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I don't work at Patreon and I don't be intimate knowledge of their problems. But I can say for sure, they have an awfully difficult problem on their hands. The
by bastawhiz 8y ago
I don't work at Patreon and I don't be intimate knowledge of their problems. But I can say for sure, they have an awfully difficult problem on their hands.
The first is content. If they want to do business in Germany, they need to make sure there's no Nazi content coming from Germans. They need to make sure there's no child porn. They need to respond to DMCA notices and other types of disputes. They need to keep an eye open to ensure they're not hosting content that violates SESTA/FOSTA.
They need to be sure that creators aren't saying they're providing therapeutic ASMR audio but actually selling synthetic marijuana behind the scenes. They need to handle folks doing obviously risky (or regulated) things, like recommending pharmaceuticals or helping addicts doctor shop.
They need to comply with regional KYC/CDD requirements and verify the identities of the folks on their service. They need to do this in many languages and with local identity documents from around the world.
All of these things cost money to do, even if it's outsourced. And in many cases, the cost grows faster than user acquisition. Patreon could be criticized for censoring content, but they still need to avoid being dragged into court or even shut down. And it seems that they're learning quickly that being compliant and managing risk is not an inexpensive thing to do at scale.
- criddell 8y ago> If they want to do business in Germany [...] Does Visa have that same problem? If I understand Patreon, they aren't producing or distributing content. They are just acting as a middleman between fans and producers.
- bastawhiz 8y agoI'm no expert on German law, but Patreon is providing the marketplace. The user is selling access behind an identity on Patreon's site.
- CydeWeys 8y agoPatreon hosts content. Visa does not. Every single thing on https://visa.com https://visa.com is Visa's content only. Whereas every single creator's page on https://www.patreon.com/ https://www.patreon.com/ is created by the creator. This imposes a large moderation/liability burden that Visa doesn't have.