Secondary sales on DraftKings Marketplace incur a royalty fee paid to the content creator. This royalty fee is determined by the creator and may vary by collectible. The proceeds from the fee are received by the content creator.
Note: Autograph receives a fixed royalty fee of 10% for all secondary market transactions involving its NFTs that occur on the DraftKings Marketplace. This percentage may differ for other NFT content creators in the future. Regardless of who creates the NFT content, the royalty is paid to the content creator each time an NFT is sold in the secondary market on the DraftKings Marketplace.
Additionally, DraftKings receives a 5% secondary market processing fee for all secondary market transactions of all NFTs on the DraftKings Marketplace for the processing and oversight of the secondary sale on the Marketplace.
To illustrate, we can use an example where you've chosen to list your NFT for sale on the secondary market at $100:
- The secondary sale of the NFT incurs a 10% royalty fee paid to the NFT creator, and a 5% DraftKings secondary market processing fee.
- Prior to listing, you'll see that $10 of the transaction will be deducted for the royalty fee paid to the content creator, and $5 will be deducted for the DraftKings secondary market processing fee.
- When someone purchases your NFT on the secondary market at a list price of $100, you'll receive $85 in net proceeds from the sale. The fees are automatically removed.