Since its early days, the NFT market has been plagued by a lack of clarity around how it works and what tokens are eligible to be traded on the blockchain. However, this has started to change in recent months as more developers start to build applications that use NFTs. This has led to a surge in adoption, with the NFT market surpassing $1 billion for the first time since May 2022. Given that developers are now starting to understand how NFTs work and what features they offer, demand is likely only going to increase in the coming years.
The recent rebound in the crypto market has led some NFT marketplace developers to crow about their successes, with Blur narrowly beating OpenSea in monthly volume for the third month in a row. But critics have questioned whether these platforms are actually making money off of users’ data. In response, Blur released its highly anticipated token airdrop earlier this month, which disbursed 360 million Blur tokens to users, or 12% of the project’s total supply. Nonetheless, some observers remain skeptical that these markets are actually generating any meaningful profits for their creators.
The rise of Blur in the NFT market has reignited a debate concerning royalties. OpenSea tried to balance creator royalties as it held the top position for NFT marketplaces, but Blur’s aggressive stance is causing OpenSea to change its tack. Now, OpenSea will split profits between sellers and buyers based on how much they traded, creating an egalitarian atmosphere that could help revive stagnating blockchain markets.
The low royalty fee on the Blur NFT marketplace may be a factor contributing to the large number of sellers and buyers of NFTs. The small fee seems like it would not be enough to justify the costs of setting up and running a marketplace, but as Blur has broadened its reach beyond music, it is likely that more sellers will come on board
As technology continues to evolve and more platforms enter the digital world, it seems that the days of hefty royalty payments for creatives are slowly coming to an end. Instead, new marketplaces are popping up that allow users to sell their content without having to give up copyrights or royalties. One such marketplace is Blur, which allows users to sell their songs, videos, and other creative works directly to consumers. While this may seem like a liberating option at first glance, Blur Chairman Yat Siu stressed that these platforms are all about capturing market share – not teaching people how not to pay creators.