Bored Ape, the NFT development studio founded by former Unity Technologies employees, has proposed a new model for NFT creator royalties. It believes this will better incentivize creativity and collaboration in the space. In a blog post published yesterday, Bored Ape co-founder and CEO Andrew Stalbow outlined the studio’s proposal, which would see NFT creators receive a percentage of the total value of an NFT project based on their contribution.
How are Creators of NFTs paid Royalties?
Bored Ape co-founders have proposed a new model for NFT creator royalties. They believe it will be more fair and sustainable than the current system.
Under the current system, NFT creators are paid a one-time fee for their work, which is often a fraction of the total sales price of the NFT. This leaves creators at the mercy of the secondary market, where NFT prices can fluctuate wildly.
There are some challenges to implementing such a system, but the Co-Founders believe it is achievable with the help of blockchain technology. They are currently working on a proof-of-concept and plan to release it in the coming months.
What are NFT Royalties?
NFT royalties are a proposed new model for how creators can be compensated for their work in the digital world. The Bored Ape team believes that this could be a more sustainable and fairer way to support artists and other creatives who rely on NFTs for their livelihood.
Under the NFT royalty system, each time an NFT is sold, a percentage of the sale would go to the creator of that NFT. This would continue even if the NFT is sold multiple times, giving creators a residual income from their work. The team behind Bored Ape believes that this could provide a more stable income for creators, as well as incentivizing them to create more and better quality content.
There are still some details to be worked out, such as how to fairly distribute royalties among multiple creators involved in an NFT project. However, the general idea is that this could be a win-win situation for both creators and collectors. What do you think?
Rights of the creators over NFTs
NFT creators should have the right to a percentage of royalties from the sales of their work, according to Bored Ape founders.
This would be similar to the way musicians and artists receive royalties when their songs or paintings are sold. Under this proposed model, NFT creators would get a cut of the sale price every time their work is sold. This is regardless of who the buyer is.
The founders say that this would incentivize creators to continue making new NFTs. This is because then they would know that they would be earning ongoing revenue from each sale. It would also give buyers more confidence in purchasing NFTs. The buyers thus would know that the creators are being fairly compensated.
What do you think of this proposed model? Do you think NFT creators should have the right to ongoing royalties from sales of their work?
New model proposed by Bored Ape for NFT Royalties
Under the Bored Ape model, an NFT creator could receive up to 20% of the total value of an NFT project. This is conditional on if they contribute significantly to its development, with the percentage decreasing as their involvement decreases. The studio believes that this model would better incentivize creativity and collaboration among NFT creators. Additionally, it will allow for a more equitable distribution of value among those involved in an NFT project.
The Bored Ape proposal would see creators paid an ongoing royalty on each sale of their NFTs. This is regardless of the price. It would give creators a more stable income stream, and incentivize them to continue creating new and innovative NFTs.
This would provide a more sustainable way for NFT creators to earn revenue from their work. This would be beneficial as they would receive ongoing royalties instead of just a one-time payment. It would also align more closely with how traditional artists and musicians are compensated for their work.
The Bored Ape team is currently working on implementing this model on their own platform, and they hope that other NFT platforms will adopt it as well. If successful, this could provide a much-needed boost to the NFT industry and help it reach its full potential.