Earlier quoted context omitted.
I recently did a 5 minute video on the history of digital advertising, with an introduction to Brave's model: https://youtu.be/LsrrT502luI . Per https://brave.com/rewards and https://creators.brave.com , users opt-in to Brave Rewards and begin participating with privacy-preserving Ads. Each ad nets you, the user, 70% of the associated revenue. Rewards come in the form of BAT, which moves more easily and comes with co…
I understand that money goes in through the advertisers: But how is that money sufficient to maintain the current websites? You watch fewer ads than before, which means (if the ads pay the same) that each website gets on average (i.e. if the split is the same as before) less money. As you describe it, only 70% of the ad-revenue actually reaches the user, meaning even if you watch the same amount of ads, websites get…
You're correct that publishers lose revenue when ads are blocked on their sites, but not blocking ads means users are at an increased risk of being abused by malicious third-party actors. This is one of the main issues with ad and content blockers: they keep users safer, but they take revenue from content creators.
Brave is working on a model that reduces fraud, increases rewards for content creators, and rewards users for their attention. This won't be built overnight, let alone over a few short years. That said, we are making tremendous progress, now settling over 8-figures each month for verified content creators.
As Brave matures and develops, more options will become available for users and content creators to earn more.
As for transaction fees when converting BAT, you are correct. There are often transaction fees involved. But those often depend on how much you're moving around, if you're buying or selling, etc. Uphold and Gemini (our other partner in this space) may also differ between each other.
You're right about heavily centralization around Brave too. This is why we're working on THEMIS (https://brave.com/themis/), a protocol for decentralizing the Brave Ads ecosystem. We recently wrapped-up an effort in that space and blogged about progress: https://brave.com/themis-rfcc-wrap-up/.
We don't have stats to share on how many Brave users are self-funding their wallets vs earning with Rewards. That said, the latter category is naturally going to be much, much larger. It is also not an either-or thing either; many people opt-in to Brave Ads and also buy BAT to supplement their attention-based earnings.
I don't think the goal is to get rid of ads entirely, but rather to yield power to the user. Not everybody has disposable income, and therefore many people would prefer to opt-in to privacy-respecting ads, earn rewards for their attention, and support the Web by those means. For those who wish to self-fund, that is possible. They don't need to opt-in to Brave Ads either.