The Challenge For Content Creators In 2021

The internet is buzzing with new ways to earn, with platforms providing influencers a stage to share their ideas and amplify their influence. Anyone, from a woman with a passion for making ethnic jewelry to a chef with hands-on experience in dishing out delightful cuisine, can become a creator thanks to the democratization of media with the advent of the internet. As long as they engage their audience in innovative ways, anyone can become a creator. While pursuing their passion, creators can also earn revenue, which is one of the biggest appeals of the industry.

Despite numerous obstacles, the creator economy is valued at $13.8 billion in 2021, and this figure will continue to grow over the next few years. YouTube coined the term “creator” in 2011 as a replacement for the buzzword “YouTube Celebrity,” which denoted that only the most famous people could succeed on the platform. As the number of social video and audio platforms have grown in recent years, the term has been resurrected.

Today, millions of users create content on platforms like Twitch, TikTok, Instagram, Clubhouse, and OnlyFans. The majority are casual users, but those that succeed may leverage their brand to attract new audiences using common features such as interacting with them through comments and creating shareable content for their specific niche to enable virality.

Many creators provide all kinds of value to their audiences. Whether it’s pure video entertainment on Twitch, a carpenter showcasing his woodworking process on YouTube, a life-training auditorium at the Clubhouse, or a tutorial on how to fix a roof, there is something for everyone. There are many niches in the creator economy, and as such, there are just as many devoted participants.

On the other hand, the creators serve as a means to an end for the platforms hosting them, in the sense that they are used to segregate and categorise potential viewers for advertisers. This is how monetization works on many platforms today, and is the reason that they continue to expand. Alternatively, direct collaborations between brands and creators may also see them producing content related to their niche and promoting their sponsor’s products and services.

Both businesses and platforms are rushing to enlist influencers to promote their products and earn money. This is a fundamental shift from social media firms imposing conditions to creators’ capacity to profit from their captivated fan following. Social networks pay creators what they owe since they don’t want to lose their top creators to other platforms. Similar to how Facebook started fan registration, Twitter allows its creators to provide subscription based emails and live audio conversations.

Independence for Today’s Content Creators

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According to Pubir, the environment is akin to the current economic structure in which it functions. The real-time economy’s disparities have an impact on the creators’ economy as well. Only the top influencers and creators stand to gain from it, while the great majority of people make close to nothing. Many creators, aside from pure passion, are looking at the prospect of taking a chance at doing something with the hope of breaking through as all it really takes is one viral piece of content (an understatement.)

Despite the fact that more than 60,000 new songs are added to Spotify every day, just 0.2% of musicians make more than $50,000 in annual royalties, and only 3% earn $1,000 or more. According to Yahoo News, creators were paid around $3,000 — $40,000 for one million YouTube views. With 10,000 followers, a creator might persuade just 1% of subscribers to pay less than $10 per month, resulting in gross profits of around $12,000 per year. Only the top ten Substack developers earn more than $7 million per year, while the great majority are still unable to meet the government minimum wage of $7.25 per hour set for 2021 in the United States.

Platforms are proposing drastic cuts to creators’ earnings; Apple, for example, deducts 30% of a creator’s earnings and is considering measures that would prevent authors from tracking their following emails in order to create subscription income.

As per Li Jin’s’s Newsletter, In order to retain their grip on user attention, which is a crucial element for advertising-based business models, social media platforms have switched from promoting creative individuality to commoditizing creators. This dynamic jeopardizes the success and independence of creators, making the creator economy equally as damaging to online workers as the gig economy.

Creator platforms frequently control the interaction between creators and fans, as well as the economic relationship, with remuneration set by the platform. Creators are equal price takers, with platforms setting revenue sharing rates, monetization criteria, creator fund distributions, and other aspects that influence creative income, much as gig workers are unable to negotiate their compensation with platforms. Widespread distrust of creators has evolved from unilateral and sometimes opaque monetization strategies.

While brands and platforms have responded with creative tools to help creators create high-quality content, they should also allow tiny, micro, and nano content creators with small audiences to thrive. To meet the typical ‘American Dream’ of earning a decent life and creating money via entrepreneurial enthusiasm, we would need a middle class to develop a strong and sustained creative economy. By participating in the creator economy, business leaders may make a difference with their strategy.

BitFans — Ushering in the Era of Web 3.0 for Creators

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We can go a long way in empowering creators and users to control their future by allowing the software to be public and manageable. In crypto networks, this may mean distributing tokens with administrative rights, but for Web3 platforms, user identity can mean engaging the public as advisors or have a certain degree of governance in their network.

Involving communities through tokenization can provide a great incentive to contribute to the creators’ growth, provide opportunities to make decisions that help the brand grow, and harmonize incentives to address the needs of the individuals connected in this ecosystem.

If you’re wondering what it means to “participate in a creator’s economy,” you’re not alone, according to Forbes. It doesn’t have to imply buying goods from them, but that may be a part of it. For Example, All $ALLIE coin holders have access to tournaments in games like Hearthstone, thanks to gamer and Twitch streamer Alliestrasza. She’s reported to have produced “millions of dollars in value” with her coin and community, making her one of the most successful coin holders to date.

Essentially, when you launch a community token using BitFans, you will create a way to identify who your most loyal and valuable fans are. Our platform does not impose any creative restrictions, which means that creators do not have to think about the rules and regulations of any platforms that may affect the type of content that they are pushing. Fans will be able to participate by purchasing community tokens and using it to gain exclusive access to various aspects of your engagements with them — such as exclusive content, private channels, and opportunities to partake in exciting initiatives.

Interested in learning more? Head on over to our social media pages: https://linktr.ee/bitfans

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BitFans

BitFans

An evolutionary new platform that allows anyone who has access to a community or audience to tokenize their fan base and in turn create a whole new economy