Yuga Labs Blocks Marketplaces from Trading Sewer Pass NFTs, Sparking $25 Million in Trading and a Heated Royalties Debate

Labs launched the sewer pass nft, blocking certain marketplaces from being able to transact the pass. opensea and x2y2 saw over $19 million in total trading since wednesday, with the passes starting at around $2,400. blur, looksrare, and nftx are all blocked from trading sewer pass nfts.

Launch of the sewer pass nft happened on wednesday, with opensea and x2y2 seeing over $19 million in total trading since then. yuga labs blocked certain marketplaces from being able to transact the pass, including blur, looksrare, and nftx.

Labs has always held a creative-first approach, and has expressed their commitment to protecting creator royalties. opensea rolled out a blocklist tool in november to enforce royalties for new projects and all older projects launched by a certain date. x2y2 also adopted the tool and requires full royalty fees for traders of those projects. the three co-founders of yuga labs wrote a blog post railing against opensea’s potential move and proposed an “allowlist” model that would enable trading only on certain marketplaces that respect royalties, to be governed by a community-led dao. opensea announced that they will still pay out royalties on secondary trades for existing collections. the pressure from yuga labs may have been a factor.


By Evey Lovelace

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