Mint Club offers a unique feature for token and NFT creators known as Creator Royalties. This powerful tool allows tokenized business owners to effortlessly set royalties, ranging from 0% to 50%, on their digital assets. These royalties are applied whenever a token or NFT is minted or burned, enabling creators to directly monetize their projects.
Royalties established by creators are automatically gathered as claimable balances in the owner's address, with calculations based on the Base Asset. Take, for instance, a scenario where you own a token that uses WETH as the base asset of its bonding curve pool. When you set the royalties and users mint or burn the token asset, the WETH involved in these transactions will accumulate in your wallet address. You can claim these accumulated royalties at any time through the Creator Dashboard. This system offers a direct and uncomplicated method for creators to financially benefit from the circulation of their tokens or NFTs.
To understand how to claim your accumulated royalties, please consult the document linked below.
Mint Club provides the flexibility to customize royalty rates for both minting and burning transactions. Creators can set different royalty percentages for each process. For instance, a creator might choose to set a royalty of 0.3% for minting and 0.7% for burning an NFT. This versatility allows for a range of monetization strategies tailored to your token or NFT asset.
Please note, you may need to provide justification to your community for setting different royalty rates for minting and burning transactions.
The collected fees will be allocated in an 8:2 ratio between the bonding asset creator and the protocol as Platform Fees. For example, if you set the Creator Royalty percentage at 0.3%, the creator receives 0.24% and the protocol receives 0.06%. Setting the fee to 0% ensures there are no trading fees. It's recommended to set the fee rate at 0.3%, which is in line with the typical rates of most DEXs.