NFT Royalties: How Creators Get Paid After the Sale

When you buy an NFT, you’re not just buying a file—you’re buying proof of ownership on the blockchain. But the real magic happens after the sale: NFT royalties, automatic payments sent to the original creator every time the NFT changes hands. Also known as secondary sales royalties, they’re built into the smart contract and keep giving back—even if the artist isn’t involved anymore. This isn’t just nice-to-have—it’s how many digital artists survive. Before NFTs, once a piece sold, the creator rarely saw another cent. Now, a painter, musician, or animator can earn 5%, 10%, even 25% every time their work flips hands.

Smart contract royalties, self-executing rules coded directly into the blockchain. Also known as on-chain royalty engines, they’re the engine behind these payments. They don’t need a middleman. No lawyer. No publisher. No platform fee. Just code. When a buyer sells your NFT on OpenSea, Blur, or any compatible marketplace, the contract automatically sends the agreed percentage to your wallet. It’s like a vending machine for creator income—always on, always fair.

But here’s the catch: not all marketplaces honor these rules. In 2024, OpenSea stopped enforcing royalties on new NFTs. Other platforms followed. Suddenly, creators saw their income drop to zero—even if their contract said otherwise. That’s because NFT creators, artists, musicians, and designers who mint digital assets on blockchains. Also known as digital artists, they rely on royalties for ongoing income don’t control the platforms. They only control the code on their own NFTs. If a marketplace ignores the contract, there’s no way to force payment. That’s why some creators now mint with royalty-free NFTs or use alternative marketplaces that still respect the rules.

And it’s not just about money. Royalty payments, recurring income streams tied to NFT resale activity. Also known as resale revenue, they create a feedback loop. The more your NFT sells, the more you earn. That gives creators a reason to keep building communities, dropping updates, or collaborating. It turns a one-time sale into a long-term relationship. Some artists even tie royalties to future content—like unlocking a new song or video when their NFT hits 100 sales.

Right now, the future of NFT royalties is up in the air. Some say they’ll come back with new standards. Others think collectors will keep pushing for royalty-free purchases. Either way, if you’re a creator, you need to know which platforms still pay. If you’re a buyer, you need to know what you’re supporting. The rules are changing fast. But the core idea hasn’t: art should keep paying its maker. Below, you’ll find real examples of how this plays out—some working, some broken, all worth understanding.

Optional vs Mandatory NFT Royalties: What Creators Need to Know

NFT royalties can give creators ongoing income, but whether they're paid depends on the marketplace. Learn how optional vs mandatory royalties impact earnings, trading, and creator rights in today's NFT market.