How Managements Fees works?

The goal of this document is to explain how management fees are currently configured and taken on Eniblock NFTs solution.

Introduction

Management Fees comprise two different fees:

Eniblock fees
Customer or Marketplace Onwer fees

Those fees are taken:

On primary market :
- When the listing is paid in XTZ, management fees are taken onchain thanks to the Primary Market Payment contract.
- When the listing is paid in fiat management fees are taken offchain thanks to the integration of Stripe.
On secondary market sales , management fees are taken onchain thanks to the Auction or Fixed price sale contract and NFT Secondary Market Fixed price contract.

Configuration

Those fees are configured during the setup of the platform and will finished in :

Stripe Connected account configuration for Primary Market Fiat sales.
Smart contracts itself for XTZ primary and secondary market sales.

Once the platform is LIVE, Management fees a CANNOT be updated.

For smart contract security design choice, no endpoint configured so to update the fees, a new smart contract needs to be deployed.

Technical workflow

Primary Market Sales

Fiat sales

FIXME add a nice schema here

XTZ sales

FIXME add a nice schema here

Secondary Market Sales

Secondary market sales are in XTZ only.

A percentage of the sale will automatically go towards the address configured by Eniblock and by the organisation upon selling the NFT (based on the configuration in the smart contract).

The payment of the fees happen in the same transaction as the transfer of the NFT, the payment of the sale to the buyer and payment of royalties. This enforce the payment of fees whenever an NFT is sold on the secondary market.