The monetary amount TikTok retains from virtual gifts sent by viewers to creators during live streams is a significant aspect of the platform’s economy. These gifts, purchased with TikTok Coins, are converted into Diamonds, which creators can then redeem for cash. The percentage TikTok deducts directly impacts the earnings potential of content creators using the live streaming feature.
Understanding the revenue distribution model is crucial for creators to strategically utilize the gifting system. It influences their content creation decisions, engagement strategies, and overall financial planning on the platform. Historically, the specifics of this revenue split have not always been transparent, leading to calls for greater clarity from the creator community.