Sotheby's launches NFT marketplace on Ethereum and Polygon

Sotheby's launches NFT marketplace on Ethereum and Polygon

Sotheby's, a fledgling auction house, has launched a peer-to-peer NFT marketplace on Ethereum and Polygon. The platform levies a transaction fee of 2.5% for NFTs, and buyers can trade NFTs using ETH or MATIC tokens.

Metaverse, curated by Sotheby's, is a curated platform encompassing a select selection of handpicked artists. At launch, 13 artists, including XCOPY, Tyler Hobbs, Claire Silver, Sam Spratt, and Refik Anadol, have been selected, with plans to rotate artists periodically.

The firm, based in New York City, said it will honor creator royalties, 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, the company said.

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

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

In the past 7 days, Blur and OpenSea, two biggest NFT marketplaces, have generated less than $3.5 million collectively from creator royalties. In the past three months, NFT royalties paid by users have dipped more than 60%, with royalties paying users falling 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 bleeding lower.

Bitcoin Ordinals, one of the few bright spots in the NFT, has achieved a new milestone with inscriptions surpassing the two million mark.