lawyers to the complex world of sampling, uncleared licenses, and the modern digital music ecosystem.

2008
NIN releases "34 Ghosts IV"
2018
Young Kio builds the beat, sells for $30
2018
Lil Nas X records, posts to TikTok
2019
Billboard controversy erupts
2019
Columbia signs, sample cleared
2019
19 weeks at #1

In 2008, Trent Reznor and Atticus Ross released Nine Inch Nails' Ghosts I–IV under a Creative Commons license, free to share, but not for commercial use. The album contained a haunting banjo instrumental. In 2018, Dutch teenager Kiowa Roukema ("Young Kio") discovered the sample on YouTube, chopped it up, added a trap beat, and sold it to Lil Nas X on BeatStars for $30, with a 50/50 publishing split. The NIN sample was not cleared.

Lil Nas X recorded his vocals for $20 at an Atlanta studio's "Discount Tuesday" special, then posted the song to TikTok, where it spread through the "Yeehaw Challenge" with no label, no radio, and no promotion. Billboard added the song to its country chart, then removed it for not having "enough elements of today's country music," igniting a national debate about race and genre gatekeeping. Lil Nas X turned the controversy into his greatest asset by recruiting Billy Ray Cyrus for the remix. Columbia Records then signed him, retroactively clearing the NIN sample and adding Reznor and Ross as co-writers. The Billy Ray Cyrus remix went on to break the record for the longest-running #1 in Billboard Hot 100 history.

The Viral Marketing Machine

"Old Town Road" didn't just happen. It was a masterclass in viral marketing executed by a teenager who understood the internet better than most major labels.

Tweetdecking

  • Before the song, Lil Nas X ran multiple meme accounts with hundreds of thousands of followers
  • He had mastered viral content before he ever recorded a note

TikTok Catalyst

  • The "Yeehaw Challenge" gave users a perfect, irresistible format to replicate
  • Spread the song with zero marketing spend

SEO Genius

  • Tagged the song "Country" on SoundCloud and iTunes to exploit a less competitive chart
  • Directly triggered the Billboard controversy, itself a marketing moment

Zero-Budget Video

  • The original "music video" was gameplay footage from Red Dead Redemption 2
  • Zero production cost, maximum cultural relevance

The lowest-budget #1 in history: $30 for the beat + $20 for the studio session = $50 total production cost. It became the fastest song in history to be certified Diamond (10 million units).

The Players — Who Has Rights to This Song

Six different parties hold publishing rights to this single song. Note how the NIN sample creators, who had nothing to do with "Old Town Road," collectively hold more publishing than the artist whose name is on the record.

37.5%
21.25%
21.25%
12.5%
3.75%
3.75%
Trent Reznor (NIN) · 37.5%
Young Kio (Producer) · 21.25%
Lil Nas X (Artist) · 21.25%
Atticus Ross (NIN) · 12.5%
Billy Ray Cyrus · 3.75%
Jozzy (Co-writer) · 3.75%
NIN · Original Sample Creator

Trent Reznor

Wrote and recorded "34 Ghosts IV," the banjo instrumental forming the musical backbone. Largest single share of any stakeholder.

Beat Producer · BeatStars

Young Kio

Dutch teenage producer who combined the NIN sample with a trap rhythm. The $30 beat he sold now generates royalties worth far more.

Recording Artist / Lyricist

Lil Nas X

Wrote the lyrics and vocal melody. Despite being the face of the song, holds less publishing than the NIN sample creators combined.

NIN · Co-Creator of Sample

Atticus Ross

Co-created "34 Ghosts IV" with Reznor. Together, Reznor and Ross hold 50% of publishing.

Listen along: Hear how the song evolved from the original NIN sample to Lil Nas X's debut recording to the Billy Ray Cyrus remix.

Sampling — The Extra Layer of Licensing

Sampling is one of the defining creative tools of hip-hop and one of the most legally complex areas of music copyright. When you sample another song, you need to clear two separate licenses before releasing commercially.

Master Sample License

Permission to use the actual audio from "34 Ghosts IV." Negotiated with whoever owns the NIN master recording.

Cleared retroactively

Mechanical / Composition Clearance

Permission to use the underlying composition. Resulted in Reznor and Ross receiving co-writer credit and 50% of publishing.

Not cleared upfront

Young Kio sampled the NIN track without clearing it first, a common practice among bedroom producers. Once the song became a massive hit, the sample had to be cleared retroactively, and Sony almost certainly paid a significant back-royalty sum to Reznor and Ross for co-writer credits worth far more than anyone anticipated when Young Kio uploaded that $30 beat.

1
2008 · Origin

NIN "34 Ghosts IV"

Banjo instrumental released under Creative Commons, free to share, not for commercial use.

2
2018 · Beat Creation

Young Kio's Beat

NIN sample combined with a trap rhythm, sold on BeatStars for $30.

3
2018–2019 · Final Song

Old Town Road

Lil Nas X vocals added for $20; song goes viral, sample cleared retroactively, NIN gets 50% publishing.

Platform by Platform — How Each Channel Pays

Streaming (Spotify/Apple)

Mechanical + performance royalties. ~$0.004 per stream. Label/distributor ~56%, platform keeps 30%, publishing ~14%. The largest ongoing revenue stream for a song with billions of streams.

TikTok

Where the song first went viral, generating massive awareness value before it generated direct royalty income, the promotional power of social media even at low per-play rates.

YouTube / Content ID

Automatically detects copyrighted music and monetizes or blocks it. For a song with millions of user-generated videos, this generates significant revenue flowing to all 6 stakeholders.

Radio / TV

Every airplay triggers a PRO performance royalty, split 50% songwriters / 50% publishers, divided per the publishing percentages above.

Beatles vs. Old Town Road — Comparing Two Cases

The Beatles — "Yesterday"

  • Publishing lost through a bad contract signed in 1963
  • Rights sold multiple times without artist consent
  • Catalogue value grew from $47.5M to $1.5B+
  • Lesson: own your publishing from day one

Lil Nas X — "Old Town Road"

  • Publishing complicated by an uncleared sample
  • Artist owns only 21.25% of his own biggest hit
  • Song created for $50, generated millions
  • Lesson: always clear samples before commercial release

Across 55 years and two completely different eras of the music industry, the lesson is the same: artists lose control of their music not through bad luck, but through incomplete knowledge of the contracts they sign and the rights they create. Whether it's a publishing deal signed in a manager's office in 1963 or a $30 beat lease on BeatStars in 2018, the mechanism is identical, someone else ends up owning the most valuable part of what you made.

Key Terms
Sampling
Using a portion of a previously recorded song in a new recording. Requires clearing both a master sample license and a mechanical/composition license before commercial release.
Sample Clearance
The process of obtaining permission from rights holders to legally use a sample in a commercial recording. Retroactive clearance is possible but far more expensive.
Creative Commons
A licensing system allowing creators to share work with certain permissions. The NIN album's license allowed free sharing but not commercial use, making the uncleared sample an infringement once sold commercially.
Retroactive Clearance
When a sample is cleared after a song has already been released. Usually far more expensive, as rights holders can demand back royalties proportional to the song's success.
BeatStars
An online marketplace where producers sell beats to artists. Young Kio's $30 lease gave him 50% publishing, but did not include cleared samples.
Questions
1
Young Kio likely had no idea the song would become the #1 song in America. Does his intent matter legally? Should it matter ethically?
2
Lil Nas X owns only 21.25% of the publishing for his biggest hit. Is this fair given that he wrote the lyrics and is the face of the song?
3
Billboard removed the song from the country chart, sparking a national conversation about race and genre. How did this controversy actually help the song commercially?
4
The NIN album was released under a Creative Commons license to allow free sharing, but not commercial use. Was Reznor's response, clearing the sample and accepting co-writer credit, the right one?
5
McCartney lost his publishing through a naive contract in 1963. Lil Nas X gave away most of his publishing through a $30 beat deal and an uncleared sample in 2018. What has and hasn't changed in 55 years about how artists lose control of their music?