Solana-based nonfungible token (NFT) marketplace Magic Eden has fended off some community backlash following a launch of MetaShield, its new enforcement tool targeted at deterring NFT clients who bypass creator royalties.
MetaShield, that was apparently launched together with NFT marketplace and aggregator Barrier Cube saw mixed reactions in the NFT community following its launch on Sep. 12, who have been split on whether NFT marketplaces should safeguard creator legal rights or cut royalty charges to create NFTs cheaper for collectors.
The NFT royalty enforcement tool is made to allow NFT creators to flag and blur NFTs that might have been offered that were able to bypass creator royalties.
Within an eight-part Twitter publish on Wednesday, Magic Eden defended its new tool, noting that a few of the “hardest working creators today” are becoming “punished” by “custom” royalty marketplaces.
The brand new tool came merely a couple of days after NFT marketplace X2Y2 introduced a brand new feature that affords buyers using the discretion to decide whether or not they pay a royalty fee — and, if that’s the case, just how much — when purchasing an NFT.
Magic Eden removed the environment in the newest thread, noting it launched MetaShield to be able to safeguard creators, instead of punish buyers.
“Most people notice that zero royalty marketplaces for those creators shouldn’t end up being the ecosystem norm,” contended Magic Eden:
“What we all do is definitely an experiment, collaborate, and ship. MetaShield may not be perfect, however it offers an choice to creators within this debate.”
The NFT marketplace also confirmed that they’ll ‘t be managing NFTs which the royalty enforcement tool won’t actually punish buyers.
6/ Does Magic Eden worry about freedom & choice? Yes.
Like collectors, creators must have freedom to protect their biz. Re: decentralization most NFTs are mutable & collectors have obtained them by their choice. We are not centralizing NFTs anymore compared to original technology.
— Merge-ic Eden (@MagicEden) September 13, 2022
Based on Magic Eden, MetaShield was created to allow creators “to track Solana NFTs listed with custom royalties” and “take action where they see fit” to safeguard their brand.
Based on the Magic Eden website, NFT creators are afforded “Editor” legal rights to defend the NFT, which enables these to customize the royalty, give a watermark or blur the look. Once your debt continues to be compensated, the Editor can revert the NFT to its original condition.
The launch of Magic Eden’s MetaShield was met with mixed reactions in the community.
One Twitter user claimed adding MetaShield further centralized the special moment Eden NFT marketplace, while another Twitter user stated nobody will mint NFTs when the creators use MetaShield.
There’s not a way you have not seen the discussion relating to your own 2% charges on all volume, after which there’s the blurring from the jpegs…
You are the issue and not the royalties, couple of centralised cucks. https://t.co/PyTNrN309v
— Grug (@WiseGrug) September 14, 2022
Another Twitter user stated these were concerned that innocent buyers is going to be punished as they’ll get their recently purchased NFT shielded, stating:
“The greatest concern I’ve is this fact punishes the customer — somebody that may not know they purchased incorrectly. Following a certain time period, the NFT will out of the blue be ‘shielded.’ This can result in an event where they have to pay much more.
However, many also have recognized Magic Eden for “protecting” NFT creators.
Honestly its heart warming to determine a marketplace leading charge on protecting creators thx @MagicEden ❤️ Make reference to @Zeneca_33 Letter 30 to know current creator royalty payout practices and also the challenges on enforcing them https://t.co/LU6UcHPfsb
— cathleen.eth (@spicyccnyc) September 14, 2022
Its not all NFT marketplace has sided with Magic Eden. Sudoswap” made the decision to not adopt the royalty fee model to create its NFT platform more buyer-friendly by only submitting these to standard platform charges.
Additionally to that particular, Langston Thomas from “nft now” stated that even where smart contracts are set up to pay for royalties to creators, it’s ultimately to the NFT marketplace to recognition the royalty agreement.
It is because the NFT marketplace receives the royalty first through the transaction, and isn’t obligated to pass through that royalty on.