GlossaryIntermediate
NFT Royalty
A percentage of a resale price intended to be paid automatically to an NFT's original creator.
An NFT royalty is a percentage of a resale price intended to be paid automatically to the original creator on every subsequent sale, not just the first, generally enforced by a marketplace's own smart contract logic.
Enforcement varies by marketplace, and some marketplaces have made royalties optional — a real, documented limitation on how reliably royalties are actually collected.
Examples
- An NFT collection might set a 5% royalty intended to be paid to the creator on every resale.
- Whether a royalty is actually collected on a given resale depends on the specific marketplace used.