Magic Eden: Will this controversial move be a success or a failure? Evaluation …

Magic Eden, Solana’s largest NFT market [SOL]With a monthly trading volume of more than 87 million USD, most dangerous its decision to implement an optional royalty structure on its platform.

With this, the purchasers of NFTs in Magic Eden reserve the right to decide how much they want to pay as royalties to the creators of the NFTs.

Some pills are hard to swallow

In a series of tweets posted by Magic Eden, NFT Marketplace acknowledged the fact that the newly introduced ownership structure has “Disastrous consequences for the ecosystem”.

This was because royalty payments could not be charged to NFT purchases. Thus, whether the content creator will receive royalty payments or not is left to the whims and whims of buyers who are offering the same.

There has been discussion about whether or not royalty payments for NFT purchases should be made mandatory. Magic Eden noted that in his findings, discretionary royalties to creators have been the trend for some time. Hence the decision to do the same.

As for how the new optional ownership structure will work, Magic Eden stated that by default all NFT kits/lists on their market will honor full royalties. But “the decision on the amount of royalties to be paid will be passed on to the buyer.”

According to Magic Eden, β€œThe motivation for transferring royalty payments to the buyer is to ensure that the buyer fully understands whether or not he will receive the benefits offered by the creators.”

Magic Eden NFT buyers have three ways to set their desired royalty percentage for their purchases. First, buyers can select a royalty payment percentage from their profile that will be applied to all of their NFT purchases.

In addition, buyers are free to decide how they want to “respect the equity of each NFT” in the Equity section of the item details page. Finally, they can decide which NFT of a particular group they want to pay royalties on.

The magic of Eden in a nutshell

According to the information received from sand dune analyticsSo far this month, Magic Eden has a trading volume of $28.27 million. Although the daily trading volume on Magic Eden does not exceed one year, it represents about 90% of all trades recorded on all NFT markets in Solana.

Source: Dune Analytics

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