Will podcasting 2.0 be the next use case for the Lightning Network? The statement might induce skepticism, but Kevin Rooke presents a surprisingly good case. Prepare to receive the gas you need to start your own podcast. The technology is just beginning and people are just starting to get used to it. However, the logic behind Rooke’s argument holds.
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It begins with a statement that will surprise no one. “The architecture of the Lightning Network allows creators to win directly from their biggest fans in new ways that aren’t even possible on a fiat payment system.” This we can admit. We know that closed platforms provide convenience and a large audience. However, “Apple takes a 30% fee on in-app payments, YouTube takes a 45% fee on ad revenue, and Facebook keeps all of their ad revenue without paying their creators a dime. “
On the flip side, “emails, websites, podcasts, and Bitcoin are all examples of open platforms.” They don’t offer an already captive audience, but “anyone who connects to fully trained content and user networks with full interoperability between competing products”. It helps a lot. However, creators using these open platforms “still rely on closed monetization platforms like PayPal, Amazon Affiliates, Patreon, or Google Adsense to earn income.”
The Lightning Network Comes To Save The Day
As you already know, the Lightning Network allows almost free micropayments. Anyone can use it, and mass adoption is fast approaching. “Not only can creators now connect to an open monetization platform with hundreds of millions of users, they can even access a New type of monetization that has never been possible before. Those New the types are “real-time payment streaming, microtipping, and other monetization strategies that just aren’t possible on fiat payment rails.”
So far, so good. “Real-time payment streaming” via the Lightning Network is the essence of Podcasting 2.0. However, it’s easy to miss Why it is important. Crucial, even.
“Advertising is directly at odds with other monetization strategies like paid subscriptions. If only a small fraction of your listeners are willing to pay subscriptions for your content, any gain from subscription revenue will cannibalize your ad revenue, as the total number of listeners will drop 95% or more.
This is the problem with Patreon or similar services. You can monetize the support of your biggest fans, sure, but advertisers won’t pay for this small audience. Podcasting 2.0 offers the best of both worlds.
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We are still ahead. The dawn of podcasting 2.0
Let’s check the statistics. It’s always fun.
“There are 4,434,920 RSS podcast feeds on the Internet today, but only 2,947 of them are on Lightning today. In other words, only 0.07% of all podcasts on the internet can earn Lightning Tips right now.
And, of course, only early adopters and residents of El Salvador use The Lightning Network. And among this group, only a few people will tip or pay in real time for the content. However, “there’s no downside to enabling Lightning tips, and the benefit can make a significant contribution to total revenue. It’s only a matter of time before the other 99.93% of podcasters figure it out.
And that’s not all, the Lightning Network enables a type of interaction that was not possible with podcast media. Creators can know exactly when their listeners decided to tip them.
“Podcasting 2.0 apps also allow listeners to send messages and advice to creators while listening to a show, providing direct feedback with timestamps attached to each comment. This innovation represents a shift towards a more social podcasting experience.
And ok, this return was already possible in the YouTube livestreams. However, aside from the blatant censorship, YouTube is a closed platform. The comments stay with them and are not available to people who consume the podcast through other apps. This is not the case with Podcasting 2.0.
“Because RSS and Lightning Network are both open platforms, comments are also interoperable between Podcasting 2.0 applications, so any creator can receive comments from any listener using any application. “
Conclusions on podcasting 2.0
Another benefit that this new standard offers podcasters is that they can truly be platform independent.
“Since RSS and Bitcoin are complementary open standards, podcasters don’t have to risk alienating their existing listeners or worrying about migrating their content to a new platform.
All podcasters have to do is flip the switch, and their Lightning tips and posts will integrate seamlessly with their existing RSS feed.
Kevin Rooke ends his masterclass with this:
“As Podcasting 2.0 apps continue to create simple interfaces for listeners to tip their favorite podcasters, Lightning tips could even become a primary revenue stream, without cannibalizing or interfering with a creator’s existing ad revenue.” . “
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Do you see it now? Or is he exaggerating? Either way, the Lightning Network doesn’t have to provide a “primary revenue stream”. If Podcasting 2.0 provides a secondary that was not possible before, as well as interaction with the audience, that is more than enough.
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