This step they took because of the emergence of pressure recently because there are competitors who are quickly stealing its market share.
The platform wrote in a tweet “After several difficult reflections and discussions with many content creators, we have decided to switch to optional royalties.” Magic Eden also said that they will waive their platform fees during the promotion period, in an apparent effort to win back their NFT traders .
Magic Eden has become the most dominant NFT marketplace in Solana for the past year. And they usually have 90% or more market share at any given time. The startup also managed to capitalize on the momentum and raised its valuation to $1.6 billion in June.
They managed to collect this amount in just nine months after launching the platform . This is because they were able to raise as much as $130 million in its Series B funding.
However, there are upstart marketplaces that choose not to require sellers to pay creator royalties on secondary sales such as Hadeswap and Solanart which have begun to undermine Magic Eden's dominance in recent weeks. As a result, it prompted the platform to take action so as not to lose its market share any further.
Last week, Magic Eden said that it had partnered with Coral Cube, a marketplace and other aggregators to enable Solana NFT transactions with optional royalties while retaining full creator royalties on the Magic Eden marketplace itself.
On Thursday (10/13/22), Tiffany Huang—Magic Eden's Head of Marketing and Content—told Decrypt that the Coral Cube partnership was designed to “protect the Magic Eden brand while serving merchants,” and that its marketplace has always been proud of it. can focus on the creator too.
Post a Comment