OpenSea royalties drop to 0% | NFT CULTURE | Web3 Culture NFTs and Crypto Art
OpenSea, one of the largest NFT marketplaces, has announced several major changes to its platform. In a blog post, the company shared its plans to reduce fees to 0% for a limited time, move to an optional monetization model for creators, and update the operator filter to allow sales using NFT marketplaces with the same guidelines.
The announcement comes as there has been a massive shift in the NFT ecosystem. OpenSea has worked to defend creator revenue on all collections when others did not, and when the operator filter was introduced, it was their belief that chain enforcement was the best way for creators to secure the revenue stream from the ongoing resale of their work.
However, recent events have proven that OpenSea’s efforts to catalyze widespread enforcement of creative revenue are not working. Today, about 80% of the total ecosystem volume does not pay full revenue for the creator, and the majority of the volume has moved to a zero-fee environment.
As a result, OpenSea is moving to a different fee structure that reflects the needs of today’s ecosystem. They reduce the OpenSea fee to 0% for a promotional period and move to a minimum 0.5% revenue model for the creator, with the option for sellers to pay more. This applies to all collections that do not use chain enforcement, both old and new.
Additionally, they are updating the operator filter to allow sales using NFT marketplaces with the same guidelines. This means creators don’t have to make the false choice between receiving revenue on OpenSea or other platforms like Blur.
This is a significant change for OpenSea and the NFT ecosystem as a whole. The company is excited to test this new model and find the right balance of incentives and motivations for all ecosystem participants – creators, collectors and power buyers and sellers. OpenSea is committed to continuing to explore ways to reward its most loyal users.
OpenSea’s changes demonstrate the fast-paced nature of the NFT industry and the importance of being adaptable to change. It will be interesting to see how these changes affect the market and whether other platforms will follow suit.
The effect of blur
It is important to note that OpenSea’s changes are a direct response to market share being stolen by other NFT marketplaces, including Blur. The company’s announcement recognizes that recent events have accelerated a shift in the NFT ecosystem, and they are adjusting their platform to reflect these changes. While it remains to be seen how successful these changes will be, it is clear that OpenSea recognizes the need to remain competitive and adapt to the changing landscape. This may indicate that OpenSea’s time as the dominant player in the NFT market has come to an end, as other platforms gain traction and offer alternative solutions for creators and buyers. But only time will tell how the market will develop and which platforms will emerge as leaders in the industry.
We’re making some big changes today:
1) OpenSea fee → 0% for a limited period
2) Move to optional creator revenue (0.5% min) for all collections without on-chain enforcement (old and new)
3) Marketplaces with the same guidelines will not be blocked by the operator filter— OpenSea (@opensea) 17 February 2023
