What happens in the case of receiving donations on Twitch, how donations are paid to streamers and what fees do PayPal and other payment options charge for transactions?
One of the coolest parts of being an online creator for an online platform is receiving all sorts of gifts from the community of people who follow you. Your followers and subscribers get to send you gifts as well as donations that can be later monetized.
When it comes to Twitch, streamers on the platform are allowed to receive donations from the people who follow and support their streams, but some might ask if these donations in any way go to Twitch.
Does Twitch get a portion of a streamer’s donations, or do streamers keep everything?
As with most other online and social media platforms, creators or streamers in the case of Twitch, are able to receive various gifts or donations from their community of followers.
For this to be possible, Twitch Streamers will need to set up their donations so they can receive them.
Donations are received through streams such as PayPal, and streamers need to set this up, so PayPal can process the donations a streamer receives.
Other digital currencies streamers can use include cryptocurrencies and Bitcoin as well as the option of using some third-party services such as Streamlabs.
Does Twitch take a cut of donations?
Inasmuch as it can be great to receive gifts and donations that you can exchange into money as a content creator for an online platform, there can be cases where either the platform or other parties involved in the processing of your donations and gifts might have to take a portion of what you have received.
People might be wondering whether this might also be the case with Twitch, and if Twitch gets a portion of a streamer’s donations.
However, this is not the case. Twitch will not take a cut from the donations received by a streamer, because donations received by streamers will generally be processed through the payment systems a Twitch streamer has chosen.
However, if a streamer uses PayPal for instance, it will charge fees.
Does PayPal take money from Twitch donations?
If a Twitch streamer has opted to receive their donations from viewers through PayPal, they will need to be aware that PayPal will charge them a transaction fee for each donation they receive.
PayPal currently charges a flat fee of $0.49 plus a 2.89 percent transaction fee for each transaction.
If a streamer happens to receive their donations from PayPal, they need to be aware that for every transaction that takes place, PayPal is charging fees resulting in streamers not receiving their donations in full.
It is not Twitch but PayPal in this regard.
How can streamers set up donations on Twitch
In order to receive donations on Twitch, streamers need to ensure that they have set themselves up to receive them.
To do this, they need to link their Twitch to the third-party service, for instance Streamlabs.
Click on “Dashboard” in the bottom left and then select “Account”, followed by “Settings”, then choose “Donation Settings.”
They then have to click on the payment system they would want to use to receive their donations, this could be PayPal.
The streamer then needs to connect the payment system with Streamlabs by linking it in Panels.
Using Bitcoin and cryptocurrencies to receive donations
Streamers also have the option of receiving their donations through Bitcoin and other cryptocurrencies such as Litecoin and Ethereum.
This is an option that is said to be fast, secure and with lower fees from transactions. Streamers can receive their donations as money that is transferred into their cryptocurrency wallets.
Streamers will have to set up their wallets to receive their donations by using the appropriate cryptocurrency wallet apps such as Bitpay, which is a popular one for first time users.
Thereafter, set up your wallet to receive or to link your Twitch profile.
Social media platforms and other online services where creators generate their content or stream have ways of allowing their creators and streamers to receive gifts and donations from their viewers, which can be exchanged for money and transferred to their accounts and chosen payment methods.
When it comes to Twitch, streamers can receive donations from their viewers, but Twitch will never take a portion of these donations, instead the services a streamer uses to receive their donations such as PayPal and others like cryptocurrency, will charge fees from the transactions of donations received by streamers.