A popular NFT marketplace on Solana, Magic Eden, recently shifted royalty payment decisions to customers. NFT buyers on the platform can now pay whatever they decide as royalties. Accordingly, NFT creators whose assets are listed on the website are compelled to accept the terms.
Magic Eden Allows Customers To Decide on Royalties
Magic Eden relayed new information to its platform users on Friday regarding royalties. According to the report, the company is letting buyers choose what to pay as royalties. Essentially, all items provided by the exchange will accept total royalties.
Furthermore, buyers can choose three options to set up their royalty percentage payment method. Users can rework their profiles to pick an “all NFTs” option. Here they can pay a specific amount as a royalty for every NFT on the platform.
Apart from that, they can choose to pay for a specific collection or a particular item. However, the vendor stated it understands this move’s impact on the NFT industry. Further, it shared its resolve to turn the situation around soon.
In addition, the company seeks to demit transaction fees on Non-fungible token sales. Initially, the platform collected 2 percent of an item’s worth as a network fee.
Meanwhile, the company’s decision came in the middle of an argument regarding paying royalties. On the users’ side, they argued that royalty payment should be optional. Meanwhile, creators asserted against it, claiming it is their reward.
It is worth noting that on-chain royalty payment cannot be legislated. Hence, NFT creators rely on marketplaces such as Magic Eden for it. Here, NFT buyers pay the platform a stipulated percentage of the item’s worth as royalty.
Other Platforms Adopt Royalty-free NFT Payments
However, some platforms supported this new initiative. A few already authorized it. Such a platform is SudoSwap.
SudoSwap is a popular NFT swapper within the space. The exchange became famous for its royalty-free services.
X2Y2 also halted royalty payments on its platform in August. The firm was one of the organizations that competed with OpenSea. Furthermore, DeGods joined the league of NFT platforms waiving royalty payments.
Last week, the platform took the space by surprise when it decided to let up accepting royalties. Earlier, DeGods’ founder pushed a motion backing royalty payment. He said that relinquishing royalties would open a window of opportunities for hoax projects.
Also, it would make Non-fungible tokens more exorbitant. Now, the company is on the list of advocates for royalty-free services. According to him, zero royalty fees will soon become a standard.
NFTs continue expanding within the digital industry. Interestingly, it has also become a fancy in the entertainment industry. Several remarkable entities now internalize it with their works.
Although, the current bear market condition has placed a veil on Non-fungible tokens. But some realists believe there is a future for these assets. NFTs offer art-related experiences both digitally and physically.