EIP-2981: The NFT Royalty Standard Explained

When working with EIP‑2981, the Ethereum Improvement Proposal that creates a universal royalty payment method for non‑fungible tokens. Also known as ERC‑2981, it embeds royalty details in a token’s smart contract so creators get paid every time the NFT is sold.

The core idea is simple: EIP‑2981 defines a royaltyInfo function that returns the recipient address and percentage for any token ID. This means marketplaces can read the data automatically and route a slice of the sale price to the artist. In practice, the standard reduces the need for off‑chain agreements, cuts disputes, and makes royalty enforcement a built‑in feature of the blockchain.

Why the royalty standard matters for NFTs, creators and marketplaces

When you couple non‑fungible tokens, unique digital assets stored on a blockchain with royalty mechanisms, automatic payment rules baked into smart contracts, you get a sustainable revenue stream for artists. This relationship is a classic subject‑predicate‑object triple: "NFTs enable royalty mechanisms." The standard also interacts with ERC‑721, the original NFT contract type on Ethereum because most implementations add the royaltyInfo function to existing ERC‑721 code. As a result, creators can launch a token, marketplaces can comply without extra APIs, and collectors enjoy transparent fee structures.

Another important connection is between the royalty standard and blockchain marketplaces, platforms that list, sell, and swap NFTs. These platforms read the royaltyInfo function during a trade, calculate the royalty amount, and send it to the designated address before completing the transaction. This creates a loop: "Marketplace enforces royalty standard, which rewards creators, which encourages more NFTs." The loop boosts ecosystem health and aligns incentives across participants.

Developers also benefit because the standard is contract‑agnostic. Whether you’re building on Ethereum, Polygon, or Binance Smart Chain, you can adopt the same interface, making cross‑chain royalty support easier. That’s why many new projects reference the triple "EIP‑2981 requires smart‑contract compliance, enabling cross‑chain royalty enforcement." The result is a more unified NFT landscape where royalty expectations are clear, and legal risk is lower.

Below you’ll find a curated list of articles that dive deeper into each piece of this puzzle—security token offerings, exchange reviews, airdrop guides, and more—all tagged with EIP‑2981 because they touch on royalty concepts, NFT standards, or marketplace mechanics. Explore the range, pick the guides that match your skill level, and start building or buying NFTs with confidence.