Problems of Traditonial Streaming
Traditional Streaming Services
Today, centralized streaming platforms are the predominant way in which artists and fans connect and stream. These streaming platforms have become the leading intermediaries in streaming content monetization. They do this by using algorithmic recommendations between streamers and fans to insert advertisements into streaming content and keep the majority of the revenue for themselves.
1. Outdated & Limited Earning Models
In order for streamers to earn revenue on traditional streaming platforms, they must meet certain requirements. Streamers must create content that can actually be monetized with advertising. Also, the content must have at least thousands of views / thousands of subscribers or the platform keeps 100% of the ad revenue.
2. Centralized Earning Structure
Traditional streaming platforms have too much financial control. They withhold revenue from streamers until they get their cut, while subjecting them to high take rates ranging from 30% to sometimes 100%.
3. Fans canβt share in revenue
Traditional streaming platforms only offer earning models for streamers. There are currently no monetization options for fans to either earn or share in the revenue generated. We believe this is not a balanced earning model as streamers do not generate revenue without their fans.
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