📺 Stream EntrepreneurTV for Free 📺

YouTube Creators Can Now Receive 'Tips' Directly From Fans The feature, which was announced earlier this summer, has quietly launched.

By Laura Entis

entrepreneur daily

Opinions expressed by Entrepreneur contributors are their own.

Earlier this summer, Google announced that viewers would soon be able to 'tip' YouTube channel creators "at any time, for any reason."

Slightly over two months later, the feature has quietly launched. As noticed by Android Police, content creators can now accept donations directly on their YouTube pages. For viewers, this means that when you watch a video by a creator that takes tips, you'll see an icon in the left corner of the screen. Hover over it, and it will reveal a 'support' banner. Click on it, and you can choose exactly how much you'd like to donate.

How much money you give won't be made public – only the recipient will see the amount, Google explains, although if you'd like to leave a comment with your donation, it "will have a special badge next to it to let people know you supported (but the amount you selected will not be displayed)."

Related: Here's Why YouTube Video Creators Are About to Make a Lot of Money

Currently, Fan Funding is only available in the U.S., Australia, Japan and Mexico. YouTube takes a 5 percent cut from all donations, plus a small base fee (21 cents, if you donate from the U.S.).

Donations can be made via browser or with YouTube's Android app.

The feature has the potential to drum up quite a bit of money for a wide swath of YouTube creators, the vast majority of whom make almost no money from the platform's pre-roll ads.

"To put it really simply, any viewer can show any creator their love by tipping them," YouTube CEO Susan Wojcicki said in June. It will be interesting to see how this plays out – if creators are able to generate enough money to fund new projects, YouTube could become a possible competitor to crowdfunding sites such as Kickstarter and Indiegogo.

Related: Spinning Viral Stars Into One-Man Empires: The Rise of YouTube's Multi-Channel Networks

Laura Entis is a reporter for Fortune.com's Venture section.

Want to be an Entrepreneur Leadership Network contributor? Apply now to join.

Editor's Pick

Business News

The Met Museum, OpenAI Created an AI Chatbot With the Persona of a 1930s Socialite for a New Exhibit

The finale of the Costume Institute's latest fashion exhibit features a wedding dress worn 94 years ago by New York socialite Natalie Potter and an AI chatbot with her vibe.

Business News

Kevin O'Leary Says This Is a 'Huge Red Flag' When He's Looking at Resumes

The "Shark Tank" star took to X to share his opinions on job hopping — and how long you should really stay in a job.

Marketing

4 Things Ecommerce Startups Need to Be Careful About When Running A/B Tests

A/B testing is a powerful tool, but you should be aware of these aspects that people often overlook.

Marketing

10 Ways to Use AI for Hyper-Personalized Marketing

The future of marketing is not just about privacy and personalization. It's predictive, proactive and powered by AI.

Business News

'An Obvious Move': Elon Musk Suggests Warren Buffett Should Make This Investment Move Next

Berkshire Hathaway held its Annual Shareholder meeting over the weekend.