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TikTok Begins Handing Out $1 Billion Bonuses To Top Creators As Facebook Tries To Lure Stars

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Key Points

  • TikTok announced on Monday the first payouts from its $2 billion Creator Fund to several hand-selected creators, fighting to keep top talent as the threats to the Chinese-owned company drum up pressure from the Trump administration.
  • Facebook and Instagram are currently giving several famous TikTok creators six-figure deals to lure them onto the Reels platform.
  • Among the recipients is famous YouTuber David Dobrik, who has over 20 million TikTok followers and an estimated net worth of $7 million.
  • Visit The Financial Today’s homepage for more stories.

TikTok announced on Monday the first payouts from its $2 billion Creator Fund to several hand-selected creators, fighting to keep top talent as the threats to the Chinese-owned company drum up pressure from the Trump administration.

Several TikTok look-alikes have popped up, including Facebook-created Reels, after Trump signed an executive order requiring TikTok’s sale to a U.S. company within 45 days or risk being banned.

As the future of TikTok looked bleak, Facebook’s competitor soon leaped into the fray, introducing Reels, a related short-form video app powered by Facebook-owned Instagram. Facebook and Instagram are currently giving several famous TikTok creators six-figure deals to lure them onto the Reels platform.

Triller is another TikTok rival who recently filed a complaint against TikTok, claiming infringement of its patent. Microsoft and, as of Sunday, Twitter are among the US companies potentially serving as suitors for TikTok.

Launching a lawsuit against the White House, TikTok appears to intensify its counterattack while fighting to retain relevance at the top of the social media food chain.

On Monday, the app announced it would fork out cash to 19 creators making “engaging and inspiring content” as part of the $2 billion Creator Fund ($1 billion over the next three years specifically for U.S. creators), announced in late July.

Among the recipients is famous YouTuber David Dobrik, who has over 20 million TikTok followers and an estimated net worth of $7 million.

Also receiving TikTok dough are Spencer X, a Manhattan beat-boxer with over 40 million followers, and Michael Le, a dancer with 35 million followers—both boasting earnings of $1.2 million each last year.

Though the fund was marketed for up-and-coming creators, with the requirement that “anyone over 10k followers, with 10k views in the last 30 days,” the average follower count of the winners was 9 million, with the smallest at 27,700. 

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