Livestream Tipping Clampdown: Bad For The Big Boys, But Worse For Small Fries

May 18, 2022 6:00 AM ETKSHTY, KUASF, JOYY
Bamboo Works
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Summary

  • Newly announced rules will ban minors from tipping their favorite livestreaming hosts and outlaw tip rankings.
  • Big platforms like Kuaishou have more balanced tipping structures and diverse revenues, meaning they could suffer less from the new policy than smaller rivals.
  • All the industry ups and downs of the past two years have taken a toll on companies’ stocks, many now trading near all-time lows.

Self-development Concept. Live Streaming on Notebook. 3D.

Tashatuvango/iStock via Getty Images

Like that livestreaming host you're watching online? Then leave a tip, no matter how small. Unless you're a minor, that is.

Tipping has become a pervasive practice in China's booming livestreaming industry, allowing popular show anchors to

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Bamboo Works provides news on Chinese companies listed in Hong Kong and the United States, with a strong focus on mid-cap and also pre-IPO companies. Our founding team has more than a century of experience in Chinese and global media and capital markets, working for names including the Wall Street Journal, Reuters, Alibaba and JPMorgan. Drawing on that background, we provide in-depth coverage to drive informed decision-making for investors and others interested in this dynamic group of companies, many of them overlooked by mainstream media.

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