What Will Twitter’s “Subscription Service” Mean For Cryptosphere?
Classic finance can rely on mainstream media to shout its message from the rooftops (see GameStop versus Wall Street and CNBC’s relationship with the latter as example) while crypto counts on social media to get its message across.
This is mostly due to a difference in generational supporters.
Crypto is mainly supported by millennials, Gen-Z and the iGen, while boomers and the X-Gen invest in Wall Street still. Mainstream media is run by older generations, social media by younger ones.
As US Treasury secretary Janet Yellen informed G20 finance ministers last week that the current White House administration would agree to global digital taxation rules, Silicon Valley was bound to react. First out of the stumbling blocks and one of the best known members of the Silicon Six is Jack Dorsey.
Ever since losing Donald Trump and his 88 million followers, there were fears that Twitter would be unable to attract a similar crowd on both sides of the political aisle.
For those of you that don’t know, the Silicon Six is a political term in the US invented by Sacha Baron Cohen which refers to Mark Zuckerberg at Facebook; Sundar Pichai at Google; Larry Page and Sergey Brin at Google’s parent company, Alphabet; Brin’s ex-sister-in-law, Susan Wojcicki, at YouTube; and Jack Dorsey at Twitter.
Cohen fears that these people have too much power and should pay more taxes or be held accountable. Looks like he’s getting his wish.
Subscription service twitter
Dorsey, fearing a drop in ad revenues because of Trump’s departure and a larger tax bill because of a pending digital tax bill which is now discussed at the G20, has therefore come up with a novel idea and plans to introduce a subscription service for content creators on his platform.
The social-media company declared earlier this week that the new subscription initiative, called Super Follows, will result in giving content creators with large followings an opportunity to to receive payments for their content. Twitter plans to launch it later this year.
Twitter is set to launch a new paid subscription feature on the app. https://t.co/nFoMAzWJXW— Complex (@Complex) February 25, 2021
Given that the cryptosphere is so dependent on social media chatter for any news or updates on the smaller coins (think VeChain for example), which lack regular reporting, this could have a serious impact.
The fact that Wolf of All Streets technical analyst Scott Melker last year admitted to have been approached to write negatively about Chainlink in exchange for payment, is a stark reminder that a Twitter subscription for content creators will probably entail pump and dump schemes in smaller coins.
I urge the cryptosphere to tread carefully.
tashatuvango / Depositphotos.com