Automated Royalty Distribution
Understanding the 16/84 split and how royalties are distributed
The 16/84 Royalty Split
CopyrightChains enforces an automated royalty split that fairly compensates both musical work creators (composers/lyricists) and recording creators (performers/producers).
16% to Musical Work
Composers and lyricists share 16% of all royalties equally
84% to Recording
Performers and producers share 84% based on custom percentages
This Split Cannot Be Changed
The 16/84 split is hardcoded in the RoyaltyDistributorV9 smart contract. This ensures fairness and consistency across all copyrights on the platform.
How Automatic Distribution Works
Step 1: Royalty Payment Received
When a copyright earns royalties (streaming, licensing, etc.), the payment is sent to the RoyaltyDistributorV9 smart contract.
Step 2: Automatic Split
The smart contract automatically splits the payment:
• 16% to musical work creators
• 84% to recording creators
Step 3: Instant Transfer
Funds are transferred instantly to all registered wallet addresses. No manual intervention needed.
Step 4: Zero Fees
All transfers complete with zero fees. Only symbolic gas costs (paid by admin wallet).
Royalty Distribution Examples
Example 1: Simple Work (2 Creators)
Musical Work: 1 Composer, 1 Lyricist
Recording: 1 Performer, 1 Producer
Total Royalty: 100 NUT
Distribution:
- Composer: 8 NUT (16% ÷ 2)
- Lyricist: 8 NUT (16% ÷ 2)
- Performer: 42 NUT (84% ÷ 2)
- Producer: 42 NUT (84% ÷ 2)
Example 2: Complex Work (Multiple Creators)
Musical Work: 2 Composers, 1 Lyricist
Recording: 3 Performers (40%, 30%, 30%), 2 Producers (50%, 50%)
Total Royalty: 1000 NUT
Distribution:
Musical Work (16% = 160 NUT):
- Composer 1: 53.33 NUT (160 ÷ 3)
- Composer 2: 53.33 NUT (160 ÷ 3)
- Lyricist: 53.33 NUT (160 ÷ 3)
Recording (84% = 840 NUT):
- Performer 1: 336 NUT (840 × 40%)
- Performer 2: 252 NUT (840 × 30%)
- Performer 3: 252 NUT (840 × 30%)
- Producer 1: 0 NUT (performers got 100%)
- Producer 2: 0 NUT (performers got 100%)
RoyaltyDistributorV9 Smart Contract
The RoyaltyDistributorV9 contract handles all royalty distributions automatically and transparently.
Instant Settlement
Royalties distributed in the same transaction as payment received
Zero Fees
No platform fees, no transaction fees for recipients
Transparent
All distributions visible on blockchain explorer
Immutable
Cannot be manipulated or changed after registration
Contract Address:
0x3457C75E89309C04ddEc254d9d3CA3C6040C8029
How to Receive Royalties
1. Ensure Correct Wallet Address
Your wallet address must be correctly registered in the musical work or recording. This cannot be changed after registration.
2. Keep Wallet Accessible
Maintain access to your wallet. Royalties are sent automatically - you don't need to claim them.
3. View in Dashboard
Check your royalty history in the CopyrightChains Dashboard. All distributions are recorded.
4. Withdraw to Bank (Optional)
Use the OTC platform to convert NUT tokens to fiat currency if needed.
Visit OTC PlatformRoyalties Follow Token Ownership
Copyright tokens (ERC-20) represent fractional ownership. If you sell or transfer tokens, royalty rights transfer with them.
Important: Token Sales Affect Royalties
- Selling copyright tokens = selling royalty rights
- Royalties go to current token holders
- Automatic distribution continues to new owners
Common Questions
Can I change the 16/84 split?
No, the 16/84 split is hardcoded and cannot be changed. This ensures fairness across all copyrights.
When do I receive royalties?
Instantly when a payment is made to the copyright. The smart contract distributes automatically.
Are there any fees?
No platform fees, no transaction fees. Only symbolic gas costs paid by the admin wallet.
What if my wallet address is wrong?
Wallet addresses cannot be changed after registration. Always verify addresses carefully before submitting.