OpenSea NFT creators earned over $1 billion in royalties

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NFT
OpenSea NFT creators earned over $1 billion in royalties

According to OpenSea, creators who sold NFTs on the platform earned a total of $1.1 billion this year, with 80 percent of that sum going to collections outside the top 10. The platform aims to continue working with creators and supporting their rights to provide investors with the best quality assets.

NFT creators bag a billion USD in royalties

For NFT creators, the statistics represent a new dawn. Despite turbulent market conditions, this year’s payments remain innovative. Before establishing the NFT standard in 2018, there were no creator fees. OpenSea helped them invite more creators.

These revenues exclude sponsorship income, engagement incentives, and grants. The transactions between January 1 and November 23 included a creator fee, according to a blog post by OpenSea’s vice president of product, Shiva Rajaraman.

OpenSea market analysts were astounded by the figures, particularly when contrasted with other well-established platforms’ creator rewards. According to the data, between July 2021 and December 2022, Facebook and Instagram artists were to be compensated with over $1 billion.

A DeFi platform, it is performing far better than traditional financial institutions. In 2020, TikTok vowed to pay out $1 billion to creators over the following three years. Additionally, Snapchat was paying some of its top producers $1 million daily, totaling $365 million yearly.

In its nine years of operation, Patreon has paid out a total of $3.5 billion to creators (as of 2021). OpenSea, which has long held the title of one of the largest marketplaces in monthly volume, has supported its continuous enforcement to this point.

OpenSea commits to protecting NFT creators

This month, OpenSea released a tool to assist creators launching new collections on the platform by enforcing on-chain royalties. The coding in the smart contract restricts NFT sales to marketplaces that impose creator fees.

This year, some marketplaces have made creator fees optional or canceled them entirely to reduce consumer expenses. Creator fees are a groundbreaking invention of web3, allowing creators to partake in the value of resales for the first time.

OpenSea believes in the NFT ecosystem, where each creator can design their own cosmos. They intend to do more to empower creators and assist in developing more efficient and inventive revenue streams.

They serve as a reminder that, while many NFT markets have battled with stability and value, OpenSea’s dedication to preserving its community has remained strong throughout this time.

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Samuel Mbaki Wanjiku

Samuel is an adventurous person who likes to explore topics in-depth and learn new things each day. His passion lies in gaining knowledge to help transform the world through his writing skills. He also believes in blockchain technology and its potential to usher in a cashless society. Currently, he is pursuing a Computer Science Bachelor’s degree driven by his fascination with emerging technologies. He has writing experience of about three years in different fields and two in blockchain technology.