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$6.6B in consumer spend on OnlyFans last year and no serious crypto competitor is WILD

$6.6B in consumer spend on OnlyFans last year and no serious crypto competitor is WILD 

https://x.com/ballmatthew/status/1832064136798408835

weird internet kid. helping Creators with /seemore. yapping on /okbanger. curating in /creators and /cameron. dev + veteran + HBS. 
seemore.tv/cameron 🫡

Thinking about the economics of this

Payment fees are no more than 4%

Crypto is 0% basically, but all the other costs in the business are still there

Crypto doesn’t reduce the cost that much; why would someone compete just to do 4% better?

Be specific.     

leonasskau.co.uk //
Hosting /strategy, /leo, /geopolitics // built Culture3.com // online: leosn.xyz
d33m:mun

Both these points are costs, so if it’s not max 4%, it’s even lower than 4%

I don’t think it’s about the extra profit: it’s about ‘does crypto make this so much better that people move despite the sunk cost’

And 4% cheaper transactions will not do that

What can move the dial is censorship resistance, but legally that is an iffy area.

So it’s not as straightforward as max 4% 

chargebacks (like when a spouse discovers a porn payment and the person goes oh that wasn’t me and reverts the CC payment) still incur fees paid by the creator/site and this happens a lot with porn

plus failed payments occur at a higher rate both on the customer AND processor level (they have automated AML measures that stop suspicious txns but the criteria opaque to end users). It’s so bad typically adult sites will often implement some sort of payment processor waterfall in case they need to try again with a diff method. 

This all drives up the blended cost 

also 4% on OF revenue is an extra 40 mil 🤷‍♂️