Apr 20, 2021

The beauty of demonetisation

James Charles is a YouTube influencer who rose to fame after launching his own YouTube channel posting makeup tutorials. In 2019 Charles was reported to have a net worth of $12 million, and has over 25 million subscribers to his YouTube channel.

In early April, Charles posted a video to his YouTube channel titled “holding myself accountable”, in which he admitted that on two separate occasions he had become aware that he was exchanging messages with people who were under the age of 16. As a result of these incidents YouTube has demonetised Charles’ account.

YouTube has removed Charles from its Partnership Program. The Partnership Program is an agreement that exists between YouTubers and the platform which allows creators to monetise their content. YouTube has said that it has demonetised Charles’ account because it became aware of his behaviour both on and off the platform which YouTube believes may harm its users and community, employees and/or the YouTube ecosystem. It is worth noting that although YouTube has demonetised Charles’ account, much like YouTube did to its top earner David Dobrik in March, it has not removed Charles’ YouTube page or disabled his account. YouTube continues to allow Charles to keep creating and posting content for his subscribers. In the past YouTube has been criticised for maintaining adverts on demonetised content, with the assumption being that YouTube was still collecting advertising revenue despite the creator not being entitled to his or her share. On this occasion it appears as though adverts have been removed from Charles’ back catalogue of content, potentially to avoid the appearance of a monetary interest in YouTube demonetising creators’ accounts.

The use of influencers to promote and market products has become the norm for big brands in recent years. If you have any questions about them or how to deploy them in your business, please do not hesitate to contact the team at McDaniels Law on 0191 281 4000 or legal@mcdanielslaw.com.

Posted by: Tom Staveley in: Digital/Tech, Legal News

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