TikTok has made a creator-friendly platform, this new launch is the company’s biggest monetization effort to date.
Despite the threats of the US and India banning the app, TikTok continues to grow in popularity. The platform has become one of the major channels for brands and celebrities. To keep their interest and to encourage others to the platform, the company launce a $200 million creators fund.
In its statement, TikTok said that the fund aims to support creators who are looking for opportunities to earn a living using their innovative content. The fund will be distributed in cash by the end of 2020. Their content is another way for creators and brands to make money in the app. In the past, creators can only earn income and monetize their accounts via live streamings or when they partner with other brands.
Vanessa Pappas, TikTok’s general manager said that the platform wants to pay its creators regularly. The Creator Fund will help creators “realize additional earnings that reflect the tie, care, and dedication they put into creatively connecting with an audience that’s inspired by their ideas.” This new monetization method will help TikTok keep its creators in the platform instead of focusing on other social media platforms where they could monetize their content.
Users who are 18 years old and above can be eligible for the cash fund. It’s also only available for users living in the US and those who post their videos that comply with the company’s guidelines. Creators can start applying for the program beginning next month, however, TikTok has not announced the exact number of creators that can avail the program.
The US government continues to be vocal in its plan of banning the app due to Chinese ownership over security risk claims. Despite that, TikTok is unfazed and recently announced its plans of opening 10,000 jobs over the next three years. The company has also separated itself from China and made its app unavailable for the country. ByteDance also said that it’s planning to make a corporate restructuring and establish its HQ outside China. The Creator Fund is also another strategy for the company to keep its app working in the US soil. As the fund is made available to only US creators, it’s strongly positioning itself as a company that committed to the US.