Royalties

There are two ways of distributing fees in Bit5. One way is Payment Splitter and the other one is EIP-2981.

Payment Splitter

Before inspecting the diagram, you should know some things about the payment splitter.

A payment splitter is a way to split the coming royalty fees between accounts. NFT contract owners can set fees for their NFTs. For example, let’s say we have a collection with this royalty information:

• Address A - 5%

• Address B - 2%

• Address C - 1%

And assume there is a buy operation with 100 BNB. Now, the fee is split to 3 accounts:

• Address A gets 5 BNB

• Address B gets 2 BNB

• Address C gets 1 BNB

• Service fee 2 BNB (2%)

• NFT owner gets 90 BNB

Only the NFT owner can add and delete royalties. The NFT contract MUST not have the EIP-2981 for using Payment Splitter (this is used for preventing double fees).

There will be a maximum fee percentage to protect users.

EIP-2981

EIP-2981 is a standard for NFT royalties: EIP-2981: NFT Royalty Standard

There is a function in this standard named royaltyInfo(uint256 _tokenId, uint256 _salePrice). We are asking for the royalty amount by sending the sale price and the token id. After receiving the receiver and royaltyAmount we’ll be sending the fees.

The fee calculation is the same as above. With one difference, EIP-2981 only approves one receiver for one token.

Fees

Bit5 charges a 2% fee on items sold. For a limited time, our fees will be 0% so that you can enjoy the lowest fees on BNBChain.