Overview
An NFT royalty is a fee paid to the original creator on secondary NFT sales. It provides ongoing income from resale. Royalties are set as a percentage at minting.
How It Works
When an NFT is resold, a percentage of the sale goes to the creator. Marketplaces enforce or honor royalties. Enforcement is imperfect across all platforms.
Why It Matters
Royalties reward creators for ongoing value and are a key incentive in NFT creation. Their enforcement is debated as marketplaces compete. They are a central feature of NFT economics.
Related Concepts
NFT Royalties relate to NFTs, Marketplaces, and Creator economics. They provide ongoing revenue to Creators.