Understanding Rewards on Zora

Edited

Zora's mission is to bring creativity onchain, and we're committed to providing the best tools and features to help creators earn sustainably from their work, even while posts are available for 0 ETH. Our Protocol Rewards enable creators and developers on Zora to automatically earn a share of the mint fees collectors pay.

The primary factor influencing how rewards are split is whether it is priced in ETH or an alternative token (learn more about alternative tokens here). The proceeds from the fees are then distributed to reward participants.

Before viewing the fee breakdown, there are a few terms you should understand:

Create Referral Reward: 

This reward is earned on each mint by those who have invited users to Zora OR by platforms/developers that have used the Zora Creator Toolkit. 

Who does it go to?

Users who invite their friends to create on Zora.

Alternative clients that facilitate creating on their app

**Learn how to share a Create Referral link here

Mint Referral Reward: 

This rewards users and platforms that showcase posts made with Zora’s Creator Toolkit, either on Zora or elsewhere. The referrer earns a reward for each NFT minted through a Zora Creator contract they support.

Who does it go to?

Users who share mint links.

Users who get mints through their minting activity.

Alternative clients that let collectors mint on their app

**Learn how you can share a Mint Referral link here.


Breakdown of our Rewards

Follow along below for our breakdown of the Zora Mint Fee and how it is split among creators, collectors, developers, builders, and Zora.

Standard rewards breakdown:

Rewards breakdown for posts priced in alternative tokens:


Protocol Reward Examples

To help you understand the different ways that these fees can be distributed, here are some example scenarios:

Example 1 - Baseline 

If an post is created directly on Zora and the mint happens on the Zora mint page, the fee allocation is as follows:

Priced in Sparks/ETH

  1. Creator Reward = ✧55 Sparks (0.0000555 ETH)

  2. Secondary Market Fee = ✧11 Sparks (0.0000111 ETH)

  3. Zora split = ✧44 Sparks (0.0000444 ETH) 

    • Zora mint fee + Create Referral + Mint Referral

Priced in alternative token:

  1. Creator Proceeds = 95% of the mint price

  2. Total Mint Fee = 5% of the mint price

    • Zora split = 100% (Zora mint fee + Create Referral + Mint Referral)

Example 2 - Create Referral (For Builder/Developer)

If a creator deploys their post on another platform using Zora contracts, but the mint happens on the Zora mint page:

Priced in Sparks/ETH

  1. Creator Reward = ✧55 Sparks (0.0000555 ETH)

  2. Secondary Market Fee = ✧11 Sparks (0.0000111 ETH)

  3. Zora split = ✧33 Sparks (0.0000333 ETH)

    • Zora mint fee + Mint Referral

  4. Create Referral (Paid to the developer that built the alternative platform) = ✧11 Sparks (0.0000111ETH) 

Priced in alternative token:

  1. Creator Proceeds = 95% of mint price

  2. Total Mint Fee = 5% of the mint price, which includes:

    • Create Referral (The developer who built the alternative platform) = 28.57% of the Mint Fee 

    • Zora split = 85.77% (Zora mint fee + Mint Referral)

Example 3 - Create Referral (Invited to Zora)

If a creator deploys their post on Zora and initially joined Zora through a Create Referral link provided by another user, when a mint happens on the Zora mint page:

Priced in Sparks/ETH

  1. Creator Rewards = ✧55 Sparks (0.0000555 ETH)

  2. Secondary Market Fee = ✧11 Sparks (0.0000111 ETH)

  3. Zora Split = ✧33 Sparks (0.0000333 ETH)

    • (Zora Mint Fee + Mint Referral)

  4. Create Referral (The Zora User who invited the creator) = ✧11 Sparks (0.0000111 ETH)

Priced in alternative token:

  1. Creator Proceeds = 95% of the mint price

  2. Total Mint Fee = 5% of the mint price

    • Create Referral (The Zora user who invited the creator) = 14.23% 

    • Zora Split = 85.77% (Zora mint fee + Mint Referral)

Example 4 - Mint Referral

If the post is created on Zora, but the mint happens elsewhere (e.g. Mint.fun)

Priced in Sparks/ETH

  1. Creator Rewards = ✧55 Sparks (0.0000555 ETH)

  2. Secondary Market Fee = ✧11 Sparks (0.0000111 ETH)

  3. Zora Split = ✧22 Sparks (0.0000222 ETH)

    • Zora mint fee + Create Referral

  4. Create Referral (The developer that built the alternative platform reward) = ✧11 Sparks (0.0000111 ETH)

Priced in alternative token:

  1. Creator Proceeds = 95% of the mint price

  2. Total Mint Fee = 5% of the mint price

    • Create Referral (The developer that built the alternative platform) = 28.57% of the Mint Fee

    • Zora split = 71.43% (Zora mint fee + Mint Referral)

Example 5 - Create + Mint Referral

If a creator deploys their post on another platform using Zora contracts, then the mint happens on another platform.

Priced in Sparks/ETH

  1. Creator Rewards = ✧55 Sparks (0.0000555 ETH)

  2. Secondary Market Fee = ✧11 Sparks (0.0000111 ETH)

  3. Zora split = ✧11 Sparks (0.0000111 ETH)

  4. Mint Referral (The developer that built the alternative platform split) =✧11 Sparks (0.0000111 ETH) 

  5. Create Referral (The developer that built the alternative platform split) = ✧11 Sparks (0.0000111 ETH)

Priced in alternative token:

  1. Creator Proceeds = 95% of the mint price

  2. Total Mint Fee = 5% of the mint price

    • Mint Referral (The developer that built the alternative Create platform split) = 28.57% of the Mint Fee

    • Create Referral (The developer that built the alternative Mint platform split) = 28.57% of the Mint Fee

    • Zora split = 42.86% of the Mint Fee (Mint fee)


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