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Are NFTs Still Disruptive in a Zero-Royalty World?

The Breakdown

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The Pros and Cons of 0% Royalties

The pros of royalties: Artists are being compensated for their creative work. Low Mint prices and royalties drove many projects to success. Long-term holders can benefit since creators can earn from short-term traders. The cons include incentive misalignment, higher royalties can hurt liquidity,. increase in hacks, aka buyers trading off market to avoid royalties.

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