Garrett
@garrett
So I dig some digging and here's some key takeaways from how Zora's creator earnings work: - All stakeholders receive rewards in ZORA, regardless of which coin type generated the fees - Zora liquidity pools are on Univ4 with a 3% fee - Creators get 1/3 of the LP fee so 1% - Content Coins are paired with Creator Coins - Creator Coins are paired with ZORA - The reasons these pairings are important is because it creates a flywheel that drives demand into $ZORA and creates a loop where $ZORA's market cap raises the market caps of creator coins since they're paired with Zora - Zora works slightly differently on TBA where Coinbase takes a trading fee on top
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Garrett
@garrett
If you're curious to go deeper, check out this doc below. I still think @zora needs to do a much better job explaining this and helping creators understand how some of this works, especially earnings https://docs.zora.co/coins/contracts/rewards
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BrixBountyFarm 🎩
@brixbounty
Think they could lean into highlighting this which makes the 3 percent fee seem much less extractive imo
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Garrett
@garrett
Yeah I agree but this isn't as big of an issue as the overall complexity of this without any real effort to make it clearer to users or creators The overall design is pretty smart and I think this 1% going to liquidity provisioning makes a lot of sense bc all of these coins would basically be completely illiquid without something like this in place
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