Is Yuga Labs' Stand Against Non-Royalty NFT Platforms a Game-Changer?

• Yuga Labs partners exclusively with royalty-respecting NFT platforms.
• Magic Eden launches Ethereum marketplace prioritizing creator royalties.

Yuga Labs, a leading NFT studio renowned for its iconic Bored Ape Yacht Club and Mutant Ape Yacht Club collections, has made a groundbreaking decision. The company announced it will stop working with NFT marketplaces that “don’t support royalties for all creators.” This move signifies a pivotal moment in the ongoing debate surrounding artist rights in the burgeoning NFT sector.

The decision comes ahead of the launch of Magic Eden’s Ethereum marketplace, scheduled for Tuesday. Magic Eden, is known for its dominance in the Solana NFT marketplace. It aims to extend its reach by introducing a new marketplace for Ethereum NFTs in collaboration with Yuga Labs. Notably, the platform commits to upholding creator royalties, marking a significant milestone in the protection of artists’ rights.

Moreover, in a recent interview, Yuga Labs’ Product Manager, PPMAN, the company emphasized the importance of ensuring creators receive fair compensation for their work. “Being able to come back to a space where royalties are enforced and creators can build without having to worry about that monetization aspect brings back fun again,” PPMAN stated.

Closer Look

Greg Solano Former CEO and Co-founder of Yuga Labs tweeted, “To celebrate the launch of Magic Eden’s Ethereum marketplace, we’re lowering royalties for 69 days: 2.5% for all our royalty-enforced collections, and 1% for legacy collections.”

Furtnermore, While the company’s decision may not immediately impact its flagship collections, Bored Ape Yacht Club and Mutant Ape Yacht Club. It underscores its commitment to supporting newer collections within its portfolio.

Yuga Labs, after acquiring Moonbirds, will protect notable collections like Vessels, Maras, and Koda. Also, Otherside: Catalyst, tied to its metaverse project. It is under the new partnership guidelines.

Overall, Yuga Labs’ decision to prioritize creator royalties sets a precedent for the broader NFT market. It advocates for fair compensation and supporting platforms that uphold creators’ rights. The company aims to foster a more equitable and supportive environment for artists in the digital art space.