Understanding Rewards on Zora

Edited

Zora’s mission is to make the internet valuable and free—that’s why we’re building a social network that makes tokenizing and trading posts easy, fun, and rewarding. 

Our Rewards enable creators and developers on Zora to earn from trading activity through two distinct reward systems: Trade Rewards and Market Rewards.


Breakdown of our Rewards

Every Zora trade (each buy and sell) includes fees distributed among creators, collectors, developers, and platforms. These rewards come in two forms:

Trade Rewards (1% fee when trading on Zora)

When trades happen directly on Zora, a 1% fee is distributed as follows:

  • 50% to Creator Rewards (0.5% of trade)

  • 15% to Trade Referral Rewards (0.15% of trade)

  • 15% to Create Referral Rewards (0.15% of trade)

  • 20% to Zora (0.2% of trade)

Market Rewards (1% fee on all trades)

For all trades, whether on Zora or other platforms, a 1% fee is distributed as:

  • 50% to Creator Rewards (0.5% of trade)

  • 25% to Create Referral Rewards (0.25% of trade)

  • 25% to Zora Fees (0.25% of trade)


Understanding Each Reward

Creator Rewards

This is the primary reward earned by the creator of the coin. Whenever someone trades your coin on Zora, you automatically receive this reward.

Who receives it:

  • The original creator who made the coin

  • Earnings are automatic for all trades of their content

Trade Referral Rewards

This rewards users who showcase coins made with Zora's Creator Toolkit, either on Zora or elsewhere. The referrer earns a reward for each trade made through their shared link.

Who receives it:

  • Users who drive trading through their shared personalized links

  • Users who drive trading through their activity (When someone makes a trade after seeing you make one from their feed)

  • Alternative clients that drive trading through their apps

Create Referral Rewards

This reward is earned on each trade of a coin created by a user who signed up to Zora using someone else's personalized invite link OR by platforms/developers that have used the Zora Creator Toolkit.

Who receives it:

  • Users who invite their friends to use Zora

  • Alternative clients that facilitate creation on the Zora Creator Toolkit in their app

Zora Fee

This is Zora's platform fee that helps support the ongoing development and maintenance of the platform.


How Rewards Are Calculated

When you trade on Zora, both the Trade Rewards and Market Rewards are applied to your trade in this sequence:

  1. First, the Trade Rewards (1%) are calculated from your initial trade amount

  2. Then, the Market Rewards (1%) are calculated from the remaining amount

For example, if you're buying with 1 ETH on Zora:

  • Trade Rewards are calculated first (1% of 1 ETH)

  • Market Rewards are then calculated on the remaining 0.99 ETH (1% of 0.99 ETH)

This sequential calculation means the final amount used for the trade will be slightly less than your initial input amount. This ensures a fair and transparent reward distribution to all ecosystem participants.

When you trade outside of Zora, only the Market Rewards are applied to your trade:

  1. Only the Market Rewards (1%) are calculated from your initial trade amount

For example, if you're buying with 1 ETH outside of Zora:

  • Market Rewards are then calculated (1% of 1 ETH)

This means trades outside of Zora will have a slightly higher final amount since only one fee is applied. However, trading directly on Zora supports more ecosystem participants through the additional Trade Rewards, including creators and referrers who help grow the platform.


Need help or have questions?

If you would like more help, don't hesitate to contact our support team via our help centre or tag us on X (formerly Twitter) and Farcaster.

Legal disclaimer: Coins are ERC-20 representations of user-created Zora posts and are for entertainment and social engagement purposes only.