OpenSea has announced a new plan for NFT royalty on its platform. This plan is an upgrade from the existing one and came as a response to the community’s reaction to the last update.
There has been an ongoing debate in the NFT industry on the relevance and scope of NFT royalties for creators. Certain NFT marketplaces like Magic Eden made royalties optional for buyers, while upcoming platforms like Hadeswap and Solanart allowed sellers not to pay royalties on secondary sales.
For OpenSea, protecting the creator’s fee is vital, and that’s why they implemented a system where an on-chain tool, Operator Filter, enforces the collection of fees while blacklisting projects and NFT marketplaces that are against creator royalties. According to details revealed by OpenSea, the tool is meant to be initiated on November 8, 2022.
However, community feedback was hard on the development because if implemented, then projects without the Operator Filter tool, from November 8, cannot receive royalties.
Decentralized management of NFT royalties
To solve the problem raised by the NFT community, OpenSea decided “to transfer ownership of the Operator Filter Registry” to be managed by a group of decentralized organizations and individuals, AKA CORI.
CORI (Creator Ownership Research Institute) is a group tasked with managing the list of Ethereum marketplaces blocked by “Operator Filter” and related developments. It includes OpenSea, Nifty Gateway, Zora, Manifold, SuperRare, and Foundation. With the help of a multi-signature wallet, the group will implement changes to the registry.
In reassuring the NFT community, OpenSea added that the group’s governance would be opened soon to include more voices in the creator community.
Also, there is an extension of the deadline for the creator fee compliance from November 8, 2022, to January 2, 2023. This means that all NFT projects that didn’t implement the Operator Filter tool from now till then can still earn royalties, while projects launched from January 3, 2023, will use EIP 2981 to choose their preference for creator fee collection.
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