Solana (SOL)-based NFT (non-fungible token) marketplace, Magic Eden, has launched a new royalty protection tool for new collections. The tool is called “Open Creator Protocol” (OCP) and is open-source and free. The Open Creator Protocol is built on top of Solana’s SLP token standard. Starting December 2, this will enable royalty enforcement for new collections that choose to adopt the standard.
OCP users can block markets from selling their works if they don’t enforce royalties. Magic Eden will continue to offer optional royalties for collections that do not implement OCP. However, users cannot retroactively apply OCP to existing collections. So this means that creators have to burn and reuse their older collections to implement OCP.
In addition, the tool has a dynamic royalty feature. This reduces the value of royalties to buyers who pay a higher price.
Magic Eden co-founder and CEO, Jack Lu mention,
“We have had active conversations with multiple ecosystem partners to find timely solutions for creators. Our intent with Open Creator Protocol is to support immediate royalties for creators launching new collections while continuing to work with ecosystem partners for more solutions.
In addition, the launch comes weeks after rival NFT marketplace, OpenSea, launched a similar tool for its customers.
How is Solana doing now?
SOL was one of them worst affected projects in the ftx story. The token continues to fall, falling by more than 50% on the monthly charts. In addition, according to Messari, Solana’s volatility is at year-over-year highs.
On the other hand, SOL’s circulating market cap is at yearly lows.
The collapse of FTX played a big part in driving Solana’s price down. However, the network has many use cases with more than 350 projects built on it. Therefore, there is a good chance that SOL can pull itself out of the current situation.
At the time of writing, Solana was trade at $13.59, down 2.1% in the past 24 hours. In addition, the coin is down 94.8% from its all-time high of $259.96, set in November 2021.