🔎 How Crypto is Changing Social Media

🔎 How Crypto is Changing Social Media

Consider your favourite public figure. It could be Elon Musk, Oprah Winfrey, the Beebs. Picture them before they got famous.

You’re one of their original die-hard fans. You bring their name into every conversation. You re-share each post on social media.📱

Then they start to grow big, and one day you wake up to find them trending online. They become a millionaire, and you’re overshadowed by thousands of fans.

Now picture the same scenario, but add BitClout.

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What in the World is BitClout?

You still tell everyone about them, but you do one more thing: you invest in them by buying “stock” in them through their creator coin on BitClout. 📈

As they get more famous, their coin value increases, and you profit off their success. You are rewarded for being a fan and an early adopter.

They, the Influencers and celebrities, are incentivized to bring their audiences there because they can claim their coin and benefit from their appreciation. Current market cap for Elon Musk? $34m. A pretty nice payday for claiming his account. 💰

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It’s rumoured to be completely open-sourced. The creators are still widely unknown. You can put money in, but you can’t take it out. Yet.

And up until this week, it was invite only. ✉️

Sounds crazy, right? Keep reading, It gets better.

How it Could Revolutionize Social Networks:

Like Bitcoin, BitClout is a custom blockchain.

The difference between the two, according to BitClout, is that Bitcoin is decentralizing money, and BitClout is decentralizing social.

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The purpose is to let users control the platform. 🕹

How Does BitClout Work?

Each person has their own coin. A “creator coin.” The coin is set at a value determined by the market. The “market” is the public’s perception of that creator. 🏦

To get momentum, BitClout pre-made accounts (pre-made creator coins) for the top 15,000 Twitter accounts.

Now someone could buy a coin (or a portion of a coin) belonging to one of these Twitter stars. To buy a coin, you need to use Bitcoin to buy the cryptocurrency BitClout, and then you can buy into someone’s limited coin. 💸

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When you buy someone’s coin, the default setting is that the creator keeps 10%. If someone were to buy 20 coins of mine, I would get two of those coins, and my BitClout market cap will grow. 📊

This amount is adjustable, and some people set it on zero to gain traction. But whatever the percentage is, the “brokerage fee” goes straight to the creator.

In the words of Shaan Puri:

“It's like the stock market, for people.”

In fact, the home page of BitClout Pulse -- which is described as the Bloomberg for BitClout -- is structured similarly, showing the +/- change of a creator coin over a 24 hour period.

BitClout itself is limited, as the price doubles for every million BitClout sold (so it’s actually more scarce than Bitcoin).

BitClout is Transforming Social Media Equity Entirely

It’s about speculating on a person’s future behaviour and potential.

When someone does something societally right, the value of their coin should increase. If they do something we view as wrong, the value of their coin should plummet. People are rewarded for producing good content or doing good works.👏

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As BitClout says, “[creator coins] are truly the first tool we have as a society to trade ‘social clout’ as an asset.”

Bitclout = Bitcoin + twitter + social clout

If you get more popular, your coin becomes more popular. Which means it’s more expensive.

So in essence, you’re rewarded for your social network equity.

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What Are Your Thoughts?

What do you think of BitClout? How do you see it evolving?

If you’re testing it out, feel free to say hi to me on BitClout 👋🏼

My user name is: https://bitclout.com/u/Invoker.

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As always, please reach out with any comments, suggestions or feedback!

If there are topics you’d like to see covered in future, or if you’ve got more good news stories from 2020, please let me know below or join the conversation here. And please tell your colleagues to subscribe here. Until next time!

*Disclaimer: please do not interpret this article as financial advice. In the future, I may or may not benefit from people buying my coin. The purpose of the article is to educate people on the new trends emerging in tech.