Fintech paves the way for the designer economy in emerging markets


The booming designer economy introduces new revenue models, platforms and priorities into the global digital economy.

Where large advertisers have traditionally dominated, individual creatives are now gaining prominence as generators of revenue and content: the new engines of social media. But with this shift from platform to individual comes the urgent need for new financial tools to support individual creators in this new economy.

Traditional finance, geared towards large accounts, salary income and established credit, is insufficient. Instead, a new generation of fintech platforms are expected to propel the creator economy to new heights of influence and revenue around the world.

Opportunities in emerging economies

Nowhere is the power and promise of fintech in the creator economy more evident than in emerging markets, where high mobile usage, inadequate banking infrastructure, and an accessible creative economy are pushing creators into fintech at a rapid pace. fast.

As CEO of the largest live social media company in emerging markets, Asia Innovations Group (AIG), I see firsthand how fintech promises to further democratize the creator economy by opening the door to new sources. of income for those who remain behind traditional banks.

Using the smartphone

Mobile connectivity is a critical driver of the designer economy around the world. Armed with smartphones, creators can independently produce, edit and publish content and connect directly with their audiences.

In emerging markets, mobile is even more crucial to the designer economy as more people connect to the internet only through smartphones. And with 1.8 billion smartphone users in emerging markets, the the audience for creators is higher in emerging markets than anywhere else in the world.

At AIG, our model of supporting creators is based on direct virtual donations between creators and fans, so this large mobile audience translates directly into revenue for creators in emerging markets.

FinTech products and services

High mobile usage has also enabled the proliferation of fintech tools. For people without access to traditional banking services, accessing financial services through a smartphone is the only viable way to engage with a bank.

Mobile also offers new data streams that decrease risk and increase user loyalty for businesses. Together, fintech and the designer economy are opening new avenues to income stability.

Go beyond traditional financial services

As cash remains the dominant form of payment in most emerging markets, fintech has enormous potential to transform emerging economies.

By overtaking traditional banks, emerging markets are now at the forefront of fintech applications. Particularly for the many in emerging markets who have no credit history and are unable to access financial services, fintech is a necessity to engage in the digital economy.

For creators in emerging markets, fintech is the link that allows them to access and use their digital revenues.

Partnerships between the designer economy and fintech services provide critical infrastructure and enable greater participation and profitability for creators in emerging markets.

Alternatives to credit scoring

There is a growing variety of fintech products that allow creators to accumulate credit or cash in on their income, giving creators a stronger economic position and increasing the demand for creator platforms.

These resources allow creators to safely save, spend, and transfer income, as well as invoice invoices and link payments to a bank account.

For creators, access to financial services that allow them to build economic stability is a crucial safety net.

Fintech platforms help creators capitalize on their new capital by automating cryptocurrency investments, insurance and trading.

Fintech and the creator economy can mutually fuel demand by providing new sources of income and the tools to make that income usable and sustainable.

Accessibility to financial services

The accessibility of the creator economy is driving the demand for FinTech by encouraging more people to seek digital income.

In emerging markets, the designer economy offers an income stream that can supplement or even replace traditional income.

On Uplive, one of the largest platforms for creators in emerging markets with over 200 million registered users, every month we see thousands of people accessing new livelihoods and acquiring the tools to support themselves. needs and those of their families thanks to the economy of creators.

In 2021, creators in the Philippines, Vietnam, and Morocco, respectively, earned 59%, 63%, and 49% of traditional average monthly income from streaming on Uplive.

As more people turn to digital livelihoods, the demand for fintech tools that can support irregular incomes will skyrocket further.

An overview of the economics of creators in emerging markets

At AIG, we are seeing more and more creators using fintech services and banks such as Nubank, Paypal, Payoneer and Pix. These services and banks hire creators where traditional banks will not.

Uplive data shows that most of our users in major emerging markets of India and Brazil use these banking apps.

Many Brazilian streamers on Uplive received salaries and spent money the traditional way offline until they became streamers. Now, they simply cash online, bringing a new level of convenience when transferring money and investing.

In addition, streamers can now take advantage of interest rates to grow their savings.

Fintech and the designer economy form a natural pair that together will provide the opportunity to monetize passions to millions of people around the world.

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About the Author: Andy Tian is the CEO of Asia Innovations Group (AIG).

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