Decline in NFT Royalty Payments Amid Shifting Landscape

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In the midst of a terrible downturn in the market for non-fungible tokens, tension is rising between traders and NFT creators. First, the introduction of NFTs completely altered how we think about ownership and the value of digital assets, giving creators a new opportunity to make money from their works. On the other hand, the idea of royalties, which enables creators to profit from each successive sale of their NFTs, is essential to this commercialization. However, recent data highlight a shift in the world of NFT royalties, raising concerns about the general viability of the NFT ecosystem as well as the future compensation of artists. Below, we further discuss further details of recent developments.

NFT Royalties Payments Down to a Two-Year Low: What Could Be Causing This Decline?

A data analytics company specializing in blockchain insights, Nansen, published a study highlighting a significant trend: a fall in NFT royalty payments to low levels. According to the research, royalties earned by creators peaked in April 2022 with a staggering weekly total of over $76 million. However, these numbers fell significantly within a short period of time, falling to about $3.8 million by June 2022. In light of this sharp decline, people are voicing concerns about the stability of creator profits in the NFT industry.

Introducing platforms that provide optional royalty payments is an important factor in this drop. For instance, Blur, a recent player in the NFT market, uses this strategy. Blur allows customers to select whether they want to give creators extra payments in exchange for their purchases. Similarly, OpenSea, a well-known NFT platform, allows collectors to pay extra in creator royalties. However, it seems that the royalty-optional practices of these sites have substantially lowered the total royalties paid.

The move toward platforms with no royalty requirements prompts discussions about the effects on creators and the NFT ecosystem. While these platforms give collectors more flexibility and options, they also make the sustainability of artist pay more uncertain in the long run.

Nonetheless, it’s worth noting that some well-known collections have been able to gain substantial royalty payments. This shows that collectors still know how important it is to give authors ongoing support through royalties. However, the overall drop in royalty payments shows that the current systems need to be reconsidered in order to ensure that creators are fairly paid for their valuable work.


As the NFT ecosystem progresses, the dynamics of royalty payments will continue to be a subject of discussion. Ensuring a harmonious balance that favors the interests of both creators and collectors while preserving the essence of NFT ownership will play a crucial role in protecting the enduring viability of this digital art.

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