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So.... let's say that was even possible, and you did that. You pay: $20,000 in $some_coin (ignoring gas fees for the moment)
1/100 of annual royalties is $1,142, taxable at your marginal rate (say 20%), so $913 free-and-clear. Even without doing discounted cash-flow magic, that gets you to an annual 4.5% annual rate of return. Not great, not terrible. BUT, you're doing this all in NFT-land, which means either you hold it (in a cold wallet, ready to be shown once the next royalty agency asks who owns this stuff), some other entity holds it (and you trust them and pay their fees), and no one has stolen your metaphorical apes over the next 21 years, which is just what it would take to make back the investment. Also, making the double-bank-shot bet that courts will recognize NFTs as proof of ownership, and that the NFT itself does not become taxable property, as a security. Short of some kind of presumably inherent joy in interacting with a smart contract, I'm really not sure what you intend to gain, here. |