[HN Gopher] Twitter enables tipping with Bitcoin, plans to let u...
       ___________________________________________________________________
        
       Twitter enables tipping with Bitcoin, plans to let users
       authenticate NFTs
        
       Author : jbegley
       Score  : 138 points
       Date   : 2021-09-23 17:33 UTC (5 hours ago)
        
 (HTM) web link (www.theverge.com)
 (TXT) w3m dump (www.theverge.com)
        
       | chippy wrote:
       | Anyone else not really suprised. It's like they were actively in
       | search of sharks to jump over for years. The question we should
       | be asking is, what's next or why? I think this is for Only Fans
       | uber-for-porn competition.
       | 
       | If only a massive corporation could think beyond their wallet
       | which may people put next to their second favourite organs!
        
         | pcbro141 wrote:
         | Plenty of people tip creators on YouTube (SuperChats) and
         | Patreon for things that have nothing to do with porn or sex at
         | all.
        
         | seibelj wrote:
         | HN will never understand crypto / blockchain. Bitcoin and NFTs
         | are amazing tools with huge potential for monetization of all
         | sorts of digital goods. It has never been a better time to be a
         | digital artist and earn a living.
         | 
         | The lack of imagination and "get off my lawn" around here is
         | absurd.
        
           | dang wrote:
           | Please don't post unsubstantive defensive stuff about the
           | community. I realize it's frustrating to hold a minority view
           | (believe me, I understand) but all a comment like this does
           | is add bile, which helps nothing.
           | 
           | Two productive choices are: (1) take up the cross of
           | patiently and respectfully explaining what you believe to be
           | the better information; or (2) chalk it up to people being
           | wrong on the internet and just don't post.
           | 
           | https://news.ycombinator.com/newsguidelines.html
        
             | seibelj wrote:
             | Sorry dang I have patiently defended crypto / blockchain
             | for years and taken all the downvotes. Twitter announces
             | full integration and it's still all negativity. Not sure
             | what success would be anymore to convince the HN community.
        
           | jimbob45 wrote:
           | NFTs solve the problem of digital theft. It's just...that's
           | not really an issue with the sort of digital goods that can
           | use NFTs. Nor do most people want to download a whole
           | blockchain for every marketplace they want to participate in
           | (and then continue participating in to facilitate
           | transactions).
        
           | corobo wrote:
           | How's the eco status on NFTs these days? I know Bitcoin is
           | still trying to cook the Earth but have they fixed NFTs yet?
           | 
           | My only "get off my lawn" take on it
           | 
           | Also it all seems to be digitally drawn portrait templates
           | with different accessories on (eg robot heads). I have no
           | idea if they sell but someone's giving Twitter a bunch of
           | money to shove those in my face haha. I'll put that one down
           | to not getting it, I never got into pokemon cards etc either
        
             | DennisP wrote:
             | Most NFTs are on Ethereum. That has pretty high energy
             | usage for now, but is on track to eliminate it almost
             | entirely in Q1 next year.
        
           | BTBurke wrote:
           | Here's my question - NYT could charge me $5 and then deduct
           | from my balance on a per-article basis.
           | 
           | Do we need crypto to enable those transactions? If
           | micropayments made sense, why haven't they caught on already
           | with the payment infrastructure 99% of people already have?
           | Micropayments via crypto are just payment with extra steps.
           | 
           | I'm not for/against either one. I'd just like to see a
           | coherent argument against the idea that crypto is a solution
           | looking for a problem.
        
             | wskinner wrote:
             | Most of the world does not have access to cheap and easy
             | dollar-denominated payments. Using Bitcoin for this
             | simplifies the implementation for Twitter, and reduces
             | fees.
        
               | mdoms wrote:
               | Most of the world has credit and debit cards. Or, at
               | least, most of the world where people have enough
               | disposable income to shell out for NYT articles. I don't
               | live in a country that deals in USD but I have a debit
               | card and very often buy services denominated in USD.
        
             | DylanBohlender wrote:
             | Fees and chargebacks are the ones that usually come to
             | mind. Oftentimes major credit card provider networks set a
             | "minimum" interchange fee to disincentivize small
             | transactions (a chargeback on a ten-cent transaction is
             | often not worth the squeeze from a support/processing
             | perspective).
             | 
             | Basically all major payment networks are facilitated by a
             | middleman of some sort, and that middleman entity usually
             | has operational costs that disincentivize them from
             | offering micropayments.
             | 
             | Your point about a "balance" lands though - nothing stops
             | NYT from making one "big" charge and then deducting from it
             | other than consumer psychology (paying $10 up front can
             | feel different than paying $0.05 at a time, for example).
        
             | orf wrote:
             | Imagine a world where not everyone used the dollar. Then
             | imagine having to support different currencies and ensuring
             | that your price per article stayed in line with currency
             | fluctuations.
        
               | mdoms wrote:
               | Why would you have to support different currencies?
        
               | imtringued wrote:
               | Youtube has an international audience.
        
               | Ekaros wrote:
               | Translate the payments to some abstract credits with
               | consistent rate across currencies. Then just forex the
               | money received to euros or dollars or what ever your
               | local currency is.
               | 
               | Actually, there is already a massive platform that does
               | this sort of thing with what really are microtransactions
               | too and even in local currencies, namely Steam.
        
               | orf wrote:
               | Yep, and I bet that's non trivial and takes a lot of
               | resources to maintain. Selling games is also their core
               | business.
               | 
               | Seems like a cryptocurrency fits nicely into "abstract
               | credits with a consistent rate across currencies".
        
             | PretzelPirate wrote:
             | I think the answer looks different when you talk about NYT
             | (a large organization most of us probably trust to not
             | steal) vs smaller websites/blogs. I wouldn't pre-pay some
             | no-name blogger $5 and trust them to charge me properly.
             | 
             | With the pre-pay model, you may even end up with each site
             | dictating it's own payment terms, which would naturally
             | create opportunities for scammy terms that users don't
             | understand until their money is gone.
             | 
             | A tipping model incentivized quality content and keeps
             | funds under the user's control.
             | 
             | In this specific case, it looks like some Strike-related
             | company will have custody of funds, which does defeat the
             | purpose of using a decentralized payment method.
        
           | joelbondurant wrote:
           | HN is for communist betacuck soy bois.
        
           | markkat wrote:
           | It's really consistent and strange considering the ostensive
           | nature of the site.
        
           | astoor wrote:
           | The problem is that HN actually _does_ understand crypto and
           | blockchain. The layperson might believe the myth that NFTs,
           | for example, are  "amazing tools with huge potential for
           | monetization of all sorts of digital goods", but most of HN
           | will know the reality - you are "buying" nothing more than a
           | URL in a JSON file (i.e. no legal ownership of anything),
           | almost all artists will lose money (there are over 20M
           | listings on OpenSea and almost every one of those will not
           | sell or sell at a loss to the artist given all the costs in
           | making a listing), and most "investors" will too (unless they
           | are one of the rings of anonymous bidders who collaborate to
           | artificially inflate the price of their selected "artists").
        
             | PretzelPirate wrote:
             | Art is one application of NFTs, but NFTs are not
             | specifically made to represent digital art. Gods Unchained
             | cards are a much better use case since there is built-in
             | utility.
             | 
             | Artists can also mint on ImmutableX without paying any fee
             | at all.
        
             | rjknight wrote:
             | > you are "buying" nothing more than a URL in a JSON file
             | (i.e. no legal ownership of anything),
             | 
             | This is wrong. I can see why you think it, but it is wrong.
             | 
             | The URL in the JSON file is free, as is the artwork that it
             | points to. It's very hard to restrict the copying of
             | digital artworks anyway, so why bother trying to?
             | 
             | The person buying the NFT is not "buying a URL". This
             | phrase doesn't even mean anything! What they are buying is
             | control of a record on the blockchain, which (with some
             | slight hand-waving) contains a list of the signatures of
             | the previous owners, including the original creator or
             | their agent. While it is trivial to copy a JPEG, it is not
             | at all trivial to copy the list of signatures from one part
             | of a blockchain to another, unless you happen to have the
             | private keys of all of the previous owners.
             | 
             | As such, the JPEG is abundant but the record is scarce.
             | This mirrors the physical world, in which Picasso prints
             | are abundant but signed originals are rare and hard to
             | copy. What you're paying for is the uniqueness of the
             | signature, not the ability to look at the content of the
             | artwork, which you can probably already do for free on the
             | internet.
             | 
             | "No legal ownership of anything" is not really true. You do
             | legally own the blockchain record! You can decide whether
             | to sell it or keep it, and you can generally dispose of it
             | as you would with any other property. You don't legally own
             | the copyright of the artwork, but as we've already
             | established, that copyright probably isn't worth very much.
             | 
             | Your other statements may be perfectly accurate - I can't
             | imagine 20M artists on OpenSea all turning a profit, and I
             | imagine that a lot of the investors are likely to lose some
             | money too. I just don't think that this has anything to do
             | with faulty assumptions about how NFTs work.
        
               | CharlesW wrote:
               | > _The person buying the NFT is not "buying a URL". This
               | phrase doesn't even mean anything!_
               | 
               | "Buying a URL" (a pointer to a thing) means more than
               | "buying a blockchain record" (a pointer to a pointer to a
               | thing).
               | 
               | What is the value of a blockchain record whose URL no
               | longer works, or has been changed to point to something
               | worth nothing?
        
               | rjknight wrote:
               | So, what we have is the artwork. The artwork, as a
               | digital artifact, continues to exist as long as there is
               | a copy of it anywhere. A copy that was hosted at a
               | particular URL may cease to exist, though.
               | 
               | "Buying a URL" doesn't make sense because there's no
               | transfer of rights. I already have the URL! There's no
               | meaningful mechanism by which I can take control of the
               | URL, and there are no rights over the URL that anyone can
               | sell to me. The reason people mock the idea of "buying a
               | URL" is because they rightly observe that it doesn't make
               | sense.
               | 
               | The value of the record is not directly related to the
               | URL. The value of the record is that it has the artist's
               | signature on it (or the signature of someone I believe to
               | be the artist, or the artist's designated agent; fraud is
               | definitely possible here!). Notably, the URL does not
               | have the artist's signature on it (how could it? This
               | also does not make sense as an idea). The artwork pointed
               | to by the URL might or might not have the artist's
               | signature on it, but if it does then the signature is
               | easily copyable, because the image itself is easily
               | copyable.
               | 
               | The thing that is not easily copyable is the blockchain
               | record. This is because it contains an encrypted
               | transaction signed by the artist's key, and I can't make
               | a duplicate of this unless I have the artist's private
               | key.
               | 
               | If I'm buying an NFT, I'm doing it because I think the
               | artwork is going to be popular or important in some way.
               | If this is true, there are going to be _many_ copies of
               | it. I don 't really care about what happens to any single
               | copy, even if it's the copy that was presented as the
               | reference copy at the time I bought the NFT. If I'm truly
               | concerned that the image might disappear entirely, I will
               | download a copy to my laptop and save some backups. If it
               | turns out that the thing I bought was so unpopular and
               | unimportant that months later nobody anywhere saved a
               | copy of it, then I suppose that sucks for me.
        
               | dvt wrote:
               | > You do legally own the blockchain record!
               | 
               | No you don't. In fact, I don't think NFT ownership has
               | been litigated in any court of law (yet). The deed/title
               | analogy is pretty good. But what makes a deed a deed is
               | that it has the force of the law behind it. NFTs do not.
        
               | rjknight wrote:
               | This might depend on your jurisdiction, but in general
               | legal systems are quite lazy: if it walks like a duck and
               | quacks like a duck, it's a duck. If it's something that I
               | have exclusive control over, and I paid someone else
               | money for that exclusive control, then it's my property.
               | There doesn't need to be a written contract or a deed,
               | any more than there needs to be a written contract or a
               | deed for me to sell you, say, my bicycle. If I agree to
               | accept payment, and you provide payment and I provide you
               | with the bicycle, there is no sense in which you are not
               | now the owner of the bicycle.
               | 
               | The crypto space does have an unfortunate history with a
               | kind of legal mysticism, in which people ignore legal
               | practice in favour of attempts to re-derive everything
               | from half-remembered Locke, or something from Nick
               | Szabo's blog, or some weird way of doing things that
               | turns out to be an elaborate attempt to evade securities
               | law rather than any actual legal requirement for sale of
               | property. The term "smart contract" takes this tendency
               | and multiplies it. Ignore this stuff and focus on simple
               | principles: party A paid party B for something that party
               | A was indeed able to transfer to party B in return for
               | the agreed payment. Unless there was an agreement
               | specifying otherwise, B has just acquired some property
               | from A.
        
             | dropnerd wrote:
             | don't think any of these assertions capture the
             | possibilities of the space
             | 
             | > no legal ownership
             | 
             | the market is moving towards licensing the image to the nft
             | owner or dispensing with restrictive licenses altogether
             | 
             | > artists will lose money
             | 
             | opensea's lazy minting means that you don't have to pay
             | until you sell
             | 
             | > investors will lose money
             | 
             | it's not a zero-sum system
        
             | lottin wrote:
             | Indeed, the mainstream media talks about NFTs as if they
             | were property titles, completely misleading the public into
             | thinking NFTs are something they are not. A lot of people
             | also think Bitcoin spends a lot of electricity because it
             | needs to do super complicated calculations. When you
             | explain them how bitcoin actually works they usually can't
             | believe it. The misinformation floating around with regards
             | to cryptocurrencies is staggering.
        
           | akgoel wrote:
           | The Diablo 3 real-money auction house was better implemented
           | than most NFT schemes. At least that involved an actual
           | transfer of virtual goods.
        
             | JCVI-syn10 wrote:
             | What's an "actual" transfer of a "virtual" good?
             | 
             | When an NFT is sold a unit of data stored on a digital
             | ledger is transferred. When a D3 item was sold a unit of
             | data stored on in the database was transferred. Why are
             | those meaningfully different?
        
               | almostkorean wrote:
               | I don't understand OPs point, but the meaningful
               | difference is that the digital ledger is decentralized.
               | If Blizzard shuts down D3, your virtual goods are gone
               | forever. NFTs and ownership of NFTs live as long as the
               | blockchain lives
        
               | frazbin wrote:
               | Thanks for asking! The difference is that Diablo 3
               | represents 10E6~ dev hours invested into making a fun
               | game, and items make it more fun. The items are a kind of
               | 'share' in the total fun of the game. Now if we imagine
               | NFTing the Diablo 3 item system, that's interesting.
               | 
               | Mostly what's interesting about it is why it hasn't
               | happened. I've noticed that actors in public blockchain
               | ecosystems VERY strongly seek 'incentive wells' i.e.
               | locally maximized extraction mechanisms. This might be a
               | property of certain general public-ledger economic
               | systems, because it sure comes up a lot. Basically the
               | law is: as long as a blockchain/Dapp/pattern makes money,
               | the people writing it won't improvements to it outside
               | the core extractive mechanic; at least not without some
               | rare external inputs, which inputs are surprisingly rare
               | in practice.
               | 
               | So if your application is on an incentive hill from this
               | perspective, you know it will never get written.
               | 
               | The Diablo 3 Dapp won't get written by Blizzard because
               | it lies on an incentive hill from blizzard's perspective,
               | simply because: assets would (1) increase item prices due
               | to fees and (2) Blizzard would be cut out as a middleman
               | for at least some transactions.
               | 
               | Only once you find public-ledger tech that fixes those
               | incentives (and probably other incentives I've missed)
               | will you start to see interesting and complex distributed
               | applications
        
           | clpm4j wrote:
           | It's a spectrum of course. Some people thoroughly understand
           | it and still think it's rather boring or dumb. Some people
           | thoroughly understand it and, like yourself, think it's a
           | revolutionary game changer. And most people don't understand
           | it and either (a) think it's dumb and downvote it, or (b)
           | think it's awesome and are fanatical about it.
           | 
           | (edit: spelling)
        
       | seany wrote:
       | Would love to see more of this stuff done with privacy coins
       | instead.
        
       | aazaa wrote:
       | > Strike works in all US states except New York and Hawaii, and
       | the country of El Salvador.
       | 
       | That's odd, because Strike is the company on which El Salvador's
       | Bitcoin experiment is based.
       | 
       | https://www.businessofbusiness.com/articles/what-is-strike-E...
       | 
       | Also, this article has a completely different take:
       | 
       | > A video was released on Thursday of Jack Mallers demonstrating
       | the service with the firm's integration of the Strike API. In the
       | video Mallers sent Bitcoin from Chicago to El Salvador via
       | Twitter.
       | 
       | https://bitcoinmagazine.com/culture/jack-dorsey-twitter-roll...
       | 
       | What am I missing?
        
         | neb_b wrote:
         | Confusing sentence. It could be rewritten as
         | 
         | "Strike works in El Salvador and all US states except New York
         | and Hawaii"
        
       | babyshake wrote:
       | Will Twitter offer APIs to do things like allow a user to
       | authenticate to allow an app or service to track tips they
       | receive? I haven't seen any information about this.
        
       | jjnoakes wrote:
       | This (this specific news as well as crypto in general) still
       | feels like externalizing a fairly important cost - the energy
       | usage required to keep this world-wide distributed ledger going.
       | 
       | Change my mind?
        
         | JonathanBeuys wrote:
         | Bitcoin's energy consumption depends on mining revenue.
         | Currently the main component of mining revenue is block reward.
         | Block reward will go to zero over time. How much energy Bitcoin
         | will use then is not known today. It is a new experiment that
         | mankind is performing for the first time.
         | 
         | The old financial system is not very efficient. In the USA
         | alone, millions of people work in the finance sector.
         | Automating those tasks via crypto systems might save a lot of
         | energy.
         | 
         | There is a good chance that Bitcoin's energy usage will be
         | completely solar based in the long run.
        
           | CJefferson wrote:
           | The bits of the old financial system which duplicate bitcoin
           | (doing simply electronic transactions) are very efficient.
           | 
           | I see no reason all the other stuff wouldn't still be around
           | in a world where bitcoin replaced the dollar.
           | 
           | Also, there is no way bitcoin can come close to scaling to
           | even a tiny fraction of the transactions which happen every
           | day.
        
             | ulzeraj wrote:
             | > The bits of the old financial system which duplicate
             | bitcoin (doing simply electronic transactions) are very
             | efficient.
             | 
             | Its all very efficient until Mastercard and Visa decide
             | that your line of business should not be allowed to receive
             | money and they blacklist you and your descendants from the
             | financial system forever.
        
             | JonathanBeuys wrote:
             | Bitcoin does not only do transactions. It has a smart
             | contract language which allows more and more types of smart
             | contracts all the time. (Yes, Bitcoin is not static as many
             | people think).
             | 
             | The old system is not at all efficient for transactions.
             | Vendors hate credit cards for a reason. Visa alone made 20
             | Billion Dollars in revenue last year for a reason.
             | 
             | Bitcoin can scale infinitely via the Lightning Network.
        
               | mdoms wrote:
               | Visa is "inefficient" because they supply many many more
               | services than simply transacting. Dispute resolution,
               | fraud detection, customer service, card issuing, and on
               | and on. You know, all of this stuff we'll have to build
               | from scratch for Bitcoin to become even remotely viable
               | as a currency. There's no reason to believe that Bitcoin
               | can make these services any more efficient.
        
               | JonathanBeuys wrote:
               | Dispute resolution:
               | 
               | This "service" has pros and cons. It is one reason why
               | vendors hate credit cards. You never know when you can be
               | sure that the payment really was done. Or if it will
               | suddenly disappear again.
               | 
               | Fraud detection:
               | 
               | One reason why fraud detection is needed is that the
               | whole system of "whoever has the number can pull money"
               | is insane.
               | 
               | Customer service:
               | 
               | What do you mean?
               | 
               | Card issuing:
               | 
               | Who wants cards? Those will go away anyhow.
        
               | easrng wrote:
               | Dispute resolution is trivial with a 2-of-3 multisig. The
               | customer locks up funds until service has been provided
               | and then in the ideal case the customer and merchant
               | agree and pay the merchant. If there's a dispute, the
               | dispute resolver can forcibly send funds with the
               | cooperation of either party.
        
         | cheeze wrote:
         | Talk about beating a dead horse. Read literally any HN thread
         | ever posted about cryptocurrencies to see this discussed ad
         | nauseum.
        
         | dane-pgp wrote:
         | There are many ways to re-internalize the costs of
         | CO2-producing energy use, such as putting a carbon tax on
         | energy providers which emit CO2.
         | 
         | In contrast, writing specific policies to target (specific uses
         | of) specific cryptocurrencies, without exempting the renewable
         | energy used in their production, and without targeting other
         | "frivolous" uses of energy, would be an inelegant approach.
        
         | exolymph wrote:
         | Honestly, the main argument is "I don't care about following
         | your priorities for 'legitimate' energy usage and you can't
         | stop me."
        
         | dropnerd wrote:
         | price the energy cost correctly then
        
         | fksadfji12 wrote:
         | Because noone cares about that.
        
         | gregwebs wrote:
         | This uses the lightning network. The energy cost of a lightning
         | payment is orders of magnitude lower than bitcoin.
         | 
         | This kind of usage actually demonstrates bitcoin's valuable use
         | case (a base layer for final settlement) whereas in recent
         | years a lot of energy was being burned effectively just for
         | speculation.
        
       | em3rgent0rdr wrote:
       | microtransactions via the Lightning network is wonderful part of
       | the bitcoin vision. But I don't think this sentence at the bottom
       | of the "Strike" app page is holding up to the promise: "Custody
       | of your funds and bitcoin trading are offered through Prime
       | Trust, LLC." [1]
       | 
       | [1] https://apps.apple.com/us/app/strike-send-and-spend-
       | bitcoin/...
        
         | m348e912 wrote:
         | Thanks for bringing this up. While the idea of blockchain
         | payments hitting a mainstream app is kind of exciting, adding
         | Strike support to twitter isn't much different than adding
         | something like Venmo support. Both require a banking style
         | intermediary that require KYC from their users.
        
           | bmking wrote:
           | I don't agree. This way it is a) easier to onboard
           | _receivers_, and b) stays open in the sense that _senders_
           | can send bitcoins by any app they want (including non-
           | custodial of course).
        
             | em3rgent0rdr wrote:
             | Ok, I understand (a). Regarding (b) I guess I don't fully
             | understand their implementation, but are you suggesting
             | that any 3rd party app could implement the payments? I
             | guess if any app or user can pull the twitter user's
             | lightning address one can tip then yeah I guess so. So I
             | guess they are just using "Strike" as an officially-
             | supported app?
        
       | Buttons840 wrote:
       | > Bitcoin isn't the extent of Twitter's crypto plans: the company
       | said it is also planning to support authentication for NFTs, or
       | non-fungible tokens, by letting people connect their crypto
       | wallets. "NFT authentication will come in the form of a badge,
       | shown on profile pictures, marking the owner's NFT as authentic,"
       | a company spokesperson said.
       | 
       | No talk about the NFTs yet. My gut tells me that ultimately,
       | personally speaking, NFTs are going to be about telling me what I
       | can't do. "You can't post that meme, you can't quote that person,
       | etc." Maybe I just don't get it?
        
       | blhack wrote:
       | Absolutely incredible news.
       | 
       | Micropayments are one of the paths out of advertiser hell and
       | were one of the original dreams of many crypto nerds and
       | advocates.
       | 
       | I still think that twitter is pure mind cancer, but I have to
       | give it to Jack on this. Great move, and something I hope gets
       | repeated to the rest of the web.
       | 
       | For those who aren't very familiar with the crypto space: this
       | uses a bitcoin side chain called lightning; transactions are
       | effectively free and instant, but still denominated in BTC.
        
         | Geee wrote:
         | Lightning Network is not a side chain. It's basically a way to
         | interactively update transactions between nodes before they're
         | broadcasted and settled on blockchain. It forms a network where
         | payments are routed through nodes without having to trust
         | anyone. It's scalable and private.
        
           | zapdrive wrote:
           | You conveniently forgot to mention that you have to have a
           | lightning node connected to the network 24/7 to protect
           | yourself from fraud. Or, you have to use and trust a third
           | party node.
        
         | snarf21 wrote:
         | Leaving BTC and lighting aside, I don't think most people would
         | opt out of ads in favor of micro payments. There is a minority
         | who have the money that would but I see nothing in society that
         | points to making such a change possible. Do you have any
         | studies that show people would pay for news/socials/etc. in
         | exchange for no ads/tracking/+privacy? Even the paid streaming
         | services have ads and even when you pay, I'm sure they are
         | still selling tracking data.
        
           | mdoms wrote:
           | I pay for Youtube and multiple podcasts on Patreon for
           | exactly this reason. I think both ad-supported and
           | subscription-supported are viable, and where possible
           | creators should support both.
        
           | chrisfosterelli wrote:
           | Perhaps not everybody, but this is a core business model for
           | a lot of mobile apps. "Pay and we remove the ads". I've paid
           | for quite a few apps just to get the ads out of the way.
        
           | blhack wrote:
           | Many people already have opted out of ads. People like Glenn
           | Greenwald and Matt Taibbi who have massive, lucrative
           | substacks, for instance.
           | 
           | Many others have done patreon. Many, many youtube creators
           | and podcasters have strong incomes due to that.
        
           | sjtindell wrote:
           | Twitch and similar platforms are absolutely inundated with
           | users who are quickly growing used to regularly donating via
           | micropayment of sorts, not even via subscription but just as
           | one-off donations. And they hate ads. It's very common for
           | the wealthier streamers to run the absolute minimum number of
           | ads required by their contract. When users don't have the
           | money to donate, they will explicitly say "give me ads" and
           | the streamer will run them.
        
           | trident5000 wrote:
           | I pay for youtube premium to avoid ads. Paying in a micro
           | form over a lump sum form wouldnt matter for me as long as
           | its reasonable in price and easy.
           | 
           | Really micro payments add-value is that most things on the
           | internet are just not worth a visa charge or the slow fraud
           | detection calcs on the back end. Like access to someones
           | tweets. Its basically opening up a new economy and suitable
           | for the metaverse in general.
           | 
           | Like imagine you have augmented reality glasses and are
           | walking through a city outside a restaurant, and a digital
           | food menu third party gives you access for 5 cents btc or
           | eth.
           | 
           | Bit of a tangent here but the use case is fascinating.
        
         | fighterpilot wrote:
         | Do we know why they're not doing it off-chain, similar to the
         | way a crypto exchange will transfer crypto from one user to
         | another off-chain?
        
           | mraudiobook_com wrote:
           | LN is off chain, that's the whole point, LN is a custodial
           | solution to the problem Blockstream introduced when they
           | introduced the block size limit.
           | 
           | Bitcoin Cash is the on chain solution, LN is just as
           | centralized as PayPal.
        
           | bmking wrote:
           | Lightning network is "off-chain". Basically a network of
           | 2-of-2 locked bitcoins called _channels_ that exchange valid
           | Bitcoin transactions to update the balances within these
           | channels, but only need to settle them by broadcasting them
           | to the Bitcoin network in case of disputes.
        
           | blhack wrote:
           | I don't know the specifics of this, but:
           | 
           | Because they don't need to. My guess is that you just
           | associate a lightning address with your username, and all
           | Twitter does is present that to a wallet. This way twitter
           | doesn't need to do KYC, or ever hold any funds. They're just
           | the phone book.
        
             | kokomjolk wrote:
             | LN doesn't have addresses, it has invoices that can't be
             | reused.
        
               | blhack wrote:
               | Ah, okay. I'll admit that it's been quite a few years
               | since I've used lightning.
               | 
               | (I used it back when it was in beta to buy something from
               | blockstream, but that was it. Back then it was an
               | extremely complex process.)
        
               | zapdrive wrote:
               | Exactly. LN is like opening a "tab" in a bar. You
               | ultimately settle on the chain, just like how you settle
               | the final tab on your credit card.
               | 
               | LN is an unnecessary solution to a made up problem. Other
               | cryptos have proved that much much more transactions can
               | be easily processed by merely increasing the blocksize.
        
               | bradwood wrote:
               | Increasing the blocksize makes running a node much more
               | expensive (due to storage, mainly) which in turn makes
               | the network less decentralised. Bitcoin (rightly) selects
               | for decentralisation over transaction speed, hence LN as
               | an L2...
        
               | zapdrive wrote:
               | Bitcoin blockchain size: 350 gb
               | 
               | 12tb harddrive: $199.
               | 
               | Bitcoin blockchain is increasing at less than 100gb per
               | year. The storage cost of 100gb is about $1.6
               | 
               | I'm sure people running nodes can spend more than 1.6 a
               | year to store a bigger chain.
        
             | xur17 wrote:
             | I'm guessing they also don't want to. If they took custody
             | of the Bitcoin, I believe that would make them a MSB, and
             | hence get to do all of the "fun" associated with that.
             | Also, the additional security and financial implications of
             | holding money for their users.
        
           | satronaut wrote:
           | they're doing it via lightning, which is off-chain until
           | payment channels are settled.
        
             | zapdrive wrote:
             | But you still have to make a transaction to open a channel.
        
           | fksadfji12 wrote:
           | Because it already comes out of the box with
           | bitcoin/lightning.
        
         | [deleted]
        
         | shawn-butler wrote:
         | Isn't this what Brave tried doing in their browser circa 2016?
         | 
         | Doesn't seem like micropayments fit the current consumer
         | mindset the way periodic subscriptions do.
        
           | em3rgent0rdr wrote:
           | lightning network wasn't available in 2016. Lightning network
           | makes micro-transactions feasible with bitcoin by almost
           | eliminating the fee.
        
           | wmeredith wrote:
           | Yes, but Brave made their own token (BAT)
        
         | arcticbull wrote:
         | Micropayments are something we've had available to us forever,
         | there's no reason a custodial wallet like PayPal can't offer
         | them - or couldn't have offered them at any point in the last
         | two decades. People don't want them. And they certainly don't
         | want them at up to $60 a pop haha. Or over LN which still
         | requires an on chain transaction to open a channel.
         | 
         | Nick Szabo has a great write up that outlines my thoughts
         | exactly [1]
         | 
         | [1] https://nakamotoinstitute.org/static/docs/micropayments-
         | and-...
        
           | thinkmassive wrote:
           | Nobody used micropayments when they were a hassle. Today
           | there are already Lightning-based apps breaking down that
           | barrier, live in production using mainnet BTC.
           | 
           | Spinx[0] and Zion[1] are chat apps that offer room hosts the
           | option to set a fee for joining and/or sending messages to a
           | channel, for the purpose of spam reduction. Another cool
           | feature already live in the app is pay-per-minute streaming
           | of podcasts and videos.
           | 
           | [0]: https://sphinx.chat/ [1]: https://www.getzion.com/
        
           | maccolgan wrote:
           | The reason that people typically don't accept tips in
           | anything but crypto is that it would eliminate the
           | pseudonymity that crypto would offer...
        
             | cwkoss wrote:
             | Also accepting tips via CC exposes you to chargebacks, were
             | people can actually financially damage you (ex. they donate
             | and chargeback, they get their money back, you get nothing
             | + a ~$20 chargeback fee)
        
         | space_rock wrote:
         | People that call bitcoin "crypto" are likely to describe
         | bitcoin technology incorrectly
        
       | arenaninja wrote:
       | I don't use twitter but maybe now I have a reason to, and I'm not
       | particularly pro-crypto (I hold maybe $8 worth of bitcoin)
        
         | meheleventyone wrote:
         | I use Twitter and it has the opposite effect. I'm not surprised
         | though.
        
       | gcampos wrote:
       | I'm sure Jack Dorsey selling an NTF of the first tweet ever had
       | nothing to do with this plan.
        
       | barcoder wrote:
       | BitClout already does this although there's a lot of speculation
       | that BitClout will fail where as Twitter has lasted for a decent
       | amount of time.
        
       | cwkoss wrote:
       | Sounds like initial plans are to not take a fee for Bitcoin
       | payments. Which is awesome but a bit surprising.
       | 
       | I wonder whether they'll be able to keep this fee-less over the
       | longer term. If/when they start facilitating billions of dollars
       | moving per year, I'd imagine intense pressure from shareholders
       | to take a cut.
        
         | kneel wrote:
         | They're using the 2nd layer lightning network, fees are not an
         | issue.
        
         | javert wrote:
         | They can profit simply by holding bitcoin, which they're
         | increasing demand for.
         | 
         | Bitcoin has always been the kind of thing that rewards
         | insiders.
         | 
         | Companies and government officials can profit just by holding
         | bitcoin and then incentivizing its wider use. It makes more
         | sense to become an insider than to fight bitcoin. Arguably,
         | that's even true for major financial institutions.
        
         | blhack wrote:
         | How would they take a cut?
        
       | JonathanBeuys wrote:
       | Why does Twitter need to enable anything for users to receive
       | Bitcoin?
       | 
       | Couldn't the users just pin a tweet to the top of their profile
       | "Hey, if you want to tip us, here is our Bitcoin address: ..."?
       | 
       | And for receiving Bitcoin via the Lighnight Network, I would
       | expect it is similar?
        
         | corysama wrote:
         | The problem with tipping online is not that people are
         | unreasonably stingy. It's that people are reasonably lazy. A
         | lot of people are happy to toss a few coins to their Witcher.
         | But, it has to be trivially easy to do so or they won't bother.
         | Requiring even trivial effort to give away money is
         | unreasonable.
        
         | egypturnash wrote:
         | See, the problem with your methods is that Twitter's not taking
         | a cut. They might even require a user to leave Twitter for
         | another site! And we can't have that.
        
         | PretzelPirate wrote:
         | As someone who often tips people with crypto, having a button
         | at the point where I'm consuming the content is helpful.
         | Otherwise I have to go search for their address, or hope they
         | have something like an ENS name as their display name so I can
         | easily address a tip to them.
        
         | tgraves83 wrote:
         | The current implementations of the lightning network don't
         | easily allow transactions to an address (A method called
         | keysend does exist but isn't widely used).
         | 
         | In order to receive a lightning payment, the receiver has to
         | generate an invoice that anyone with a lightning wallet can pay
         | (usually by scanning a QR code or copy/pasting the invoice).
         | These invoices are meant to be single use.
         | 
         | There is a draft spec (BOLT12) that would make it easier to be
         | able to just pin a link or QR code on a webpage or profile and
         | receive bitcoin via the lightning network.
         | 
         | https://bolt12.org/
        
         | aqme28 wrote:
         | A lot of business is just taking something that is possible and
         | making it accessible. See: the famous Dropbox detractor comment
         | on hacker news.
        
           | mettamage wrote:
           | But it's just a bitcoin address. All you need to do is go to
           | an exchange (or a wallet), click withdraw enter the public
           | key of the other person, type in the amount and you're done.
           | 
           | Dropbox is also silly. It's just rsync with a UI, just spin
           | up a command-line and transfer all your fi-... Wait a minute.
           | This is what you meant! ;-)
           | 
           | I'd love to hear a version where a chef would talk about food
           | this way or some other field that I know next to nothing
           | about.
           | 
           | Edit: I didn't realize it was using the lightning network.
        
             | thinkmassive wrote:
             | This uses the Lightning Network, which requires an invoice
             | (unless the node has keysend payments enabled, but most end
             | users don't run their own node). It's not the same as a
             | Bitcoin address, and address re-use is a dirty habit
             | anyway.
        
             | drexlspivey wrote:
             | > But it's just a bitcoin address. All you need to do is go
             | to an exchange (or a wallet), click withdraw enter the
             | public key of the other person, type in the amount and
             | you're done.
             | 
             | Or you could just click the button on the tweet and not do
             | all that?
        
         | throwaway158497 wrote:
         | Twitter will hold the bitcoins and collect interest before
         | transfering to person tweeting?
        
           | plebianRube wrote:
           | Yes, they will enter a Defi contract for the few seconds it
           | takes to send the lightning payment. They will scalp
           | fractions of fractions of a cent, making them wealthier
           | beyond their wildest dreams.
           | 
           | Try harder.
        
             | throwaway158497 wrote:
             | Well, technologically it is possible to transfer almost
             | impossible That doesn't mean they will do it. They will
             | hold it for a few days. At scale, it will add some money to
             | twitter coffers(if they are successful that is)
        
       | DylanBohlender wrote:
       | Lightning network theoretically makes micropayments possible, and
       | that should be celebrated for enabling new ways of online
       | monetization that the tech world writ large can explore.
       | 
       | Imagine if you could buy access to a paywalled news article for
       | $0.02 (on an article-by-article basis) instead of having to
       | purchase a monthly subscription. Or imagine being able to pay
       | $0.10 to watch a particular episode of a show without needing to
       | subscribe to the streaming service. How many people would prefer
       | doing that instead of using current SaaS subscription models
       | (which exist largely because it's a huge hassle to implement
       | credit card-based micropayments)?
       | 
       | Subscription businesses should be on guard: micropayments open up
       | advertising-independent ways for creators to monetize content.
       | With all the well-deserved criticism of ad-based businesses in
       | recent years (particularly social media), it's possible that
       | micropayments enable business models that don't rely on ads the
       | way many online businesses have up to this point. That's huge,
       | and kudos to Twitter for taking the leap.
        
         | [deleted]
        
         | lnxg33k1 wrote:
         | I also think if we remove advertising from existence another
         | plus for the society would be getting rid of "articles" about
         | "look this dog how much barks when he sees the postman", maybe
         | some would pay for that, but I think having micropayments to
         | access content would force the content to be meaningful
        
       | Imnimo wrote:
       | I'm having a very hard time imagining a scenario in which I would
       | feel the need to tip someone for a Tweet.
       | 
       | I understand why I might want to pay someone for, say, a Youtube
       | video, or a substack article. But is there really enough value
       | packed into a tweet that I'd want to send someone money for it?
       | 
       | Maybe I'm just not imaginative enough. Or maybe the answer is
       | porn.
        
         | joedevon wrote:
         | Here's an example.
         | 
         | Journalist spends a year on a story. Puts it on her blog.
         | Shares the post via a tweet. You love the story, appreciate the
         | hard work and give a tip.
        
         | rstarast wrote:
         | "Any tips for this tweet will be sent back double!"
        
         | trident5000 wrote:
         | Might be good for journalism. People get paid for their
         | analysis and being a trusted source. Hopefully revenue drops
         | off when lying or sloppy work occurs.
        
           | ProfessorLayton wrote:
           | Maybe local news channels can start compensating people who's
           | media they want to broadcast and profit from.
        
         | em3rgent0rdr wrote:
         | (1) to communicate to others that the particular tweet is
         | valuable, by sending something with more scarcity than a
         | mouseclick. (2) to help fund the creator of the tweet. (3) "is
         | there really enough value packed into a tweet that I'd want to
         | send someone money for it"? Well a tweet can be much more
         | concise than a youtube video.
        
         | paxys wrote:
         | It doesn't just have to be for the content in the tweet. For
         | example you could link to an article on your blog.
        
         | meheleventyone wrote:
         | There's a lot of sex work on Twitter so porn isn't a silly
         | answer at all.
        
       ___________________________________________________________________
       (page generated 2021-09-23 23:01 UTC)