Summary

The article discusses Medium's earning framework, comparing it to Bitcoin's halving method, and explains how the platform's payout system works by halving the value of each read, which counters automated reading and ensures fair compensation.

Abstract

The author attempts to clarify the often misunderstood Medium earning structure by likening it to the Bitcoin halving method, where the reward for mining is halved every four years. On Medium, each account has a daily worth that cannot be exceeded, and the value of each read is halved as the number of reads increases, starting from a base rate of $0.166 for the first read. This system is designed to prevent abuse from bots and automated tools. The article also touches on the relationship between followers, traffic, and earnings, suggesting that while followers do not directly influence earnings, they can impact traffic, which in turn affects earnings. The author provides examples of story stats and encourages readers to focus on engagement rather than earnings.

Opinions

The author believes that Medium's earning system is designed to run smoothly and fairly compensate writers without the platform going out of business due to excessive reading.
It is assumed that there is a complex formula behind the pay rate for reads, which decreases exponentially with each subsequent read.
The author suggests that the number of followers indirectly affects earnings by influencing traffic to the writer's content.
The article implies that Medium's business model is sustainable and that writers should concentrate more on writing and engagement rather than obsessing over earnings.
The author encourages readers to engage with the content by leaving comments or clapping, indicating the importance of reader interaction for a writer's success on the platform.

Still Thinking About How Medium Earning Works? It Runs Like This. (BTC Halving Method)

If each member has a limited amount of give power then it all make sense.

I’ll take one more shot at Medium earning framework. Hope this one sticks.

Facts: Medium will not payout more than your accounts daily worth to another writer.

Put BTC Halving Method (reward for mining split in half every 4 years) into earning paywall by halving each read per person or account, which the more you read turns into the less you give per read per day. (this actually counters bot reading and other system taking advantage of the platform with automation tools)

$5/30 days = 0.166 per day. That is a base setting for each read if a person only read 1 post per day. (For Friends on Medium would be in different multiple but idea is the same)

My assumption is that the read pay rate goes like this: (no matter how complex it is, there is a formula behind it)

1st read, = 0.166 (+- adjustments)

2nd read, 0.166/2 = 0.08 (+- adjustments)

3rd read, 0.08/2 = 0.04 (+- adjustments)

4th read, 0.04/2 = 0.02 (+- adjustments)

5th read, 0.02/2 =0.01 (+- adjustments)

This the platform can run smoothly and also compensation without worries.

Just look at the post that earns pennies and you’ll get a better picture of what I mean.

Medium is not going to go out of business because you read too much.

When I first join on Medium I did some research into their business model, which learning and creating business model is something I like to do when I see something is not adding up.

Although follower does not directly counts towards earning, yet the traffic depends on it, as my following grow slows down so does the traffic and will directly effects earning this way.

Image of Story stats as of 1/12/24 8PM EST

Image of the engagement, look at the follower it gain, the main reason it gain that traction

Updated 1/14/24. A reminder to look at the engagement section as well, the earning does comes in combination that is being add or minus when it is adjusted.

Divide the earning per day by reads for each day and there is a slight difference. (they could also put a time duration on the post earning that might be why the first or earlier day earning is worth more than the later day earning per read.)

Hope this post can help you think less about earning and focus more about writing and engagement.

Thanks for reading. (any thoughts, leave a comment, claps are accepted as well) This is just an imaginary post take it with a grain of salt.

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