O-MEE: A New Revenue Model For Digital Marketplaces

How does O-MEE generate revenue?

Beyond focusing on different collection methods and fees, we first thought about the needs of our users: artists, creatives, brands, fans, collectors, etc. — we asked ourselves: what’s the easiest way of creating an inclusive environment?

After exploring different options, we decided to change our business model from a percentage-based fee structure to a fixed fee structure.

Our fixed fee will be equivalent to $3.49.

This will make transactions easier and smoother — because O-MEE platform’s system is not limited to one currency but offers multiple currencies.

We’ll apply a fixed price with a ‘dynamic rate’ to calculate the fee, for each currency. For example:

Based on 4th of October rates = ~$3.49

ETH = 0.0026 ETH fee on ETH transactions

wETH = 0.0026 wETH fee on wETH transactions

USDT = 3.49 USDT fee on USDT transactions

OME = XX OME fee on OME transactions

Based on the X of Month X rates (= ~$3.49)

ETH = 0.0032 ETH fee on ETH transactions

wETH = 0.0032 wETH fee on wETH transactions

USDT = 3.49 USDT fee on USDT transactions

OME = XX OME fee on OME transactions

We want to provide more purchasing power to the community, removing some of the platform’s monopoly on earnings.

What does it mean? Let’s take a look for example OpenSea, which has a 2% fee on transactions, the lowest percentage amongst the main NFT marketplaces (SuperRare, for example, is 3%). If you sell your NFT for $1000, OpenSea’s cut will be $20. And the more you sell for, the higher the cut.

With O-MEE, on the other hand, the fee of the same $1000 would be the fixed $3.49– a difference of $16.51, that remains in your pocket.

And for lower priced items (under $3.49), we’re working to provide more favourable commission rate structures. This is so we can add value to the whole of the creative community, with artworks at any price point.

Other paths we explored

Mono-currency platform (USDT)

With a single currency (stablecoin — USDT) platform, we could have simplified the system to avoid having multiple pricing fee setups for each currency. This method, however, would have limited the accessibility and interoperability of O-MEE, which are our top priorities.

New Protocol Implementation

We explored other protocols on the market (eg: Seaport, etc.) that could offer more flexibility regarding the fee structure implementation. Even if these methods would allow the fixed fee structure, they have more limitations, whilst not fixing any of the limitations of the system we chose.

This fixed fee with a dynamic rate structure allows the fee to be paid in the same currency as the order.

Although we can’t promise an exact $3.49 fee on every transaction (because of currency fluctuations, when purchasing an asset, the fee amount is based on the currency rate when the offer is created), this system will make transactions a lot easier and smoother.

Paying a fee in different currencies (for example, if the order is in ETH and the platform fee is in USDT) is a massive UX issue for users. Also, this would need complex technical implementations.

And that’s why, overall, a fixed fee with a dynamic rate structure works best for our project:

We aim to be competitive in this market and by offering such attractive rates coupled with the many features of our platform, we believe a high volume of users will be attracted to our product Jared Walker, O-MEE CEO

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