To trade Jay Z's streaming service, some CNBC "Fast Money" traders looked to Pandora, one of the platforms the rapper is looking to disrupt.
"I think the risk-reward in Pandora sets up pretty interestingly right here," said CNBC "Fast Money" trader Guy Adami.
Jay Z on Monday detailed his plans to relaunch Tidal, a music platform he recently acquired for $56 million. The subscription service—in which musicians have a majority ownership—will have two payment tiers set at $10 and $20 per month.
Internet radio service Pandora moved half a percent lower in extended trading on Monday, sitting around $16 per share. If Jay Z's announcement prompts a selloff in the stock, it provides a buying opportunity because Pandora does not compete for paid subscribers, trader Brian Kelly said.
However, trader Dan Nathan saw little upside in Pandora, noting that paid streaming service Spotify has about five times its subscribers.