Origin Protocol considers adding OGN pledge rewards after joining NFT royalty competition

On March 21, the NFT platform Origin Protocol recently approved a proposal to reduce the transaction cost of Origin Store in the local trading market to 0% by June 1, 2023 (previously 1.25%), and is voting on the proposal to “increase the pledge reward for OGN pledge”. These two proposals may rebalance their token economics as they attempt to compete in a zero fee royalty war without excluding OGN token pledgers, who rely on the platform’s now drastically reduced fee revenues.

Interpretation of this information:

The NFT platform, Origin Protocol, has recently approved a proposal to decrease the transaction cost of Origin Store in the local trading market to 0% by June 1, 2023 from 1.25%. Additionally, they are currently voting on a proposal to increase the pledge reward for OGN pledge. These proposals are an attempt to balance their token economics as they face increasing competition in a zero fee royalty war without excluding OGN token pledgers, who rely on the revenues from the platform’s now reduced fees.

NFT (Non-fungible tokens) platforms have been experiencing exceptional growth recently, and the competition among these platforms has eased barriers to entry and forced existing players to evolve on token economics to maintain market share. This proposal by Origin Protocol to reduce transaction costs to 0% by 2023 is a significant shift in their token economics but is what the market expects. Zero-fee royalty wars are becoming more commonplace as NFT platforms seek to expand their market reach and appeal to new users who find fees and commissions distracting. Therefore, Origin Protocol is smartly adapting to market trends to increase the platform’s appeal and drive organic growth.

The proposal to “increase the pledge reward for OGN pledge” is also significant as it may help to retain users who have invested in the platform. Pledgers of OGN tokens may worry that the reduced fee rates will affect their earnings on the platform, leading to a decrease in revenue or the value of the token. By offering an increase in pledge rewards, Origin Protocols may be able to retain this population, driving utilization and potential OGN value. Although the pledge incentives will likely come at the expense of OGN token holders, the platform’s long-term success is a win for holders.

In conclusion, Origin Protocols’ proposals reflect a trend in the market, sharpen their competitiveness, and target the user base. Reducing transaction fees to 0% and raising OGN pledge rewards are smart moves in a zero-fee royalty war, where fees are one of the significant hurdles for adoption. Keyword: NFT platform, zero-fee royalty war, OGN pledge.