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Out of regulatory considerations, OnlyFans will ban pornography on its platform, avoiding creators who have helped the British company become one of the fastest-growing social platforms in the world.
The company said late on Thursday that from October 1st, content “contains pornography” will no longer be allowed in order to “comply with the requirements of our banking partners and payment providers.”
Nudity will still be allowed, and the company said it will release more detailed guidelines to its more than 2 million creators in the coming days.
“In order to ensure the long-term sustainability of the platform and continue to have an inclusive community of creators and fans, we must develop our content guidelines,” it said in a statement.
This unexpected move will shock adult performers, many of whom have already Flock to the platform During the pandemic, the blockade hindered the production of more traditional pornography.
The company’s founder and CEO Tim Stokely told the Financial Times in April that he “has no plan to shut down adult creators.”
The platform is a platform for sex workers, celebrities and influencers to collect pictures, videos and customized content from fans. Last year’s transaction volume increased by 615% to 1.7 billion pounds. Before this decision is made, this year’s pre-tax profit is expected For 300 million pounds.
A person close to the company said that Leonid Radvinsky, the director and major shareholder of the company, recently made this decision because the stigma of pornography makes it attractive for new businesses. Partners are becoming more and more difficult.
OnlyFans is not sure that the decision will have a short-term impact on revenue, but the directors estimate that it may fall by 25% in the coming months.
“You can be the world’s largest pornography website, or you can have a social media platform with an amazing business model,” a person close to the company said, explaining that OnlyFans will now try to accept more mainstream Facebook’s Instagram and TikTok, etc. platform.
“To be fair, they lost potential partners because [their] The board will say [porn] The reputation risk is too great,” the person added.
OnlyFans also faces high processing costs from payment providers such as Visa and Mastercard, which charge higher rates to companies in the adult industry.
The company has been preparing in recent months Sale of shares In order to attract new investors, people close to the company said that the plan has been suspended while considering major changes to its business model.
YNOT, a news provider and event organizer in the adult industry, told the Financial Times that these changes will “harm thousands of women, men, and historically marginalized people who rely on the platform for safe income from their homes.”
It added that adult content creators should ensure that their sources of income are diversified, as the rules on social media platforms may become stricter, as the prolonged war on the porn industry has been revitalized in recent years.
“Certain media experts… continue to mischaracterize our industry, lack nuance, and cause unnecessary difficulties for many people trying to live an honest life,” the organization added.