NFT Royalty Percentage Standards: What Creators and Buyers Need to Know in 2025
Jul, 12 2025
NFT Royalty Calculator
Calculate Your Royalty Earnings
See how much you'll earn from royalties on your NFT sales
How Royalties Work
NFT royalties are set when you mint your token and automatically paid on resales. Most platforms use 5-10% royalty rates, but this varies by marketplace.
Average Royalty Rates by Platform:
- OpenSea: 10%
- Rarible: 15%
- Foundation: 10%
- Objkt: 17.5%
- Blur: 5%
Your Royalty Results
When you buy an NFT, you’re not just buying a digital image or audio file-you’re buying into a system that’s supposed to keep paying the artist every time it changes hands. That’s the promise of NFT royalty percentage standards. But here’s the problem: not all marketplaces honor it. And if you’re a creator relying on those payments to make a living, or a collector trying to understand what you’re really paying for, this gap matters more than you think.
How NFT Royalties Actually Work
NFT royalties are built into the smart contract that creates the token. When you mint an NFT, you can set a percentage-say, 10%-that gets automatically sent to your wallet every time someone resells it. It’s like a perpetual commission. No middleman. No paperwork. Just code.
This isn’t new in concept. In the physical art world, artists rarely see a dime after their first sale. But in the NFT world, the blockchain makes it possible to change that. The Ethereum Improvement Proposal 2981 (ERC-2981), finalized in 2021, created a universal standard for how royalties should be encoded. It doesn’t force anyone to pay them-it just gives everyone the same language to talk about them.
For example, if an NFT sells for $5,000 with a 7.5% royalty, $375 goes straight to the original creator. The rest goes to the seller, minus any marketplace fee. Simple. Transparent. Predictable.
What’s the Standard Royalty Rate? (And Why It Varies)
There’s no single rule. But most creators set their royalties between 5% and 10%. That’s the sweet spot where buyers don’t feel nickel-and-dimed, and creators still get meaningful income.
Here’s how major platforms stack up in 2025:
- OpenSea: 10% default (but can be customized)
- Rarible: 15% default (one of the highest)
- Foundation: 10% standard
- Objkt (Tezos): 17.5%-the highest in the space
- Blur: 5%-designed for traders who want to move fast
Why such a big difference? It’s strategy. Platforms like Rarible and Objkt are betting that artists will flock to them because they protect income. Blur, on the other hand, is built for high-volume traders who care more about speed and low fees than supporting creators. If you’re a flipper, Blur is your playground. If you’re an artist, you might avoid it.
Some creators go even higher-up to 17.5%-but that’s rare. Why? Because setting a rate too high can kill resale interest. An NFT with a 20% royalty might look great on paper, but if buyers know they’re paying $200 extra just to resell it, they’ll look elsewhere.
The Big Problem: Royalties Are Optional
Here’s the uncomfortable truth: ERC-2981 doesn’t force anyone to pay royalties. It only says, “Here’s how you *should* do it.” Marketplaces decide whether to follow along.
That means an NFT minted on Rarible with a 15% royalty can be sold on Blur-and if Blur doesn’t enforce royalties, the artist gets $0. No warning. No notice. Just gone.
This isn’t hypothetical. In 2024, over 40% of secondary sales on non-compliant platforms bypassed creator royalties entirely. Some traders even use “royalty-free” wallets or cross-chain bridges to avoid payments. It’s a loophole, and it’s being used.
Creators are fighting back. Some now mint their NFTs on multiple platforms and lock royalties into the smart contract using wrapper contracts. Others refuse to list on platforms that don’t honor royalties. But the system is still broken. Until every marketplace agrees to enforce the same rules, the creator’s cut is always at risk.
Real Money: How Royalties Actually Pay Out
Let’s look at real numbers.
Digital artist Beeple earned $660,000 from a single resale of his NFT "Crossroads"-a 10% cut of a $6.6 million sale. That’s life-changing money. But it’s not just for famous artists. Smaller creators see the same pattern.
Take a mid-tier artist who sells a collection of 1,000 NFTs for $1,000 each with a 7% royalty. That’s $70 per sale. If just 30% of those NFTs resell once, that’s 300 resales × $70 = $21,000 in passive income. If they resell twice? $42,000.
Yuga Labs, creators of Bored Ape Yacht Club, earn 2.5% on every resale. With floor prices often above $100,000, that’s $2,500 per sale. Multiply that by hundreds of sales a week, and you’re looking at millions per year-just from royalties.
These aren’t outliers. They’re proof that royalties can turn digital art into a sustainable career.
What Happens When Royalties Don’t Work?
When royalties are ignored, the whole ecosystem suffers.
Artists stop making NFTs. Collectors lose trust. Platforms that ignore royalties gain short-term traffic but lose long-term credibility. Meanwhile, platforms that honor royalties build communities. They become the go-to places for artists who want to earn from their work, not just cash out once.
Some projects now include royalty enforcement as a core part of their brand. The CryptoPunks collection, for example, doesn’t have royalties-but that’s by design. It’s a historical artifact. Most new collections? They’re built with royalties baked in.
There’s also a growing movement to create “royalty-proof” NFTs. These are tokens wrapped in contracts that force royalty payments regardless of where they’re sold. They’re more expensive to create and require more technical know-how, but they’re becoming popular among serious creators.
What Should Creators Do?
If you’re making NFTs, here’s what works in 2025:
- Set your royalty at 7%-10%. That’s the range most buyers accept.
- Mint on platforms that enforce royalties-like OpenSea, Foundation, or Objkt.
- Avoid listing on Blur or other platforms that ignore royalties unless you’re targeting pure traders.
- Use ERC-2981-compliant contracts. Don’t rely on custom code that might not be recognized.
- Consider splitting royalties if you worked with a team. Smart contracts can send 5% to you, 3% to your animator, 2% to your sound designer-all automatically.
Don’t assume your royalty will be paid. Build your business around the idea that it might not be. That’s the reality.
What Should Buyers Know?
Buying an NFT isn’t just about owning a picture. It’s about supporting the ecosystem.
If you buy an NFT and resell it without paying the royalty, you’re taking money away from someone who made it possible. That’s not illegal-but it’s not ethical, either.
Here’s what to look for:
- Check the original minting platform. If it’s Rarible or Objkt, expect a higher royalty.
- Use wallets that show royalty details before you buy or sell.
- Don’t use “royalty-free” tools unless you’re okay with hurting creators.
- Remember: a lower royalty doesn’t mean a better deal. It might mean a less sustainable art scene.
Some collectors now openly say they only buy from artists who use royalties. It’s becoming a badge of honor.
The Future: Will Royalties Survive?
The battle isn’t over. Some regulators are starting to look at NFT royalties as a form of intellectual property. In the U.S., the IRS already treats royalty income as taxable. In the EU, there’s talk of making royalty enforcement mandatory.
Technically, the next step is on-chain enforcement-where the blockchain itself, not the marketplace, handles the payment. Projects like Hedera are already testing this. If it catches on, royalty bypassing could become nearly impossible.
For now, the system is a mix of code, culture, and compromise. The most successful creators aren’t the ones with the biggest collections. They’re the ones who understand the rules-and play by them.
Whether you’re making NFTs or buying them, remember this: royalties aren’t just a feature. They’re the reason digital art can be more than a speculative bubble.
What is the standard NFT royalty percentage?
The most common NFT royalty percentage is between 5% and 10%. Many major marketplaces like OpenSea and Foundation default to 10%. Some platforms like Rarible and Objkt use higher rates-up to 15% or even 17.5%. Creators can usually set their own rate during minting, but going above 10% may reduce buyer interest.
Are NFT royalties mandatory?
No. While the ERC-2981 standard provides a technical way to encode royalties, individual marketplaces choose whether to honor them. Platforms like Blur and some cross-chain tools allow buyers and sellers to bypass royalties entirely. This means an NFT with a 10% royalty on OpenSea might generate zero payment if sold on a non-compliant platform.
How do NFT royalties get paid?
Royalties are paid automatically through the NFT’s smart contract. When the NFT is resold, the contract calculates the agreed percentage (e.g., 7%) and sends that amount directly to the creator’s wallet. This happens at the same time as the sale, and the payment is made in the same cryptocurrency used for the transaction-usually ETH, SOL, or XTZ.
Can I change the royalty after minting an NFT?
Generally, no. Once an NFT is minted, its royalty percentage is fixed in the smart contract. However, some platforms allow you to burn the original NFT and re-mint it under a new contract with updated terms. This is costly (gas fees, time) and breaks the original token’s history, so most creators avoid it.
Do NFT royalties count as income?
Yes. In the U.S., Canada, the EU, and most other countries, NFT royalty income is treated as taxable income. You must report it on your tax return, usually as self-employment or miscellaneous income. Keep records of every royalty payment, including the date, amount, and NFT sold. Some creators use crypto tax tools like Koinly or CoinTracker to track this automatically.
Why do some NFT platforms have no royalties?
Platforms like Blur and some decentralized exchanges prioritize trader speed and low fees. They attract professional flippers who want to buy and sell quickly without paying extra to creators. These platforms argue that lower fees increase liquidity and trading volume. But critics say this undermines the long-term value of digital art by removing creator incentives.
Jennifer MacLeod
November 23, 2025 AT 20:06I bought my first NFT last year and didn't even know royalties were a thing until I saw the payment hit my wallet from a resale. That $42 check felt like magic. Now I only buy from artists who use 7-10% and avoid Blur like it's a scam. Real art deserves real pay.
Also, if you're flipping and skipping royalties, you're not a collector-you're a parasite.
Linda English
November 24, 2025 AT 15:42It’s interesting, isn’t it?-how the very technology that was supposed to empower creators, the blockchain, has also created this strange, almost paradoxical space where ethical behavior is optional, and convenience wins every time. I mean, we’re talking about people who spent months, sometimes years, crafting digital art, pouring their soul into pixels and sound, and then someone else buys it, flips it on a platform that doesn’t honor the contract, and walks away with all the profit, while the artist gets nothing. It’s not just about money-it’s about respect. And respect, in this case, is coded into the contract, but not enforced by the marketplace. And that’s the real tragedy. Not the lack of regulation, but the lack of collective will to uphold what was promised.
Maybe we need a cultural movement-not just a technical fix-to make royalties sacred again.
asher malik
November 25, 2025 AT 13:56Man the whole royalty thing is just a vibe check
Some people want to support artists some just want to flip and get rich
Doesn't matter if it's 5% or 17.5% if the platform doesn't enforce it
It's like signing a contract to pay someone and then just ignoring it because you can
And yeah Blur is trash for creators but it's perfect for traders so who even cares
Artists should just mint on Objkt and call it a day
And stop being mad at the buyers
It's the platforms that broke it
Not us