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> 2. The stated goal of ChangeTip, as seen in their videos and materials, is to replace advertising and other indirect ways of monetizing content with a way to
by exelius 12y ago
> 2. The stated goal of ChangeTip, as seen in their videos and materials, is to replace advertising and other indirect ways of monetizing content with a way to directly express support for creators.
Then they will run into the same fundamental problem everyone else who has tried this did: the current Bitcoin implementation cannot handle the transaction volumes required to make this viable. This is the elephant in the room with decentralized currencies, and nobody's come up with a good solution yet.
Advertising rates for content will eventually stabilize. If the ad rates for content don't make it worth producing, people would stop producing it. Consumer content microtransactions simply aren't going to happen at any scale: it doesn't matter how low the cost is, any time you attach a marginal cost to an activity, you make them aware of the value proposition and the fact that there's a transaction happening. Mere awareness of a transaction is too much friction when you're talking about fractions of a cent. Counting half-pennies is just not worth my time (ironically, half a penny is in the same ballpark of current advertising rates).
- natrius 12y agoChangeTip is a solution to the transaction volume problem. Tips happen off of the blockchain.
- exelius 12y agoIt can't simultaneously be the solution to the transaction cost problem AND have transactions happen off of the blockchain. To legally operate at any sort of scale, they would have to implement financial and banking controls that would likely drive the transaction cost to traditional banking levels. In order to solve the transaction cost problem, transactions MUST happen on the blockchain. Otherwise you just reintroduce the costs elsewhere.
- triplenineteen 12y ago> Mere awareness of a transaction is too much friction when you're talking about fractions of a cent. Counting half-pennies is just not worth my time (ironically, half a penny is in the same ballpark of current advertising rates). Couldn't this be solved with some kind of automation? It would take some standardization but what if clicking the ubiquitous "like" button on a piece of content sent a configurable amount of btc to the content creator?
- icebraining 12y agoIt's what Flattr does - they've been around for much longer, and they have an embeddable button that you can use to tip pages.
- exelius 12y agoThat's still more effort than I'm willing to do for what is effectively no money.