Rarible discontinues aggregating orders from OpenSea, LooksRare, and X2Y2
Crypto NFT aggregator Rarible has announced that it will no longer aggregate orders from NFT marketplaces OpenSea, LooksRare, and X2Y2 starting from September 30th. This decision follows OpenSea’s move to make NFT creator royalties optional for new collections. Rarible expressed its support for royalties and stated that it cannot stand by as that promise is taken away. The platform also urged other platforms to recognize and reward the contributions of creators.
NFT royalties debate sparks within the community
The introduction of a 0% royalty fee for creators by NFT marketplace X2Y2 in February 2022 sparked a debate within the NFT community about the necessity of such royalties. Sudoswap, Magic Eden, and LooksRare also followed suit by reducing or eliminating creator royalties. OpenSea, which initially supported creator royalties, reduced them earlier this year after tensions with competing platform Blur. OpenSea’s recent decision to make royalties optional has faced criticism from industry figures such as Mark Cuban and Yuga Labs.
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NFT marketplaces struggle with declining trading volume
NFT marketplaces have experienced six months of consecutive declines in trading volume, according to data from The Block. Additionally, NFT royalties have recently seen the lowest volumes in two years. These challenges suggest that the NFT market is undergoing a period of adjustment and reevaluation.
Hot Take: NFT marketplaces face challenges in the face of changing royalty policies
The decision by Rarible to discontinue aggregating orders from OpenSea, LooksRare, and X2Y2 reflects the ongoing debate about NFT creator royalties within the community. As NFT marketplaces struggle with declining trading volume, the industry must find a balance between supporting creators and adapting to changing market dynamics. This period of adjustment presents an opportunity for platforms to redefine how creativity is valued and compensated in the NFT space.
