Will the rise of the "creator tokenization" narrative become the next hundred billion dollar market?Original Title: Liquid Markets for Creators Coins

Original Title: Liquid Markets for Creators Coins - $100B Market Opportunity

Author: hitesh.eth, Founder of dyorcryptoapp

Compiled by: Ashley, BlockBeats

Editor’s Note: This article explores how creator tokenization allows fans, investors, and brands to directly participate in the growth of creators, driving market transactions and value discovery. As the creator economy market size surpasses $500 billion, tokenization models can help brands lock in early collaboration opportunities and leverage DAO governance to co-create business decisions with fans. The financialization of the creator economy is becoming an inevitable trend in the Web3 era, potentially reshaping the interaction between social media and financial markets.

The following is the original content (reorganized for readability):

Creators are essentially like startups, but one key difference is that in startups, investors can invest and bet on their growth at different stages, whereas in the creator space, fans or investors have not been able to directly participate in their growth. Whether it’s a startup or a creator, the core of growth lies in whether consumers are willing to pay for their products or services. The products or services of startups typically revolve around a problem to be solved, while the products of creators are their content itself. This content, as a product, fits into various interest-driven niches, catering to the needs of different audiences.

Speculative Characteristics of Startups and Creators

Startups operate in a highly speculative environment where investors bet on early-stage companies, hoping they can scale quickly and become profitable. The valuation of startups typically depends on market attractiveness, user growth, and revenue potential. This speculative logic also applies to creators, but there is currently no formalized investment structure that allows fans or traders to participate in the growth of creators. The lack of liquidity in the creator economy signifies an untapped market opportunity—if creators can be tokenized, speculators can trade their growth potential just like betting on startups.

Speculation on creators could become a significant opportunity for traders and investors. Just as startups go through hype cycles, with their valuations changing based on market recognition, creators also experience similar cycles—where influence grows due to viral spread, strategic collaborations, and media exposure. The reputation, engagement rate, and ability to convert traffic into revenue of creators are quantifiable metrics that can serve as speculative bases for their tokenized value.

The 0-1 and 1-10 Journey of Creators

The growth path of creators is similar to that of startups, going through the 0-1 and 1-10 stages.

• 0-1 Stage: This means breaking barriers, entering a niche market, building an initial audience, and continuously optimizing content strategy. Many creators stop here, just as many startups fail before finding product-market fit.
• 1-10 Stage: This means scaling up. Creators begin to establish brand collaborations, secure commercial sponsorships, and monetize traffic at this stage. At this point, creators are no longer just content producers but gradually evolve into a complete business entity. This transition is similar to the process of startups growing from small teams to mature companies.

Today, many consumer-focused startups and creators have become part of the same ecosystem, with similar goals: selling two types of products to users—content itself and brand promotions embedded within the content.

The Scale and Future Potential of the Creator Economy

The creator economy has grown into a multi-hundred billion dollar industry, with the market size expected to exceed $500 billion in the next decade. Currently, millions of creators produce content daily, and brands are investing heavily in influencer marketing. In just 2023, global influencer marketing spending exceeded $20 billion, and this figure continues to grow as brand budgets shift towards digital-native advertising.

The tokenization of the creator economy is expected to give rise to a new asset class. Within the next three years, the valuation of the creator token market could easily reach $100 billion as more creators adopt token-based monetization models. Establishing a liquid trading market for creator tokens will provide investors with a new investment domain, allowing them to bet on emerging influencers and form price discovery mechanisms based on social influence, audience growth, and brand collaboration flows.

Creator Tokens and Brand Collaborations

From a brand's perspective, locking in creator collaborations early is crucial. Brands often want to establish partnerships at a discounted rate before creators go viral. After tokenization, brands can benefit from the growth of a creator's influence by purchasing and holding their tokens. This not only provides brands with preferential collaboration rights but also ensures they have access to more valuable advertising resources after the creator's success.

If the value of creator tokens rises with their influence, brands holding these tokens can profit from discounted sponsorship fees and capital appreciation. This model encourages brands to invest long-term in promising creators rather than just paying one-time advertising fees.

Fans as Brand Managers: DAO Governance in Creator Collaborations

By introducing a DAO governance model, fans can deeply participate in the business decisions of creators, fundamentally changing the way brand collaborations work.

• Fan Voting Decisions: Brand collaborations for creators will be decided by DAO members (i.e., token holders) through collective voting, rather than being unilaterally chosen by the creators. This ensures that brand collaborations align with the audience's needs and values.
• Revenue Sharing: Revenue generated from brand collaborations can be distributed to governance token holders through staking reward mechanisms, making them direct stakeholders in the growth of creators.

As long as creators remain relevant, their influence and traffic will grow, further driving token trading volume and investor interest, thereby increasing the value of creator tokens. DAOs will act as decentralized brand managers, ensuring transparency and fairness in collaborations while providing sustainable profit models for creators and their communities.

The Future of Creator Tokenization

Creator tokenization is not just a conceptual innovation but an inevitable trend in the development of the digital economy. The rise of Web3, DeFi, and tokenized assets creates a perfect environment for the prosperity of the creator token market. The speculative market built around the creator economy could fundamentally change the power structure of social media, allowing creators, brands, and fans to participate together in a new financial system.