Bitclout – My Story and Questions

Last Updated on April 7, 2021

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We are in the first inning of the mysterious Bitclout movement and there are so many questions that remain. I first heard about Bitclout when I listened to Sam Parr and Shaan Puri’s excellent podcast “My First Millions”. I got involved a few days later when I figured out how to sign up and load up on a coinbase account. (At first I tried to use binance.us but it was too complicated).

Then I had to figure out how to send bitcoin to my bitcloud account from my coinbase account. I almost made the mistake of sending money to my public key instead of another address under the section “Buy BitClout.” OK, Mom and Dad, if you are reading this, do you follow me so far?

Before I got involved in different Creator Coin, I threw a little bit of love over to the few people who sent a couple of shekels my way. I have no idea how they found me but smart of them to throw some love to Crosspondgreg. It’s like buying stock in Michael Jordan after he got cut from the high school team as a junior.

I started checking out @Bitcloutpulse where you can see trends like how much a Creators Coin has gone up and down in the last 24 hours, how many Twitter followers the Creator has etc. Shaan Puri does a great job of explaining it not only on the pod but in a quick Twitter video. Then I started to think of my own ideas to get in early and corner the market on a certain influencer. I have a friend who is a chef that has 5K Twitter followers but 45K Instagram followers. I thought, maybe if I show him how to set up his account on BitClout, then simultaneously go in and buy about $2K worth of his coin. . .and then he went on his social media account and pumped up his coin. . . I could watch the money pile up. Unfortunately, my chef friend just went away on vacation. So I will have to wait til next week to do this.

Then I started to think, maybe I should do some research to find the Instagram influencers who are not big on Twitter and not yet on Bitclout to try to get in early on them – but they need to create accounts themselves. So I don’t think that is going to work.

When looking at my strategy for how I was going to spend my $2,500 that I could easily lose, I started to think about a few different things:

  1. Will the prices of these Creator Coin increase just because they are claiming 10 percent of their coin or is that baked in?
  2. What happens if I buy a Creator Coin and that person dies? (I see Kobe Bryant’s coin is pretty valuable)
  3. When will one be able to convert @bitclout back to BTC?
  4. What if this is a total Ponzi scheme?
  5. Unless a creator is buying their own coin, why would they set the parameter to less than 10%?
  6. Who is behind it?
  7. What will Creator Coins be used for besides gifts, promotions, getting a top Creator to re-tweet your tweet, answer an email or exclusive content?
  8. How did Sam Parr even cash out his Bitclout on ETH?
  9. Will Bitclout lead to canceling people for financial gain?
  10. How resilient is the Bitclout Community?
  11. Will this create utility for creators and their communities?

Regardless of your thoughts on BitClout, it’s an interesting asset class that’s tied to the reputation of an individual. But there are no withdrawals right now.

Rumors are flying that SHFT will be creating an asset class in the near future. Will this allow for liquidity in Bitclout? The Shyft Network could be the answer to cash in. What if people who were skeptical about Bitclout could cash in before Bitclout allowed to pull your money out? What if influencers like Sam Parr did exactly like Sam did but at even higher market caps? Listing this asset class is contingent on this asset class being tradable. Will this lead to a short-term decline in Bitclout and just be yanked right back up because of the huge institutions and community behind Bitclout?

With Coinbase scheduled to go public on April 14th, they definitely don’t want to mess with the hassle of dealing with creating a BitClout asset class. Is The Shyft network the answer? Maybe so considering that Binance is a pain in the ass and doesn’t accept American customers.

Lots of questions remain, and I am curious to see if this will be a short-term fad or a way for Influencers to cash in on their content in a way they don’t see on other social networks.