ApeCoin DAO Proposes Overhauling NFT Marketplace to Reinforce Royalty Enforcement
TL;DR:
- A groundbreaking proposal on ApeCoin DAO aims to reshape the NFT landscape, focusing on royalty support and creator incentives.
- Authored by Zach Heerwagen, CEO and Co-founder of Snag Solutions and an ApeCoin DAO community member, the proposal initiates a dialogue on collaboration between DAOs and Web3 for royalty infrastructure.
- Incentive alignment is crucial as both royalty payers and non-payers currently receive equal value.
- The proposal envisions $APE as central to the solution and emphasizes the need for a “source of truth” for royalty payments.
- Version 2.0 of the ApeCoin marketplace is proposed, featuring a collector-focused design and using payment processor protocol 12.
In a groundbreaking proposal posted on ApeCoin DAO, a vision emerges to reshape the NFT landscape, placing royalties and creators back at the heart of the Web3 community.
The proposal, authored by Zach Heerwagen, CEO and Co-founder of Snag Solutions and an active community member of ApeCoin DAO, aims to initiate a robust public discussion, igniting the discourse on how decentralized autonomous organizations (DAOs) and the broader Web3 ecosystem can collaborate to establish the necessary infrastructure to bolster royalty support.
Incentive Alignment at the Core of the Challenge
The crux of the issue lies in aligning incentives – currently, both royalty payers and non-payers are treated equally in terms of value received.
A paradigm shift is needed to reestablish the importance of royalty payments and create a system that rewards those who support creators.
At the center of this transformative movement stands $APE, the native token of ApeCoin.
While the proposal envisions a future where $APE plays a pivotal role in this platform, it also stresses the urgency of implementing a “source of truth” for royalty payments.
This source, when coupled with on-chain enforcement, can enable creators to bestow benefits upon royalty payers, creating a positive feedback loop that supports creators and holders alike.
Last year we made a proposal to build the official @apecoin marketplace.
— CryptoZach.eth (@ZHeerwagen) August 24, 2023
Today, the NFT market is in dire need of a royalty enforcement system - we think the answer is a canonical ‘source of truth’ for royalties and we're back to revamp our proposal:https://t.co/I5RtRVNeOz
The Need for Royalty Enforcement and a Unified Marketplace
The proposed plan unveils a vision for version 2.0 of the ApeCoin marketplace, an upgraded and rebranded platform designed to cater to all collections, while retaining the optimized Yuga buying experience.
This revitalized marketplace will be built upon the payment processor protocol 12, differing from Seaport, and will incorporate the 721-C Standard for collections that employ it.
One of the cornerstones of the proposal is the creation of a new marketplace competitor, designed to be collector-focused and running transactions through LimitBreak’s payment processor protocol 12.
This marketplace will offer features comparable to OpenSea, including token gated social feeds and holder directories, all designed to provide a robust collecting experience for the community.
A Triple-Pronged Approach to Royalty Enforcement
The proposal outlines a comprehensive strategy for royalty enforcement, encompassing three key elements:
- The New Marketplace: The creation of a collector-focused marketplace, built around LimitBreak’s payment processor protocol 12. This revamped platform will provide collectors with a seamless and enriched trading experience, encouraging broader adoption and engagement within the community.
- Royalty Tracking Standard: A standardized protocol will be developed to track and verify royalty payment data specific to each token. This data will be accessible to creators through an API and oracle, empowering them to reward loyal holders and incentivize adherence to royalty payment commitments.
- Front-End Solution for Royalty Covering: A user-friendly front-end interface will enable holders to pay unpaid royalties from their most recent transactions, thus rectifying any non-compliance with royalty obligations and reinstating tokens into good-standing.
Empowering the ApeCoin Ecosystem
The proposal also seeks funding of $1 million in $APE to support the development of the collector-focused marketplace, implement the royalty tracking standard, and create a self-sustaining tokenomics system.
This system will reward users for trading in $APE, further incentivizing adoption and activity within the ApeCoin ecosystem.
The Path Forward
In a space dominated by shifting dynamics and evolving priorities, ApeCoin DAO’s proposal envisions a renewed NFT marketplace landscape – one where creators are rightfully compensated for their work, and collectors are engaged and rewarded for their commitment.
With the Web3 community’s input, the journey to implement these changes begins, potentially reshaping the NFT landscape for the better.
The community’s voices will guide the evolution, ensuring that this proposal represents a collective effort toward a more equitable and dynamic NFT ecosystem.
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