ECONOMY & WORK
MONEY 101
NEWS
PERSONAL FINANCE
NET WORTH
About Us Contact Us Privacy Policy Terms of Use DMCA Opt-out of personalized ads
© Copyright 2023 Market Realist. Market Realist is a registered trademark. All Rights Reserved. People may receive compensation for some links to products and services on this website. Offers may be subject to change without notice.
MARKETREALIST.COM / NEWS

Why TikTok Closed Its $1 Billion Creator Fund and Replaced It With Creativity Program

The platform launched a new program through which influencers can earn 20 times more than the creator fund.
PUBLISHED FEB 20, 2024
Cover Image Source: TikTok terminated the creator's fund to launch a new program (representative image) | Pexels
Cover Image Source: TikTok terminated the creator's fund to launch a new program (representative image) | Pexels

TikTok the widely popular social media platform is used by creators to make short videos and earn millions based on posts and ad posts. Surprisingly, it announced that it is ending its $1 billion Creator Fund and replacing it with The Creativity Program to support and encourage creators, per CNBC. TikTok launched its Creator Fund with $200 million, and in 2020, it accumulated a whopping amount and stopped at $1 billion due to the criticism and extremely low payouts. Keeping in mind the audience as well as the creator's career, the platform launched a new program through which influencers can earn 20 times more than the Creator Fund. Creators in the U.S., UK, Germany, and France are no longer able to access the Creator Fund after December 16, 2023, and they can sign up for the new Creativity Program which is still in the Beta phase.

TikTok ending its creator fund and giving another luring option for creators with its Creativity Program|Pexels
TikTok ending its creator fund and launching its Creativity Program |(representative image) | Pexels

The main reason behind terminating the creator's fund was primarily because of the negative feedback of the creators as they got really low payments despite entertaining the audiences. Many renowned creators shared their followers' reach versus how much they were paid under the Creator Fund and the details were pretty shocking. Let's have a look at some of the cases. 

Listening to the bad experiences and lower payouts from their creators made TikTok stop the fund and release a new program for audience engagement as well as influencer satisfaction.|Pexels
Listening to the bad experiences from their creators made TikTok stop the fund (representative image) | Pexels

Hank Green, a popular TikToker with an enormous following of 8 million and 1.64 million subscribers, made a video on YouTube which was titled "So TickTok sucks" and revealed that for 1,000 views, he just received 2.5 cents which is nothing. This video reached 1 million views and encouraged other creators to reveal and share their earnings, too. Another creator, Mr. Beast with 88.9 million followers revealed he made $14,910 in 10 months whereas SuperSaf with 652.5K followers made an income of $122-$137 in 10 months. The creators were disappointed as they made more money through their YouTube videos. Green explained and revealed that TikTok paid the same amount every time even if the app earned more, but YouTube paid a certain percentage of its ad money income. Mr. Beast said he earned $82 million through his YouTube videos. 

To keep the audience engaged and not let their creators shift to another platform, TikTok launched its Creativity Program for an enriching experience. TikTok's official website reported that the program is still in the beta phase but the creators can sign up based on some eligibility. The basic requirement is that the user must be over 18 years old with a minimum of 10,000 followers and 100,000 video views and these statistics must be at least 30 days old. After launching the program, TikTok revealed that this is a value addition to the platform as it will allow creators to earn 20 times more than they earned with the Creator Fund. Creators with enormous followings can earn money through several approaches including brand partnerships, sponsored posts, and ads, and can also grow by starting podcasts, channels, or different series. 


 
 
 
 
 
View this post on Instagram
 
 
 
 
 
 
 
 
 
 
 

A post shared by TikTok Creators (@tiktokcreators)


 

It has been seen that TikTok has a gigantic user base following and enjoying the content. Users spend 50% of their time on short video content of one minute or more and this allows the creator to create long videos which can increase their following five times. The program works in a way where TikTok creators can earn based on their video views. Creators can sign up for the program if they are eligible by going to the app, and selecting the Creator Tools option, and then selecting Creativity Program Beta.

MORE ON MARKET REALIST
Some users also told her to just sell the car back and take cash for it instead of just paying taxes.
10 hours ago
The man was initially convinced that there was a gold nugget inside the rock but he just couldn't crack it.
11 hours ago
The question may not have been suggestive but fans read between the lines and interpreted it their way.
13 hours ago
Sajak acknowledged that his farewell was robbing the players of time and winning opportunities.
14 hours ago
The user finally decided to spend what he found on a camera and still had $500 left.
16 hours ago
The guest made it clear that he intended to hold on to the precious instrument for life.
1 day ago
The priest could've won the game if he hadn't failed to guess answers based on Bible clues.
2 days ago
The guest's children called it ugly but she held on to it as it made her feel at peace.
3 days ago
The contestant decided to do something different for the third slot and that backfired.
3 days ago
Charli and her sister were called out for being out of touch with the everyday reality of workers.
3 days ago
Former Amazon workers also commented giving further clarity about the meaning of the label.
4 days ago
The cards were placed on a board with notes handwritten by some of the players in them.
4 days ago
The country star also shared advice with the kids about investing the money and saving some of it.
4 days ago
In the years after the rejection of "Shark Tank," the firm grabbed the attention of big players such as Richard Branson.
4 days ago
His uncle had bought it for $10 in London while serving as a soldier in World War II.
5 days ago
The host Jennings and the winner of the game both quickly apologized for the problematic mistake.
5 days ago
Sharks have also endured some of the worst pitches in America while making profits from several investments.
5 days ago
Costco's generous return policy has resulted in numerous bizarre stories shared online.
5 days ago
The boy first thought of it when he was just 8 years old and started working on it with his father.
6 days ago
The TikTok campaign helped the user collect a lot more than he intended to through a fundraiser.
6 days ago