Opensea Drops Fees to Zero and Announces New Creator Earnings Model in Response to Shifting NFT Landscape
Opensea Drops Fees to Zero and Announces New Creator Earnings Model in Response to Shifting NFT Landscape
The largest marketplace for non-fungible tokens (NFTs), Opensea, has announced major changes to its fee structure and policies in response to a shift in the NFT ecosystem. The company detailed that it will drop fees to zero for a limited time and offer an optional creator earnings model with a minimum of 0.5% for all collections that do not use onchain enforcement. Opensea Drops Fees While Facing Tough Competition from Rivals Like Blur, Looksrare, and X2Y2
Opensea, the NFT marketplace, announced on Friday that it is dropping fees in response to a major change that started in October 2022. “We began to see significant volume and users migrate to NFT marketplaces that do not fully enforce creator earnings,” Opensea said. “Today, that shift has accelerated dramatically despite our best efforts.”
Opensea pointed out that roughly 80% of the total ecosystem volume is not paying full creator earnings, and most of the sales volume has moved to a no-fee environment. The NFT market has faced competition recently from the new market Blur, which has captured $1.4 billion in all-time sales volume in a short period. However, Blur’s all-time sales are small in comparison to Opensea’s $34.53 billion in all-time sales.
The NFT marketplace also faces competition from digital collectible markets Looksrare and X2Y2. Opensea hopes the new changes will strike the right balance of incentives and motivations for all ecosystem participants, including creators, collectors, and power buyers and sellers. Additionally, the company announced it is updating its operator filter to allow sales using NFT marketplaces with the same policies, including Blur. “This is the start of a new era for Opensea. We’re excited to test this model,” the company said. Tags in this story All-time sales, Balance, Blur, changing market, Collectors, competition, creator earnings, Digital Art, Ecosystem, Fees, incentives, looksrare, Marketplace, new era, nft, NFT Markets, NFTs, Non-fungible tokens, onchain enforcement, Opensea, operator filter, optional model, policies, power buyers, Rivals, Sales Volume, Sellers, Shift, significant volume, user migration, X2Y2, zero fees
What do you think about Opensea’s decision to drop fees to zero and introduce a new creator earnings model in response to changes in the NFT landscape? Share your thoughts in the comments below. Jamie Redman
Jamie Redman is the News Lead at Bitcoin.com News and a financial tech journalist living in Florida. Redman has been an active member of the cryptocurrency community since 2011. He has a passion for Bitcoin, open-source code, and decentralized applications. Since September 2015, Redman has written more than 6,000 articles for Bitcoin.com News about the disruptive protocols emerging today. Onecoin Cryptoqueen’s Ex-boyfriend Gets 5 Years in Prison NEWS | 2 hours ago Report: Former FTX Director of Engineering Nishad Singh Negotiating Plea Deal with Prosecutors NEWS | 23 hours ago
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