What is BitClout?
By: Alex Onaindia
Have you heard of BitClout yet? If you haven’t, you likely will soon.
BitClout is a new blockchain-based social media network with an in-feed experience that resembles Twitter. Every content creator on the platform can post content in 280 characters and follow, comment and like other creators' content. Sounds straightforward, right?
Here’s where it gets controversial. Users can buy BitClout with Bitcoin and then use it to buy creator coins for any content creator on the platform. You can invest in your friends, family, strangers or even your favorite celebrity, entrepreneur or influencer. The more coins that are sold for a specific person, the higher the price goes. Each profile has a market cap.
BitClout currently verifies users based on their other social media accounts. If you are verified on a platform like Twitter, you will be verified on BitClout. This verification typically leads to higher prices for verified individuals. Examples of verified users thus far include Chamath Palihapitiya, Jake Paul, Ashton Kutcher, Steve Aoki and Cameron and Tyler Winklevoss.
The platform is gaining steam with over 100,000 users in several weeks and over 1,000 verified accounts. According to TechCrunch, prominent investors include Sequoia Capital, Andreessen Horowitz, Social Capital, Coinbase Ventures, Winklevoss Capital and Reddit co-founder, Alexis Ohanian.
Not sure this platform is for you? I wasn’t either. I’ve spent nearly two weeks on it now and the momentum is undeniable. As David Bullock posted on BitClout, the platform combines the addictive nature of social media with investing in cryptocurrency.
BitClout’s next hurdle to overcome is getting listed on an exchange. Currently, you can own thousands of dollars of BitClout but have no way to sell it back for Bitcoin. When it is able to be exchanged back for Bitcoin, the platform will gain more legitimacy in many people’s eyes.
Is BitClout the future or the next big scam? Only time will tell. Investing in content creators is something brands have been doing for years and this feels like the next evolution.