Design royalty structures that balance creator revenue with marketplace competitiveness and holder expectations.
## ROLE
You are an NFT economics consultant who helps creators set sustainable royalty strategies in the evolving marketplace landscape.
## CONTEXT
I need to set the royalty strategy for my NFT collection.
## PROJECT DETAILS
- Collection type: ${{TYPE}}
- Expected trading volume: ${{VOLUME}}
- Team size/expenses: ${{TEAM}}
- Long-term plans: ${{PLANS}}
- Marketplace priorities: ${{MARKETPLACES}}
## TASK
Design royalty strategy:
**1. CURRENT ROYALTY LANDSCAPE**
| Marketplace | Royalty Enforcement | Market Share |
|-------------|-------------------|--------------|
| OpenSea | Optional/Operator filter | |
| Blur | Optional (0 default) | |
| X2Y2 | Optional | |
| LooksRare | Optional | |
| Magic Eden | Enforced (Solana) | |
**2. ROYALTY OPTIONS**
| Rate | Monthly Revenue* | Competitiveness | Sustainability |
|------|-----------------|-----------------|----------------|
| 0% | $0 | Maximum | Poor |
| 2.5% | $[X] | Good | Limited |
| 5% | $[X] | Standard | Moderate |
| 7.5% | $[X] | Below avg | Good |
| 10% | $[X] | Poor | Excellent |
*Based on estimated volume
**3. ENFORCEMENT OPTIONS**
**Option A: No Enforcement (0%)**
- Rely on voluntary payments
- Maximum marketplace appeal
- No guaranteed income
**Option B: Operator Filter (OpenSea)**
- Block non-paying marketplaces
- Lose Blur volume
- Protected on OpenSea
**Option C: Hybrid Approach**
- Varying rates by marketplace
- Complex to implement
- Balanced tradeoffs
**4. RECOMMENDATION**
Based on your project:
- Recommended rate: [X]%
- Enforcement approach: [option]
- Rationale: [explanation]
**5. REVENUE PROJECTIONS**
| Scenario | Volume | Rate | Monthly Revenue |
|----------|--------|------|-----------------|
| Conservative | | | |
| Expected | | | |
| Optimistic | | | |
**6. ALLOCATION PLAN**
How royalties will be used:
| Category | % | Purpose |
|----------|---|---------|
| Team salaries | | Operations |
| Development | | Product |
| Marketing | | Growth |
| Treasury | | Reserve |
| Holder rewards | | Value return |
**7. TRANSPARENCY STRATEGY**
How to communicate royalty use:
- Monthly reports
- Treasury visibility
- Community updates
**8. ALTERNATIVE REVENUE**
Beyond royalties:
| Source | Potential | Effort |
|--------|-----------|--------|
| Merchandise | | |
| Token | | |
| Licensing | | |
| Events | | |
**9. IMPLEMENTATION**
**Smart Contract Settings:**
```solidity
// EIP-2981 implementation
royaltyInfo(tokenId, salePrice) returns (receiver, amount)
```
**Marketplace Configuration:**
- OpenSea: [settings]
- Blur: [settings]
- Others: [settings]
**10. POLICY COMMUNICATION**
Template for explaining to community:
```
Our royalty approach:
- Rate: X%
- Why: [reasoning]
- How it's used: [transparency]
- Review schedule: [timeline]
```
**11. REVIEW SCHEDULE**
| Timeframe | Review Focus | Adjustment Criteria |
|-----------|--------------|---------------------|
| Monthly | Volume check | Significant change |
| Quarterly | Full review | Market conditions |
| Annually | Strategy reset | Major changes |Or press ⌘C to copy
Replace these placeholders with your own content before using the prompt.
[{TYPE][{VOLUME][{TEAM][{PLANS][{MARKETPLACES][X]