Social media plays a major role in a lot of our lives, it’s where a lot of us receive news, connect with old friends, meet new friends, and much more. These are just a few of the benefits of social media, they are also the aspects of social media networks that a lot of users focus on. However, what is less talked about is how social media companies are taking advantage of their users.
Users are the cash cow
Social media networks like Facebook and Google are free for you to use because you are the product. These platforms take advantage of their users by recording and then selling user data for profit. Yet, only the social media company is making a profit off of your data in that model; not once do they offer you a share of the profit that you are generating for them. To add insult to injury, the way these social media giants give away or use your personal data is typically not secure.
Fortunately, Bitcoin can change the economics of social media networks. A cornerstone of blockchain-based social media models is that the social media user owns, and can, therefore, profit from the information they post on the platform. Several companies are working toward making Bitcoin-based social media networks a reality, such as Memento and Tocial. But one company that has already made this a reality is Twetch.
Twetch leads the way
Twetch is a social media application built entirely on Bitcoin SV, where all activities and interactions that take place on Twetch are carried out directly on the blockchain.
“We had the idea of building an application like Twitter on the blockchain for many years, but there was just no blockchain that was capable of scaling or doing the things that we needed it to do—in particular, micropayments,” said Billy Rose, CMO and co-founder of Twetch.
When it comes to building a social media platform, you need a back-end that can handle high amounts of transaction throughput and can scale. Bitcoin is the only blockchain that can do both of these things, and due to Bitcoin’s economic system, engineers building on Bitcoin have the opportunity to build innovative apps with confidence due to Bitcoin’s extremely low and stable transaction fees.
This allows the Twetch team to have an economic model where users can earn revenue for their interactions on the site thanks to Bitcoin giving them the ability to send and receive micropayments.
“When somebody interacts with the information that you post, you’re earning. Using microtransactions, when you post something, it might cost you a penny or two to make that post. But, if somebody likes your post, or they share it or reply to it, they might pay a penny or two to make that interaction, so you’re earning back the pennies you paid to post that initial information,” said Josh Petty, CEO and co-founder of Twetch. “It’s a really simple information market, and the best way that is understood is through a simple interface – like Twitter or like any other social media platform – but it’s built on Bitcoin.”
The total amount earned by users on Twetch just broke $50,000! 🎉
Try doing that on Twitter. pic.twitter.com/M7eHimqNK8
— Twetch ✪ (@twetchapp) July 1, 2020
Own your data, keep your profits
Bitcoin can change the way social media operates, and through apps like Twetch, we are already seeing that change take place. Social media networks built on Bitcoin empower the user because it allows them to retain ownership of their data, and therefore, profit off of the information that they are posting, liking, and sharing on social media networks. Rather than a social media giant letting an individual use their platform for free and selling their data in the background, Bitcoin gives individuals complete control over their data and privacy.
New to Bitcoin? Check out CoinGeek’s Bitcoin for Beginners section, the ultimate resource guide to learn more about Bitcoin—as originally envisioned by Satoshi Nakamoto—and blockchain.