TikTok has plans to reward users in the form of cold hard cash.
After churning out some of the world’s biggest viral stars, TikTok will soon implement incentives to keep creators engaged with the app— a foreseeable concern as top talent, such as the D’Amelio sisters and Addison Rae, have quickly transcended TikTok fame.
Since its inception, TikTok has only allowed creators to monetise their platform via tips in live streams or external brand partnerships. This lack of direct revenue for creators has been under scrutiny for some time, with many opting to join other platforms, such as YouTube, off the back of their TikTok success in order to make a paycheque.
Now, it seems TikTok is looking to rectify this issue in the hopes of keeping users active on the app with a $200 million fund dedicated to paying creators called the TikTok Creator Fund.
In a press announcement Thursday, a rep for TikTok revealed plans for the fund, saying the purpose is “to help support ambitious creators who are seeking opportunities to foster a livelihood through their innovative content.” Despite trialing some monetisation efforts in the past, including Creator Marketplace to connect users with brands and the Creative Learning Fund to support teachers’ content, this new fund will be the most direct way for TikTok to pay creators.
“We’re launching the TikTok Creator Fund to encourage those who dream of using their voices and creativity to spark inspirational careers,” said Vanessa Pappas, General Manager for TikTok U.S. “As our community continues to flourish, we’re committed to fostering even more ways for our creators to earn livelihoods by inspiring joy and creativity.”
Starting at $200 million, TikTok promises the fund will get larger and says recipients will be paid incrementally throughout the year. Similar to YouTube, creators must apply to be considered for monetisation. Applications open in August and users must be at least 18 years old to apply— an interesting decision on TikTok’s part given its popularity amongst young teens.
It is unclear how many applicants TikTok will accept and how payment will be divided.
Here’s hoping TikTok’s not banned before creators can start reaping these benefits.