The media's focus is primarily on quantity and entertainment. The transition from print to online led readers to paywalls that don't give readers the option to pay for an article they're interested in. Instead, the reader is faced with the decision to take out a monthly subscription or to get the information somewhere else, for example in an abbreviated version on social media. Various models stand out: Some online newspapers let readers read articles up to a value of 5 EUR before they are asked to pay. Others leave some articles free of charge and only set the limit in front of articles with particularly interesting headlines. Still others, such as RTL, include newspaper subscriptions such as the “Stern” in video entertainment offerings.
Journalists are not only competing with other online newspapers, but also in a power struggle for attention against any other form of content, particularly on social media. The headlines of traditional media are therefore becoming more and more lurid, and the content ever more superficial. In times of high print editions, I remember experts in editorial offices writing about their respective expertise. Today, it sometimes seems as though the journalist, who is responsible for economics, is also writing about energy issues and entertainment at the same time.
I wonder what media companies think of implementing pay barriers for weekly or monthly newspaper subscriptions in an ever individualizing world. The fashion and automotive industries are industries that understood much earlier how important it is to respond to the individual and thus meet the needs of our times. They offer their customers tailor-made solutions. Consumers have never been able to obtain so much information. “Value for Value” (V4V for short) could address the needs of readers, journalists and digital content creators more intensively.
The concept V4V has its roots in various economic and philosophical principles, but in particular it can be traced back to the Austrian School of National Economy, which emphasizes the importance of voluntary exchange and subjective theory of value. The Austrian school, which is associated in particular with economists such as Carl Menger, Ludwig von Mises and Friedrich v. Hayek, highlights that economic value is subjective and results from individual preferences and perceptions. According to this view, the value of an object or service is not inherent but is determined by individuals based on their needs, desires, and willingness to trade.
V4V is the basis of the free market economy and is changing the previous way of dealing with information. The concept focuses on creators. Readers can voluntarily pay money for interesting articles.
Among podcasters and YouTubers, the V4V concept gained importance a long time ago, as it offers the opportunity to dispense with traditional monetization models and receive direct support from their audience. The first podcaster who used V4V and became known for the term is Adam Curry. He is also considered a key figure in the development of podcasting.
The Lightning Network is an off-chain solution that allows users to pay with Bitcoin outside the Bitcoin blockchain, enabling micropayments, money streaming, financial services, and other applications. The Lightning Network is now considered the most promising scaling solution for Bitcoin and provides the digital infrastructure for V4V. To use V4V, you need a wallet such as the Phoenix Wallet or a browser extension such as Alby, whose QR code or Lightning address you then link in your profile bio, in your post or at the end of your article. The transaction works in a similar way to an email. The only difference is that the information that is transferred here is monetary in nature.
Eimen items According to the FAZ, younger generations in particular are not averse to paying for online content. With V4V, readers can return the value they get from content. Journalists have the incentive to write more freely and of higher quality.
Until now, readers at major media companies could only hope for neutral research and stories. In addition to the lack of time for research, this is also due to lobbyists, PR managers, media lawyers and other third parties who have established good contacts with editorial offices and their journalists over the last few decades and, as indirect stakeholders, are trying to influence narratives. If readers could pay journalists directly via the V4V principle, it would significantly increase the chance of independent, high-quality journalism.
When it comes to social media, it's no secret that companies enter into advertising partnerships with influencers on social media platforms. It may even be possible to understand that influencers accept well-paid advertising contracts without any known alternative — regardless of whether they really stand behind the product. Followers may give them reach, but companies pay their support.
The payment power of some companies leaves little room for honest evaluation of products or services. More attention is paid to coming across as authentic than being authentic. A good example of users being willing to pay for content is the popular streaming platform Twitch. Many users send streamers money via PayPal, Cashapp, by card or with the native Twitch currency, Bits. In December 2022, a streamer received the equivalent of more than 10,000 euros in bits.
According to this graph, people in Germany are increasingly looking for news on social media. So far, you can like, comment, share and save there. What is missing is the donation or “tip” option. Whether it's a well-researched article or a tip from an influencer that's come true — with V4V, people can give back the value they receive. I believe that if V4V were the standard in journalism and on social media, the relationship between follower and content creator or journalist would be much more honest. Journalists and creators of all types could focus on their readers and followers, rather than on the strategy of editorial or marketing managers.
With the rise of digital media and the shift from print to online platforms, most traditional media companies have radically cut their jobs and salaries. At the last social media agency I worked for, almost half of the employees consisted of former Springer and Burda journalists, who today write social media strategies and posts instead of articles.
”Information is not scarce, easy to copy, easy to change and wants to be free. I hope that the value-for-value model will continue to prevail as a viable alternative to advertising, censorship, deplatforming, and demonetization.” - Gigi, software engineer and Bitcoiner.
The results of a study by the Landesanstalt für Medien NRW, in which 6000 people were interviewed in 2019, showed that over 75 percent are convinced that the basic idea of the Internet is to obtain information free of charge. Intellectual property, patents, paywalls, etc. prevent us from exploiting our full potential because information is controlled and withheld. Historically, sharing information and collaboration has often led to results that could not be achieved before or would have taken significantly more time. Countless scientific projects that seemed insoluble until information added by others.
A successful example of V4V implementation is Nostr. Nostr stands for Notes and Other Stuff Transmitted by Relays. It is an open source protocol for the decentralized transfer of information and describes itself as follows: “The simplest open protocol that is able to create a censorship-resistant global “social” network once and for all. It doesn't rely on a trusted central server; therefore, it is resilient. It is based on cryptographic keys and signatures; therefore, it is tamper-proof.
With Nostr, you can create any application (“client”). The first clients that have caught on are Twitter-like clients such as Damus, Primal, and Amethyst. Through this, you can use Nostr as a social media platform in which you can like, comment on, share, save and, above all, tip (called zaps) content. You zapping Satoshis. Bitcoin can be divided into smaller subunits, the smallest unit of which is a satoshi (“sat”). One sat is equal to one hundred millionth (0.00000001) of a bitcoin.
Information is relayed by “relays” that you can connect to. The data is stored via multiple relays, meaning there is no central authority that owns the data. As you can see from Figure 3, Nostr currently has more than 547k users, and transactions of a total of around 13 Bitcoin have been made so far. This currently corresponds to a value of 348,592.53 EUR.
A transparent and up-to-the-second board (fig. Nostr Stats) offers curious people the opportunity to follow developments via https://primal.net/home.
Overall, V4V opens up promising prospects for high-quality journalism and the opportunity to monetize any online content. Although the remuneration in Satoshis may seem unusual at first, I see it as a great opportunity in the long term. Why Bitcoin will rise in value in the long term and why it serves as a good store of value would fill an article of its own. Payment and increasing time pressure in journalism should provide sufficient motivation to give a model such as V4V a chance.
Up to now, it seems as though the fear of not being appreciated or paid for something or of having something taken away is deep within us as a result of historical experience. We've tried digitally to build the same walls that we've created in physical reality. This is despite the fact that open exchange of information and cooperation have often been proven in the past. V4V can break those walls.
Paying creators with digital currency for their digital content is in line with our zeitgeist. Today, we need experts more than ever before as the Internet is flooded with fake news and self-proclaimed experts. Through V4V, people have the opportunity to finance independent journalism, which makes it worthwhile again. Of course, implementing V4V would mean infrastructural change for journalism.
Innovation always confronts us with the decision to continue as before or to try something new and make full use of our potential. I think significantly more people would be willing to spend money on articles if they had a voluntary alternative to subscriptions. V4V can be the solution in search of high-quality journalism.
Theresa Rehlingen-Prinz is a German communications consultant in the business sector and a freelance journalist for the financial magazine Zaster. She is also involved as a member of Les Femmes Orange for women's financial freedom through Bitcoin.
Disclaimer: The views and information expressed in the guest contributions should not be interpreted as financial advice. It is important to note that Coinfinity does not necessarily represent the same positions and views as in the content provided here.
