OpenSea, the largest marketplace for non-fungible tokens, recently announced a significant shift in its royalty structure, making royalties optional for creators. The decision taken by OpenSea has opened a doorway for debate among the NFT community, with Yuga Labs, a prominent NFT creator, and Mark Cuban taking a firm stance against OpenSea’s move.
Pic Credit- Reuter
Understanding OpenSea’s Shift to Optional Royalties
Opensea’s Operator Filter
In November 2022, OpenSea introduced the Operator Filter, a valuable tool designed to enhance creator control by placing limitations on their sales.
With this Operator Filter, Opensea automatically takes a small percentage, usually around 2.5%, from every sale that happens on their platform. They then give that money to the original artists or creators as a way to keep supporting them for their hard work.
Royalty is a big deal for NFTs. It’s like a special benefit that lets artists make money even after they’ve sold their artwork for the first time. So instead of just getting money from the first sale, they can keep earning from…