NFT · Explainer
Royalty-Free NFT Trades: How Creator Royalties Work in 2026
A royalty-free NFT trade is a sale where no creator fee is paid on the resale. This guide explains what NFT royalties are, why some trades pay nothing, and how to check a collection's royalty setting before you buy or sell.
By the DappsAtlas editorial team · Updated

What NFT royalties are and why they exist
An NFT royalty is a fee that the creator of a token can receive each time the token is resold. The payment usually applies to secondary sales, meaning trades after the first mint. The creator sets the percentage and the marketplace or contract is meant to send that share to a designated wallet.
Royalties matter because much of an artist's income from a collection can come from resales over time rather than the initial sale. A creator who sets a royalty is effectively asking for a share of future trading volume.
Royalties are not the same as marketplace fees. A marketplace charges its own fee for facilitating a sale, and the royalty is a separate payment to the creator. A single sale can therefore involve up to three parties receiving money: the seller, the creator and the platform.
The term royalty-free trade describes a resale where the creator fee is not paid. Such a trade is not illegal by default, and it is not a sign that the NFT itself is worth more or less. It usually means the sale went through a venue or method that did not send the creator payment, or the creator had set the royalty to zero.
Understanding the basic definition helps you read marketplace listings. Many interfaces show a creator fee line next to the platform fee, and that line tells you what the venue expects to send. If it reads zero or is missing, the sale is likely royalty-free.
Why some NFT trades pay no royalty
There are several common reasons a resale pays no creator fee. The most frequent is that the marketplace does not enforce royalties for that collection. Enforcement is a platform decision, and it has changed over time as venues compete on fees.
A second reason is that the creator set the royalty to zero. Some creators choose this to make their work easier to trade, while others prefer to keep royalties at a set level. The royalty setting belongs to the collection, so two collections on the same platform can behave differently.
A third reason is that the trade happens outside a royalty-aware venue. A direct transfer between wallets, or a sale through a pool that does not route creator payments, can skip the fee. Whether that is permitted depends on the contract, the venue and the terms the creator published.
Finally, the sale may use an older contract standard. Royalty support has been added to token standards in different ways over the years, so an older collection may not expose a royalty value that newer marketplaces can read.
The practical takeaway is that a royalty-free trade has a cause, and the cause is usually visible in the listing or collection settings. Reading those settings before you trade gives you a clear answer rather than a guess.
How marketplaces enforce royalties
Enforcement is the process by which a marketplace makes sure the creator royalty is paid when a token sells. A venue can enforce royalties fully, make them optional for sellers, or leave them out altogether. Each choice affects what a buyer or seller sees on the screen.
In April 2023, decrypt.co reported that OpenSea had launched a no-fee Pro marketplace, a sign of how fee structures and royalty handling became a competitive issue across the sector. Other platforms, including Blur, were discussed in the same reporting as major competitors. Since then, policies have changed more than once, so treat any single snapshot as temporary.
When a marketplace makes royalties optional, the seller can often choose whether to include the creator fee in the listing. This can produce two listings for the same token with different total costs. A buyer should look at the total price including all fees and not only the headline price.
Some marketplaces display a royalty figure but do not guarantee it is paid on every route. Others aggregate listings from several venues, and the royalty behavior can depend on which venue fills the order.
To stay current, read the platform's fee and royalty page, which is usually linked from its help or documentation section. Policy pages state the current rules more reliably than third-party summaries, which can be out of date.
Ways a resale can avoid the creator fee
Several methods can produce a royalty-free sale. Knowing them helps you read the trade you are about to make.
- A zero-royalty listing, where the seller or collection sets the creator fee to nothing.
- A venue that does not enforce royalties on the route used for the order.
- A direct wallet-to-wallet transfer, which does not pass through a marketplace at all.
- A trade through a pool or automated market maker, where the pool contract may or may not send a creator payment.
- A sale through a platform that aggregates listings and routes the order to a venue with lower or no creator fee.
Each method has different consequences. A direct transfer or a sale to a pool may leave the buyer with less protection if something goes wrong, and it may not produce a public record of the price. A marketplace sale usually shows the full fee breakdown and gives you a clearer history.
The method also affects the creator. A creator who depends on resale income may see a lower payment on a royalty-free trade, while a buyer may save on the sale price. Both outcomes follow from the rules the creator and venue have set, so they are not a loophole in the usual sense.
Before you trade, check which method your order uses. Most marketplace interfaces show whether the order is a standard listing, an offer or a pool trade, and that label tells you what fee terms apply.
Royalty handling in pools and automated market makers
Automated market makers and liquidity pools handle NFTs differently from order-book marketplaces. In a pool, a token is traded against a price curve or a token balance rather than against a single listed seller. Royalty handling depends on how the pool contract was written and which version you are using.
Sudoswap V2 is described as an Ethereum NFT marketplace on several networks that includes on-chain royalties and ERC-1155 support. Sudoswap V1 is described as an Ethereum automated market maker that swaps ERC721 NFTs for ETH or ERC20 tokens using customizable bonding curves. Because these are different versions, you should check the version you use and its current documentation rather than assuming they behave the same.
Caviar V1 is described as an Ethereum NFT automated market maker for swapping ERC20 tokens and NFTs through pools. NFTX turns NFT collections into vault-backed ERC20 tokens so users can trade at a price against a pool, and NFT20 turns NFTs into ERC20 pool tokens. In each case, the question to ask is whether the creator fee is paid on the route that moves the NFT.
Pools can be useful for traders who want fast execution, but they also have trade-offs. Price curves move with each trade, and a pool's terms may differ from what a listing shows. Read the pool's fee disclosure and the contract's public information before you commit funds.
If you are providing liquidity, you should also understand that a pool may hold NFTs and tokens on your behalf. That role carries its own risks, so review those risks before depositing anything.
How to check a collection's royalty before you trade
You can usually check the royalty setting of a collection in a few minutes. The steps below apply to most marketplace interfaces, though labels vary.
- Open the collection page on the marketplace you plan to use, and confirm the collection address matches the one you expect.
- Look for a creator fee, royalty or fee breakdown on the item or collection page.
- Compare that figure with the total price shown in the checkout summary, including platform fees.
- Read the marketplace's current fee and royalty policy page to confirm how it enforces creator fees for that collection.
- If the collection is on a public blockchain explorer, check the contract for any royalty information the creator has exposed.
- Take a screenshot or note the figures before you confirm the trade, so you have a record.
These steps help you avoid a common mistake, which is comparing only the item price between two venues. A listing with a lower headline price may carry a higher total cost once fees and any creator payment are added.
You should also check the creator's own published terms, if they have any. Some creators explain their royalty policy on a project website or in documentation. Those sources can tell you whether the creator expects royalties on every trade, and why.
Repeat the checks each time you trade. Royalty settings can change, and a listing may reflect a setting that was valid only at the time it was created.
Trade-offs for buyers, sellers and creators
Royalty-free trades have effects on both sides of the market. The table below summarizes the main points from a neutral perspective.
| Party | Possible benefit | Possible cost |
|---|---|---|
| Buyer | Lower total price on a resale | Less clarity on the route, possibly less protection |
| Seller | Can list at a lower total price | Keeps less of the sale value if the creator fee is skipped |
| Creator | Collection stays easy to trade | Loses a share of secondary income |
| Marketplace | Can compete on fees | May face pressure from creators and traders |
For buyers, the main gain is a lower total cost, but only if the fee saving is real and the route is trustworthy. For sellers, a lower royalty can make a listing more attractive, though the seller may have to balance that against what the market will pay.
For creators, royalties are a form of ongoing income, and a royalty-free trade reduces it. Some creators accept that trade-off to keep collections liquid, while others use royalty settings as a condition of their project.
For marketplaces, the choice to enforce or not enforce royalties is a product and policy decision. It can affect which creators list with them and which traders use them.
No single outcome fits every case. The useful question is whether the trade reflects the terms the creator and venue published, and whether the total cost is clear to you before you confirm.
Security checks before a zero-royalty trade
Royalty-free listings and unusual pools attract fraud, so defensive habits matter more than speed. Treat any unexpected offer, airdrop or discount on a collection with caution.
- Only connect your wallet to sites you reached yourself from a bookmark or a verified listing, never from a link in a direct message.
- Read every signature request before approving it, and avoid signing messages you do not understand.
- Revoke token approvals you no longer need, using a reputable approval management tool.
- Confirm the collection contract address on a block explorer before you buy.
- Be wary of listings that pressure you to act quickly or that show a price far below comparable sales.
- Keep a separate wallet for trading if you hold valuable assets elsewhere.
A royalty-free listing is not automatically a scam, but a fraudulent listing can copy the design of a real one and omit the creator fee to look attractive. Compare the collection address with the official project address before you trade.
If you are offered a deal outside a marketplace, for example through a chat message, pause and verify the seller independently. Direct transfers can be legitimate, but they also remove many of the protections a marketplace may offer.
If you suspect a scam, stop interacting with the site, revoke any approvals you granted, and report the address to the marketplace's support team. Keep records of the transaction hashes and screenshots to help any follow-up.
Current status and where to check figures
Royalty policies and fee levels change often, so any specific figure in an article can go stale quickly. Instead of relying on a number from a guide, check the current source directly.
The places to verify include the marketplace's fee and royalty documentation, the collection page for the specific NFT, the creator's published terms and, for on-chain details, the contract on a block explorer. These sources reflect the current state better than summaries, including this one.
Also check the standards the collection uses, since support for royalty information differs across token standards and across the networks they run on. A collection that works well on one chain may behave differently on another.
Reporting such as the 2023 decrypt.co coverage of OpenSea's Pro marketplace shows that the market moved quickly, and that policies were a live competitive issue. Treat older coverage as history rather than current rules.
If you are a creator, review your royalty settings periodically and document them clearly for collectors. If you are a buyer or seller, make a habit of reading the total fee breakdown before you confirm. Clear records of each trade make tax reporting and disputes easier to handle.
Finally, remember that the rules for NFT sales, including tax treatment, differ by location. Check local rules and consider professional advice where the amounts are significant.
Frequently asked questions
Is every NFT resale required to pay a royalty?
Often, yes, but it depends on the venue and the collection. Some marketplaces enforce creator royalties on every sale, some make them optional, and some do not pay them at all. A zero-royalty trade is therefore a feature of how the sale was executed, not a fixed property of the NFT.
Can a buyer avoid paying the creator royalty on purpose?
Not always. A marketplace may stop enforcing royalties, a creator may set the royalty to zero, or the trade may happen directly between two wallets outside a royalty-aware venue. The results of any of these depend on the collection's contract and the platform's current policy, so check both before assuming.
How can I tell what royalty a collection expects?
Look at the royalty field on the collection page of the marketplace you use, then read that marketplace's fee and royalty policy page. For on-chain details, check the collection's contract and any royalty information it exposes. Royalty settings can change, so check again before each trade.
What is a typical NFT royalty percentage?
Royalties are fees paid to creators on secondary sales, not on the first mint. Creator royalties are set by the creator, and reporting from 2023 showed the common range is often 5 to 10 percent, though there is no universal rate. Figures on any given collection change, so verify them on the platform.
Are royalty-free NFT trades legal?
Yes. Some marketplaces have made royalties optional, and a royalty-free trade on a venue that does not enforce them may still be legal in your jurisdiction. Tax treatment of NFT sales varies widely, so check local rules with a qualified adviser. Keep records of every trade, including any fees paid.
Mentioned in this guide
dApps in this guide
OpenSea is a peer-to-peer NFT marketplace for buying, selling and minting digital collectibles, aimed at collectors, creators and developers.
Sudoswap V2 is a decentralized NFT marketplace on Ethereum, Base, Berachain and Arbitrum with on-chain royalties and ERC-1155 support, for NFT traders.
Sudoswap V1 is an Ethereum NFT automated market maker that swaps ERC721 NFTs for ETH or ERC20 tokens using customizable bonding curves.
Caviar V1 is an Ethereum NFT automated market maker for swapping ERC20 tokens and NFTs through pools, aimed at NFT traders and liquidity providers.
Element Market is a multi-chain NFT marketplace and aggregator for collectors and traders buying NFTs, collectibles and GameFi assets across many blockchains.
Rarible is a multichain NFT marketplace whose RARI token governs the protocol, RARI Chain and Foundation treasury, for creators, collectors and token holders.
Objkt is a non-custodial NFT marketplace on Tezos where creators mint, collectors trade and anyone can make offers on tokens.
NFT20 is an Ethereum NFT dex and protocol that turns NFTs into ERC20 pool tokens so collections can be swapped and traded on decentralized exchanges.
Blur is an NFT marketplace and aggregator for professional traders, launched in October 2022 and governed by the BLUR token.
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