NFTs, DAOs & Web3

What are NFT royalties?

NFT royalties are payments that route a percentage of each secondary sale back to the original creator, set when the NFT is minted. They let creators earn an ongoing share whenever their work changes hands, not only at the first sale. For example, a 5 percent royalty means a creator receives 5 percent of the price every time the NFT is resold. Royalties are usually defined in the token's metadata or contract, though whether they are enforced depends on the marketplace, and many now make them optional.