Zora, the popular non-fungible token (NFT) minting platform, is making changes to its revenue split model to ensure creators receive a larger portion of the profits. Starting Thursday, Zora will automatically split funds earned from its mint fees with creators, providing them with a minimum of 42.9% of the mint fees earned from free mints, and 100% of revenue generated from paid mints.
We didn’t want to keep taking money out of creators’ pockets, Dee Goens, co-founder and COO of Zora, said. It’s already hard enough for creators to make money in NFTs and in Web3.
The platform does not charge a listing fee and no longer charges a creation fee. A number of well-known creators will be releasing free mints on Zora this week, including Bobby Kim and Latashá, in honor of the platform’s fee updates.
Goens explained that the changes are aimed at expanding its market as platforms like OpenSea continue to dominate. We’re progressing from being extractive to expansive, he said.
Creator royalties have come into the spotlight in recent months as platforms like Blur began to adopt royalty-optional models tailored toward fast-paced traders. Goens said that platforms need to do more to correct these wrongs by making their policies more transparent and on chain – even if that means taking a financial hit.
At the end of the day, it’s a trade-off, but it’s one that Zora is willing to make, he concluded.