Magic Eden today released MetaShield, a new feature that allows authors to safeguard their royalties. Coral Cube, a decentralized NFT marketplace and aggregator, collaborated on MetaShield on its debut.
In light of these and other advancements, you may also want to learn more about how the DigiDaigaku collection launches a brand-new marketplace model and a new type, the X Marketplace with IP rights cover.
With MetaShield, authors may monitor SOL NFTs that are listed with custom royalties and take steps to safeguard their income. For instance, MetaShield detects NFTs listed or traded on exchanges that do not pay authors a fee. The original creators of the NFTs might then "shield" or alter them by taking measures such as changing the information, marking the NFT, or distorting the picture.
A buyer will incur a liability for the unpaid royalty that must be paid in order to "unshield" an NFT if they acquire one that has avoided paying royalties. Consequently, the debt must be settled by purchasers before the NFT may be restored to its previous condition. According to Magic Eden, the royalty debt isn't designed to penalize purchasers but rather encourage buyers to recognize the creators' efforts to maintain the NFT's basic worth and serves as a warning to future buyers that they aren't respecting creator rewards.
Creators may use the tool by visiting Coral Cube webpage and syncing their wallets with the update authority. Then, they may go through a consolidated feed of listings from sites like Yawww, Solanart, and FoxySwap, all of which have been updated to reflect their new, individualized royalty.
Additionally, creators may gather token addresses of sold NFTs that have averted full royalties, calculate debt, and restrict holders of debt-ridden NFTs from benefits like staking and accessing the owner's Discord server. According to Magic Eden, MetaShield is only one tool that has been built by the marketplace to solve the problem of bypassing royalties, and users may anticipate the development of further solutions in the near future. Some NFT collectors are upset that Magic Eden is trying to cash in on the introduction of MetaShield by centralizing NFTs on the platform.
Twitter users under the post announcing the MetaShield introduction expressed different opinions. One of the prominent examples is the dialogue between @jakefeigs (Monkey Baby Business Collection) and @NiftyDegenerate (Marketing of MagicEden):
Jakefeigs: “Punishing the buyer for the seller’s decisions is not the way forward.
If the onus is on the buyer then the solution should be to allow collections to specify buyer-side fees.”
NiftyDegenerate: “The buyer would be warned, i.e with a blurred NFT or a watermark that says "BELOW ROYALTY". If the buyer decides to buy regardless, it is on them I think. Would you agree?”
Jakefeigs: “I agree with the idea/goal - but logistically sellers are the ones choosing where to list (and trying to evade royalties).
If the fees were buyer side and added at checkout, then it would make sense to punish buyers for attempting to circumvent.”
NiftyDegenerate: “Hmm like if a buyer bought a blurred NFT with a watermark that says, "BELOW ROYALTY IS SHIELDED" - you're saying even still they should be excused from incurring debt? Sellers are discouraged from selling anyway, likely will have trouble selling sheilded NFT. Delisting unsheilds”
Jakefeigs: “I’m not suggesting any1 be excused from trying to evade royalties, but the way royalties are set up now, they are charged to the seller, not the buyer.
I agree that it should be on the buyer - but I think the way to do it is allow projects to specify the buyer fees (not a MP)”
NiftyDegenerate: “Soo the incurred debt would be in the amt of the original creator royalty, so in essence the project is specifying buyer fee”
Jakefeigs: “Right so I agree with the numbers but think allowing the project the option to split royalties between buyer/seller would be more appropriate then punishing buyers for not paying seller royalties.
On the same page in the end - get project owners the royalties they deserve!”
You can read the whole thread right here:
Nonetheless, the corporation thinks it's crucial to protect the rights of creators. Magic Eden will continue to look for options outside MetaShield to address the royalty problem.
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