Why I Like Blockchain: Value To The Content Creators (New Money)

Blockchain has a lot of benefits and different people are here for different reasons. For me the advantage of blockhain (and crypto) has been a new way to distribute wealth, especially to the contest creators. People work hard on the work that they put out there and a lot of it on the internet is given out for free. Then it is copied and reused without the individual who made made the content seeing a penny. Think of all the content that you have given up for free over the years. Maybe it was your words or your photos but I'm sure you have given up content and data that didn't pay out at the end of the day.

But the reality is it was not that easy to just pay people for their work. Sites are very expensive to run and when you are dealing with people's finances things can get tricky. Even sites that do it well like paypal come with things like fees and the need for third party verification. So can you imagine a social media site with billions of users paying users individually. The tech was not there and is still not there outside of the blockchain. But inside the blockchain is another story.

If you have used sites like Leo or Hive for only a short period of time you noticed that your money and the money of all content creators on the site are paid to them consistently everyday. Not only does your content get you rewards but every vote you make can earn you curation rewards. That is a ton of financial transactions that are being performed every minute and they run smoothly. People really do not understand how crazy this is. Try sending money to a friend and see how long it takes. I once had to wait a week for a transfer to go through, but if I click upvote on a post I know in seconds that that transaction goes through. This leads to a system where people can be paid for their content without having to go through all the hopes that financial transactions require on other more traditional sites. Now we can pay every user, regardless of how well they are doing, and people are encouraged to do well as they know they have stake in the game.

This always leads to people being able to have a piece of the company. It is kind of like stock but much more interactive. Instead of being a passive investor that does well if the company stock price goes up (which isn't always a direct connection to how well the company is doing) you can partake in the company and see how your investment is growing directly. On Leo the more leo you have the more you can vote on content and get more leo. But it works for any site. You can make dividends for in-game items that are sold from the store. Or you can earn money for every ad that you watch. No longer are you skipping ads but are actually okay watching them as you get rewarded for them. You are now more than the consumer. You are a part of the community and your contributions are rewarded.

The only problem now is the value is not there yet. It is not the fault of a lot of these crypto start-ups. They are working hard to forge new ground and these are massive leaps that will take time before we can see mainstream dapps take over. And the crypto market is a crazy thing where things go up and down without rhyme or reason sometimes. But regardless, at the end of the day, this model only works when the value is there. You can reward all your users with digital coins and if they are not worth anything then really the tech doesn't matter to a lot of people. Virtual money and cryptocurrency do not have a difference to a lot of users if they cannot be sold for something. However, on the other end of the spectrum, these coins have no cap. This means that a coin, in theory, can be worth enough to give value to millions of users.

Here is an example. Leo right now is worth 5 cents. Let's say you make a post that pays you 10 leo. You now made 50 cents. Woot. Now let's say Leo goes to 5 dollars. That same post is worth 50 dollars. That is pretty good for sharing your work online. But why stop there. Lets say Leo goes mainstream and is now worth $50 US a coin. You are now looking at $500 dollars for that post. Even if you only make one leo you are still making $50 US which is a good part-time job. And thousands and thousands of users can make that. The higher the price the more value that can be delivered to the users and the more users that the site can financially support. And the more users the more the value of the coin will increase. It is a spiral up that has no roof.

This might seem like a fantasy but the groundwork is set for this. Once we get to the tipping point you can see money flowing into this space and content creators can focus on what they love to do instead of having to work countless hours just to make a living. It isn't as far off as you might think and I think it starts to happen this year. Maybe I'm being too optimistic but I see a push in crypto which leads to a lot of value for those making content.

Posted Using LeoFinance