Sentiment Check / Royalties Increase

Status: Idea

Author(s): synth, drmsxmchns

Discussions-to:

Created: 08/17/2021

Buzzed Summary

This proposal aims to increase revenue through an increase in the current OpenSea royalties.

Abstract

The current OpenSea royalties are set to 2.5% with a breakdown of 0.5% for the team and 2% for the honeypot. We believe the royalty fee is on the lower end of the NFT with some projects being closer to the 10% maximum. It is our belief that increasing the fees will not have a substantial impact on sales price or volume as other variables such as gas prices play a much more important role.

Motivation ‌

Increasing royalties increases our revenue moving forward.

Rationale

A larger Honeypot will raise the intrinsic value of bears moving forward and be a great selling point for our marketing.

Specification ‌Overview ‌

This would be a simple adjustment to our OpenSea account royalties.

Poll below for voting your preference:

  • 2.5% (2.0% to DAO0.5% to team) No Change
  • 5% (5.0% to DAO, 0.5% to team)
  • 7.5% (7.0% to DAO, 0.5% to team)

0 voters

6 Likes

Would love to see what everyone else thinks about this.

4 Likes

This seems like an easy, and simple wei to generate revenue.

4 Likes

More royalties, more money, more possibilities, more value. I like it. I don’t quite see the downside to this though, so someone may have to explain that part to me, if there is one.

2 Likes

The downside would be less demand for our NFTs due to higher tax on sales of course. I think we should compare with other projects and make sure we’re not an outlier in the market.

This could be something we scale up slowly, of course.

At the end of the day, though, our Honeypot is a significant selling point for our project and has a direct impact on the intrinsic value of our bears.

8 Likes

Agree with this - bump it up, 10% seems industry standard - we can add to honeypot and i’m fine bumping founder share up as well it’s deserved!

2 Likes

A different project I’m in, Spookies, does 7.5%. If I could find more data on this I would gladly post it. Although it seems like you can only view royalties if you own the NFT. If anyone with a larger collection than myself could shed some light that’d be greatly appreciated.

1 Like

5% fees (4.0% to DAO, 1.0% to team) is reasonable.

4 Likes

Would love to see some data on this. What is the average royalties % other major projects use.

3 Likes

5% → 4.5% / 0.5% as team was clearly ok with that percentage before. Increase DAO yield from nft sales. Support

3 Likes

I’m good with this and like the second option, 4.5%/ .5%

I agree with DefiJesus, more data is needed

1 Like

I support this, it was a suggestion floated in the early days. It’s nice to see a bigger community base also supporting this idea.

N.B. You can insert a poll, that might have been a good way to catch peoples thoughts on ratios? Just hit the settings wheel when editing your post.

1 Like

Poll added. Sorry, just figured out how :slight_smile:

2 Likes

I have come across royalties anywhere between 2-10%, but I’m not sure of an average or standard here… I think a small bump up would be fine and not have a great impact on sales… However perhaps an increase to both honeypot and team % would be appropriate at this early stage… I would not be inclined to go above 6% for now, something around 4-5% DAO / 1% team sounds right to me. Perhaps 4.5% and 0.5% would also be ok. An increase to 5 or 6% total royalties, is my opinion.

This proposal directly decreases the value of our bears. Our volume and floor price is dropping so the timing seems incredibly bad.

Higher roylties % would only cause less demand from flippers. If your wanting into the DAO a higher royalty % would be more desirable and increase demand if anything.

5 Likes

I’m surprised we didn’t get more votes to increase the fee which would generate more money to the honeypot.

1 Like

This proposal changes two things - Increased total royalties, and a changed ratio split of the royalties between the DAO vs Team.

If we double the current royalties proportionally, that would be 4% to DAO - 1% to Team. Increasing total royalties from 2.5% to 5%.

I would be in favour of keeping the 4:1 / DAO:Team split on royalties at this stage, and increasing the total royalties in proportion.

i.e. going up to 7.5% would result a 6%:1.5% / DAO:Team split.

5 Likes

Thank you for bringing this up. We set initial low fees so that the community could raise them as they please. I think if you’re happy with the work the founding team has put in, you should also consider raising our % too.

In the end the decision is in the hands of the community.

3 Likes