BitClout Releases the First Social Media Stock Market

BitClout Releases the First Social Media Stock Market

BitClout, the self-proclaimed open-source blockchain, came into existence in March 2021, but recently made headlines. The venture recently released a social media stock market where users can speculate on renowned individuals’ social clout. Be it Elon Musk, Rihanna, Ariana Grande, or Kim Kardashian; one can commodify their social status.

Meaning, you can bet on these personalities’ social status where a positive action will lead to an improvement and vice-versa. BitClout also released a whitepaper regarding the same where it is mentioned that no company is behind the action, stating – it’s just coins and codes.

Users intending to buy a creator coin need to purchase a Bitcoin and then exchange it. It is also specified that BitClout’s value will double per million sales, creating a natural scarcity even bigger than Bitcoin’s.

Who is Backing the Platform?

Popular names, including Silicon Valley and capitalists like Sequoia Capital, Social Capital, and Andreessen Horowitz, are reported to invest around 100M dollars. A document attested on the BitClout website states that the platform is the pioneer in the tools that facilitate social clout trade as assets.

What Can You Buy on BitClout?

You can buy $BitClout (the OG crypto) or creator coins for every creator. The value of the latter will fluctuate as per the creator’s actions in the real world.

Do the Personalities Receive Any Benefits?

You must note that the “personalities” commodified under the model aren’t affiliated with the platform and get no direct incentive from the coin’s value. But, the individuals can claim the coins and link them to their official social media channels. It must be noted that the process does not render any type of financial remuneration. The features appear to be similar to the Patreon model, except that BitClout won’t be delivering any content for the audience.

What Benefits Does the Platform Propose?

While BitClout is surrounded with skepticism, it’s reported that it has processed around 225 million US dollars. But the users don’t possess the freedom to extract their investment’s value. A question coming into everyone’s mind is what benefits will BitClout offer? Here are some that BitClout promises to integrate:

  • Routine stakeholder meetings with asset individuals interacting with the investors.
  • Premium access as per the amount invested.
  • Exclusive content for the investors.

While the approach and properties offered by BitClout are unique, it’s evident that it is full of uncertainties. But as time passes, who knows, maybe the platform will emerge as the upcoming phenomenon as it claims to be.

Trevor Holman: Trevor Holman follows crypto industry since 2011. He joined CryptoNewsZ as a news writer and he provides technical analysis pieces and current market data. He is also an avid trader. In his free time, he loves to explore unexplored places.