With blockchain technology, sports stars, celebrities and creators have found unprecedented, more powerful ways to monetize their work, create stronger bonds with the communities that admire them and become completely autonomous.
However, in New Money With Spencer and Solo, Spencer Dinwiddie and I quickly learned that existing Web 2 structures no longer easily support creators in their career goals. Our guests described feeling a significant imbalance in the amount of content they created and its respective value, versus the amount they were earning. They spent significant time and money delivering material that satisfies both audiences and algorithms.
Solo Ceesay, COO and Co-Founder at Calaxy
As the fickle features of Web 2 algorithms have not been publicly accessible, creators have had to gamble for a prominent spot at the top of social feeds. Understanding how to maximize monetary value from content creation has therefore been impossible, meaning creators’ revenue streams have been unreliable. How does someone run a successful business under these conditions?
For all its good, Web 2 has empowered the small groups that create social media algorithms and advertising functionality to monopolize these protocols and determine which creators make money, by what means, and how much.
In turn, how these brands interact with a platform magnifies this tyrannical power dynamic. Social media companies rely on brands for advertising revenue. Meanwhile, brands rely on social platforms for exposure, capitalizing on the following of social influencers. Digital creators become pawns that social platforms and brands exchange. It’s a win-win situation for the major corporations involved, but the value received by creators falls short.