- The creator economy is becoming a major industry.
- Creators face high fees from platforms.
- DRiP secures $8M to expand the decentralized creator platform.
The creator economy, valued at $156.37 billion in 2024, is quickly becoming one of the largest industries in the world. Independent creators are increasingly using big tech platforms to earn a living. However, they soon encounter issues, including unfair revenue splits.
This is something that a Solana-based DRiP project wants to fix. Recently, DRiP secured $8 million in seed funding to enable creators to work with their fans directly.
DRiP Secures $8 Million Seed to Revamp Creator Economy
Online creators are a growing industry but still rely on big tech platforms to interact with fans. However, this could soon change. On Monday, September 9, DRiP , a decentralized creator platform built on the Solana blockchain, announced it had raised $8 million in seed funding to empower creators.
Sponsored
DRiP’s platform allows creators to broadcast digital content, such as images, music, and video, directly to their subscribers weekly. In return, fans can show their appreciation through micropayments, which can be as small as one-tenth of a cent. Solana’s low transaction fees enable this. Fans can also bid in flash auctions for more exclusive or rare content.
Co-founder Vibhu Norby emphasized DRiP’s goal of making the creator economy fairer. Creators “ keep the majority of the money they earn,” while users get “owned premium content for fans that can never be censored or taken away.”
NFX and Progression, founded by former TikTok executives, led the round. Coinbase Ventures and several angel investors contributed additional funds.
Creator Economy Growing, But Faces Issues
The creator economy is growing rapidly. According to a report by Coherent Market Insights, the industry is currently worth $156.37 billion . By 2030, according to current projections, this figure will reach $525 billion.
Despite the significant growth potential, the industry has its challenges. In the current model, creators rely on big tech platforms to reach their audiences. These platforms charge high fees, up to 50%, like in the case of Twitch.
Blockchain-based companies like DRiP are trying to solve this. Creating a decentralized platform allows creators to interact with their audience without intermediaries.
On the Flipside
- Several crypto projects focus on the creator economy, including Justin Sun’s TRON and Sandbox .
- Despite the potential benefits, Web3 companies so far have struggled to gain traction among users.
Why This Matters
Decentralized platforms can create a fairer digital space that favors users and creators instead of big tech companies. This is a growing concern for the rapidly expanding creator economy.
Read more about Meta’s expansion into the creator economy:
Meta Will Integrate NFTs to Boost the Creator Economy on Social Media
Read more about issues with Solana’s validators:
Solana’s Falling Revenues Risk Worsening Its Centralization Problem
