A major feature of NFTs has broken

OpeningSea Revisited: Artist Resells Aren’t Just Forbidden by the Rule of Threshold

In a recent post he wrote, “Our role in this Ecosystem is to empower innovation beyond a single use case or business model.”

OpenSea’s changes are “fundamentally wrong and hurts the entire NFT space,” Wildcake, the founder of the Posers NFT collection, tells The Verge in a DM. Wildcake said the change is particularly disruptive to creators who built a business plan around enforced royalties, like the Posers team had with a blockchain game they’ve been developing. “OpenSea decided to turn off this last opportunity to earn profit. As a result, we have been working for five months for free.”

OpenSea said today that it will stop forcing resale fees for artists. Starting in March 2024, the fees will be tipped, an optional percentage of a sale price that sellers can choose to give the original artist. If the seller doesn’t want to hand over any money, that’ll be their choice.

One of the big promises of NFTs was that the artist who originally made them could get a cut every time their piece was resold. That isn’t the case anymore.

“Yuga believes in protecting creator royalties so creators are properly compensated for their work,” Yuga CEO Daniel Alegre said in a statement this afternoon. Certain transactions on Blur and other marketplaces that don’t have royalty fees stopped previously by Yuga Labs.

OpenSea Shutdown: NFT Collections As a Probe of Higher-Loop Perturbation Theory in the Age of Competition

Many NFT businesses rely on those fees. They will sell a limited number of NFTs and focus on increasing the value of the token so that they can make money off the resale fees later. At the launch,Bored ape was sold for around $220 and less than a year later, Jimmy Fallon paid $216,000 for it.

“We’ll be working toward disallowing OpenSea’s marketplace to trade our collections as they phase out royalties,” Emily Kitts, a Yuga Labs spokesperson, told The Verge. She declined to offer details on which collections would be affected.

Two of the biggest names in the NFT space are clashing over the future of how the tokens’ creators get paid. By February of next year, Yuga Labs said it would not allow the trade of newer NFTs on OpenSea. The move is meant to protest the decision of OpenSEA to stop collecting royalties on behalf of NFT creators.