It seem the only way around this is to pull all your music off soundcloud or only upload a small sample of your track?
What is a great forum to share your music has become a way of giving it away as free downloads.
So far soundcloud have not been able or willing to stop this happening, this is a copy of my last answer from them.
2. SoundCloud uses the most widely supported streaming protocol to ensure your sounds can be played everywhere, by everyone, across the web. When someone hits play on a track, the technology behind this streaming protocol is put into action to make sure your track can be played. By using a streaming technology which is widely supported, we can make sure that your content is playable on all devices, and browsers. Unfortunately, there are browser add ons that are exploiting vulnerabilities which are inherent in this streaming technology, which allows them to rip the stream.
This means that they are not downloading the original file you have uploaded with us, but in stead the streamed audio (which is 128 kbps). This is the downside to using a system which allows you to be heard by everyone, everywhere. We are researching alternative streaming technologies to understand how secure they are, how well supported they are, and whether they can reliably stream content. We hope the work being done in this area will allow us to provide the most reliable, widely supported and secure means of streaming content.
While we are doing all we can to improve this situation, there are a number of measures you may want to consider to prevent unauthorized downloads of your content. While we cannot guarantee that this will stop these sites from accessing your content without your permission, it will put you in the best position possible to prevent people from downloading content without your consent.
- If you have not done so already, disable downloads on your tracks. Like this: http://bit.ly/1nBVMyr
- Disable app playback, so that your track will not be playable outside of the SoundCloudplatform and our own apps (i.e. the official SoundCloud iOS and Android apps). There's more information on how to do this here: http://bit.ly/1P2uHO5
I am considering closing my soundcloud pro account, I don't make music for money but this is madness.