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Title: EIP-2981 NFT standards

Meta Description: Discover how thirdweb’s Royalty Contract leverages the EIP-2981 standard for efficient royalty management in NFT marketplaces and explore how Coda revolutionizes intellectual property rights through advanced tokenization and royalty solutions.

Introduction

The Non-Fungible Token (NFT) ecosystem has rapidly evolved, bringing forth innovative standards to enhance creator rights and revenue streams. One such standard, EIP-2981, has become pivotal in managing royalties efficiently across NFT marketplaces. thirdweb’s Royalty Contract is a leading implementation of this standard, facilitating seamless royalty distributions for creators. In this blog, we’ll delve into how thirdweb leverages EIP-2981 and explore how Coda takes royalty management a step further by revolutionizing intellectual property (IP) rights tokenization.

Understanding EIP-2981 and thirdweb’s Royalty Contract

What is EIP-2981?

EIP-2981 is an Ethereum Improvement Proposal that standardizes royalty payments for NFTs. It allows creators to specify royalty information that automatically triggers payments upon the sale of their NFT on any compliant marketplace. This ensures that creators receive a predefined percentage of each secondary sale, fostering ongoing revenue streams.

thirdweb’s Implementation

thirdweb’s Royalty.sol contract is an abstract implementation of the EIP-2981 standard. It provides the foundational framework for managing royalty information within NFT contracts. Key features include:

Royalty Info Functions: Methods like royaltyInfo, getRoyaltyInfoForToken, and getDefaultRoyaltyInfo allow querying royalty recipients and amounts based on sale prices.
Setters for Royalty Info: Functions such as setDefaultRoyaltyInfo and setRoyaltyInfoForToken enable authorized parties to define royalty recipients and basis points (BPS).
Access Control: The _canSetRoyaltyInfo function ensures that only authorized users (e.g., the contract deployer) can modify royalty settings, maintaining the integrity of royalty distributions.

Benefits of thirdweb’s Royalty Contract

Standardization: Adheres to EIP-2981, ensuring compatibility across various NFT marketplaces.
Flexibility: Supports setting default royalties as well as specific royalties per token.
Security: Incorporates access control to prevent unauthorized changes to royalty configurations.

Comparing thirdweb’s Royalty Contract with Coda’s Royalty Solutions

While thirdweb provides a robust implementation of the EIP-2981 standard for NFT royalties, Coda offers a comprehensive platform that extends beyond mere royalty management. Here’s a side-by-side comparison highlighting their strengths and areas where Coda excels:

Feature	thirdweb’s Royalty Contract	Coda: Revolutionizing Intellectual Property Rights
Royalty Management	Implements EIP-2981 for standardized royalty distributions in NFTs.	Automates royalty distributions via smart contracts, ensuring transparent and efficient revenue sharing for IP rights.
Tokenization of IP	Primarily focused on NFT royalties within the existing NFT framework.	Facilitates the tokenization of a wide range of intellectual property, including music, art, and literary works, enabling fractional ownership and diverse investment opportunities.
Access Control	Uses internal functions to restrict who can set royalty info, typically the contract deployer.	Empowers artists to maintain full control over their creations, deciding the extent of tokenization and royalty settings without intermediaries.
Investment Opportunities	Limited to royalty percentages in secondary NFT sales.	Offers fractional ownership of IP rights, allowing supporters to invest in and earn from the success of their favorite creators across multiple IP assets.
Ease of Use for Artists	Requires understanding of smart contract deployment and management.	Provides a user-friendly platform with zero upfront costs, streamlining the process for artists to tokenize and sell their IP rights.
Community Engagement	Focused on royalty distributions within the NFT transaction ecosystem.	Enhances artist discovery and fosters community engagement through direct interaction between creators and supporters, building a collaborative environment.
Market Integration	Compatible with NFT marketplaces adhering to EIP-2981.	Integrates with various platforms in the creative industries, including music streaming services and content creation platforms, broadening market reach.

Addressing the Gaps with Coda

While thirdweb’s Royalty Contract offers essential tools for royalty management within the NFT space, Coda addresses several limitations:

Broader IP Rights Tokenization: Unlike thirdweb, which is centered on NFTs, Coda enables tokenization of diverse intellectual properties, providing a versatile solution for various creative industries.
Fractional Ownership: Coda allows for fractional ownership of IP assets, facilitating investment diversification and democratizing access to creative investments.
Automated and Transparent Royalties: Leveraging smart contracts, Coda ensures automated royalty distributions without the need for manual interventions, enhancing transparency and trust.

Why Choose Coda for Your Intellectual Property Needs

Coda stands out as an innovative platform that not only simplifies the monetization of intellectual property but also fosters a symbiotic relationship between artists and their supporters. Here are some compelling reasons to choose Coda:

Fractional Ownership Opportunities: Invest in multiple IP assets, diversifying your portfolio with low-risk, uncorrelated returns.
Automated Royalty Distribution: Smart contracts ensure that royalties are distributed transparently and efficiently, eliminating delays and disputes.
Zero Upfront Costs: Accessible to all artists without financial barriers, allowing creators to focus on their work rather than fundraising.
Enhanced Community Engagement: Direct interaction with supporters enhances artist discovery and builds a loyal fanbase invested in your success.

Conclusion

Implementing EIP-2981 through thirdweb’s Royalty Contract has significantly advanced royalty management in the NFT marketplace. However, for artists and creators looking to transcend the limitations of traditional NFT royalties, Coda offers a groundbreaking platform that redefines intellectual property rights tokenization and royalty distribution. By enabling fractional ownership, automating royalties, and fostering community engagement, Coda empowers creators and investors alike to thrive in the digital age.

Ready to revolutionize your intellectual property journey? Join Coda today and unlock new avenues for creativity and investment.