“CrowdAlbum aggregates photos and videos from artists' performances” and “helps them (artists) to identify and connect with their most passionate fans,” Spotify said in a statement.
CrowdAlbum was founded by Tracy Chan, a former Google and YouTube executive, in 2013.
It is the third acquisition of the year for Spotify, which snapped up Ireland's Soundwave, a music discovery application, and Cord Project, a US-based voice messaging service for phones, tablets and smartwatches, in January.
Financial details of the CrowdAlbum acquisition were not disclosed.
Spotify, which claims more than 30 million paying subscribers in 59 countries, raised a billion dollars in financing through convertible bonds in March, according to The Wall Street Journal.
Spotify's founders stirred debate in Sweden earlier this month when they lambasted what they described as Stockholm's dysfunctional housing market, which they said was stalling the country's momentum.