Sotheby's launches NFT marketplace on Ethereum and Polygon

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Sotheby's launches NFT marketplace on Ethereum and Polygon

Sotheby's, a failed auction house, has introduced a peer-to-peer NFT marketplace on Ethereum and Polygon. NFTs can be traded using ETH or MATIC tokens on the platform, which is charged a transaction fee of 2.3 percent.

The Metaverse, curated by Sotheby's, features a limited selection of handpicked artists. At launch, 13 artists, such as XCOPY, Tyler Hobbs, Claire Silver, Sam Spratt, and Refik Anadol, have been selected, with plans to rotate artists frequently.

The firm said it will honor creator royalties on the marketplace, which will be enforced using smart contracts.

''S commitment to honoring artist royalties comes amidst a larger debate about royalties within the NFT community, and signals Sotheby's artist-first ethos as one of the only major NFT marketplaces committed to artist resale royalties,'' Sotheby said in a statement.

The NFT community has been grappling with a growing debate about creator royalties, with each NFT marketplace taking its own position on the issue.

On February 18, OpenSea announced that it would collect a 0.5% minimum royalty on all collections, and that marketplaces with similar enforcement will not be blocked.

Blur and OpenSea, both of the biggest NFT marketplaces, have generated less than $3.5M collectively in the past 7 days from creator royalties. In the past three months, NFT royalties paid have dipped by more than 60%, with royalties paying users reducing by nearly 75%, according to Dune Analytics.

The NFT market is experiencing a severe downturn. collectors have been selling their NFTs for substantial losses, and volumes are dwindling across NFT marketplaces. The demand for blue-chip NFTs has been decreasing as their floor prices have been lower.

Bitcoin Ordinals, which reached a new milestone in the NFT with inscriptions exceeding two million marks, is one of the only bright spots in the NFT.