Animoca Brands proposes a new set of NFT licenses
Its aim is to develop a legal framework that would protect NFT creators
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Digital entertainment leader Animoca Brands aims to protect creator’s royalties with a new set of NFT licenses.
Creators’ royalties have been a hot topic since the largest NFT marketplace OpenSea announced its plans to launch a tool for on-chain enforcement of creator fees. The announcement was made after several marketplaces, including Magic Eden, X2Y2, LooksRare, and Blur, moved to zero royalties.
Following this, the CEO of Animoca Brands, Yat Siu, introduced the company’s plan that would help creators. Animoca Brands releases a new set of NFT licenses which will require the payment of creator royalties as a condition for receiving licenses to the art and the utility provided.
These licenses will enable creators to remove utilities from any non-fungible token that is transacted without royalties. In addition, creators will be able to seek legal redress in case third parties or marketplaces attempt or enable the circumvention of royalties required by the licenses. So, the overall aim of the initiative is to develop a legal framework that would protect NFT creators and make marketplaces legally liable for unpaid royalties.
“Each sale with unpaid royalties will accrue a liability that can then be legally enforced,”states Yat Siu’s Twitter thread.
Animoca has already rolled out the first draft of the new set. Notably, it is released under a creative commons license and is accessible to everyone, in the core principles of Web3.
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