Cryptocurrency is starting to make inroads into daily internet usage and as content creators are producing media for the rest of the internet to the consumer, these cryptocurrencies have become a part of the reward system and ecosystem. In the past, bloggers and YouTubers or social media personalities would need to create content with the sole purpose of generating views, views mean more ads can be served and that means more revenue.
The problem, as we’ve seen with YouTube apocalypse and other ad platforms like GDN its all about contextual ad-friendly content which drives subtle self-censorship and bias to create content that sees you generate the most profit. While some creators have bowed to the trend others have taken the financial hit to stay true to their audience and its why platforms like Patreon have sprung up to allow for subscription services and donations for content.
We ‘re even seeing mainstream sites YouTube allow for tipping during streams and Reddit starting to allow ERC-20 tokens to be shared on Sub Reddits. The digital tipping economy is only in its formative stages and with the springboard that is “cryptocurrency”, I can only see it grow over time.
Cryptotippings informal start
Cryptotipping has always been part of the community, Bitcoiners, Litcoiners, Dogecoiners have been renowned for their generosity and many who are in the space are open shilling their public keys across blogs and social media looking for tips. Dogecoin has so far taken the lead as the most popular tipping coin while Reddcoin would be another alternative.
The market for tipping has so far been the user taking the initiative to find a wallet address and create a transaction which is why tipping has not completely taken off, but there are a few solutions in the works.
Applications like coin tippers and projects such as like coin have started to surface but they’re still a bit clunky and not very intuitive.
Tipping getting traction
As I mentioned before tipping is starting to gain traction and we’re seeing it play out with platforms like Brave Browser which allow you to tip websites, twitter accounts, Twitch accounts and more using their web browsers built-in tipping function. We’re seeing other altcoins like
- Aeternity launching a browser extension for tipping
- Nano has released a tipping bot on Telegram
- Zilliqa has released a tipping bot on Telegram
and a whole lot more on discord, the list is endless but they’re not well promoted and isolated in certain communities.
Why start tipping?
I see tipping like my Netflix subscription, instead of paying my 10 bucks a month, I can upload a wallet with crypto and when I find videos of articles I enjoy I get to tip that user directly. I have more control over what I enjoy and rewarding users for their contributions.
The problem I have with many of these coin tipping solutions is that they’re forcing you into their ecosystem, using their altcoin which in some cases doesn’t have much liquidity and if you want to reward creators I think sticking to the more popular coins is a better option.
Tipping in BTC, LTC and Doge are great options and still super affordable with on-chain fee for LTC and Doge but BTC is starting to get a little pricy and while you can use the lightning network, it’s not every BTC user that knows or uses a Lightning network-enabled wallet.
During my experience tipping users online, I’ve found a site called peakd.com which by far provides the best native tipping experience as it stands.
Tipping in BTC, LTC and Doge off-chain
I’ve been using peakd.com for the last month and I’m able to tip creators on the platform simply by clicking the tip button on any one of their posts of videos. They’ve combined their service with a smart contract platform called HIVE-Engine that hosts representative currency.
Once you have a HIVE account you’ll be able to send BTC, LTC or Doge to your HIVE account and get a representative smart contract version of the currency which you can use to tip users online.
Once your wallet has been topped up you can enjoy using the platform and feel free to tip users whose content you find enjoyable.
Once you click tip you’ll be taken to a window to select the currency you want to tip in and the amount
Then all you need to do is state how much you want to tip, for example in BTC you’ll need to state how many Satsohis you'd want to tip but don’t worry the platform will calculate the dollar value for each tip so you know exactly how much you’re sending in fiat terms.
The tipping service does take a 1% fee on each tip to support the development of the service but I think its worth it and still the easiest way to send a tip. The tips are instant and handled on the HIVE chain so you don’t need to worry about off-chain block confirmations, it will be in the creator's wallet instantly which you can, of course, check to see that all is in order by checking the creator's wallet on the site.
Your wallet will build up the tips over time and since the HIVE blockchain doesn’t take a transfer cost you’ll be able to collect tips in different currencies and then change it in Hive-Engine for the currency you would like before cashing out. Let's say you got a few LTC tips, you could convert them to BTC and then extract it to your BTC wallet.
About the Author
Che Kohler is the co-founder of nichemarket, a South African Business Directory and digital marketing agency. He is an avid blogger who specialises in writing about marketing tech and cryptocurrency.