- The notification states that until February 29, 2024, creator royalties will be mandatory.
- Royalties will no longer be required for new collections after August 31, 2023.
Bored Ape Yacht Club (BAYC) NFT collection developers Yuga Labs announced their intention to end their partnership with OpenSea. This is in reaction to the platform’s anticipated move toward a discretionary royalties structure.
Royalties will no longer be required for new collections after August 31, 2023. This is under a change to OpenSea’s creator fees structure published on Thursday, August 17. The Operator Filter, a function that imposes creator royalties, was also announced to be disabled by the NFT marketplace. The notification states that until February 29, 2024, creator royalties will be mandatory for NFT collections that made use of the Operator Filter prior to August 31.
In Tandem With OpenSea’s Approach
Moreover, OpenSea justified its choice in a blog post, noting that the Operator Filter was designed to give developers more voice. However, industry insiders say it hasn’t been given its due respect by the web3 community.
Now in retaliation, Yuga Labs wrote an open letter on Twitter denouncing this move in a subtle way. The developer of BAYC has come clean about its intention to stop supporting OpenSea’s SeaPort, a marketplace protocol that facilitates the trading of NFTs.
Yuga Labs CEO Daniel Alegre stated:
“Yuga Labs will begin the process of sunsetting support for OpenSea’s SeaPort for all upgradable contracts and any new collections, with the aim of this being complete in February 2024 in tandem with OpenSea’s approach.”
In addition to facilitating the transfer of legal title to digital products, Alegre said that NFTs’ primary motivation has been to give creative individuals more empowerment.
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