Royalties in cryptocurrency refer to payments made to creators or original owners of digital assets each time those assets are sold or transferred. This is a way to ensure that artists, musicians, or developers continue to earn money from their work even after the initial sale.Smart contracts play a key role in this process. When a digital asset is created, such as an artwork or music file, a smart contract can be programmed to include royalty terms. For instance, it might specify that 10% of each subsequent sale goes back to the original creator.This system promotes fair compensation and gives creators a sustainable income stream. It also helps to maintain a connection between the creator and their work, as they continue to benefit from its future value while promoting a more ethical marketplace for digital assets. In essence, royalties help ensure that creators are rewarded for their contributions over time, enhancing the value of their work in the market.