OpenSea Makes Waves: Says Creator Royalties Will Be Enforced

“The world is otherwise burning, but we decided this couldn’t wait,” a representative from OpenSea told CoinDesk.

AccessTimeIconNov 9, 2022 at 11:22 p.m. UTC
Updated Nov 10, 2022 at 3:20 p.m. UTC

Cam Thompson is a news reporter at CoinDesk.

Leading non-fungible token (NFT) marketplace OpenSea said Wednesday it is standing by creators and continuing to enforce royalties on the platform.

The platform shared a Twitter thread explaining its stance to continue supporting creators through mandating royalties. It shared that since Oct. 12, the average percentage of fees received by the top 20 NFT collections dropped from 77% to 56%.

“Unless something changes soon, this space is trending toward significantly fewer fees paid to creators,” said OpenSea in a tweet.

As the leading NFT marketplace in terms of trading volume, according to data from Dappradar, there’s been speculation around OpenSea’s decision: Will they continue to support creators in earning royalties on their work or nix these payment requirements? Since August, NFT marketplaces X2Y2, Magic Eden and LooksRare have altered their royalty structures, no longer obligating buyers to pay royalties or contribute to creators.

There’s also been active community pushback, urging OpenSea to clarify its stance. On Monday, 19-year old NFT artist Victor Langlois, who goes by FEWOCiOUS, wrote a letter on Twitter to OpenSea, asking the platform to stand with creators.

“Royalties were the reason the art community flocked to NFTs in the first place,” said Langlois. “[Removing royalties] is backward progress for artists and the community at large.”


Please note that our privacy policy, terms of use, cookies, and do not sell my personal information has been updated.

The leader in news and information on cryptocurrency, digital assets and the future of money, CoinDesk is a media outlet that strives for the highest journalistic standards and abides by a strict set of editorial policies. CoinDesk is an independent operating subsidiary of Digital Currency Group, which invests in cryptocurrencies and blockchain startups. As part of their compensation, certain CoinDesk employees, including editorial employees, may receive exposure to DCG equity in the form of stock appreciation rights, which vest over a multi-year period. CoinDesk journalists are not allowed to purchase stock outright in DCG.

CoinDesk - Unknown

Cam Thompson is a news reporter at CoinDesk.

CoinDesk - Unknown

Cam Thompson is a news reporter at CoinDesk.