Art Blocks, a marketplace for computer-generated artworks, is sticking to its guns on issues like creator royalties and resisting the temptation to launch an Art Blocks token, even as sales volumes decrease. The platform, which auctions off generative art in the form of NFT collections created by algorithms, was a darling of the 2021 crypto boom, but recorded just $6.5 million in sales in April, the lowest total since May 2021, with around half the projects listed on the platform today not selling out. Founder and CEO Erick Calderon, who is himself a generative artist, believes that artists create higher quality work and are more engaged with their audiences when royalties are upheld. Art Blocks is in a strong financial position, having raised $6 million in August 2021 and booked at least $58 million in revenue in the same month. The company takes a 10% fee on primary sales and 2.5% of any secondary transactions. Calderon sees a runway of one to two years as "too low" and is hoping to position the platform as an "engine partner" for other industries.

(By Ryan Weeks)