TikTok quietly launched a new app that rewards users with money

ByteDance, the China-based company that owns TikTok, has quietly launched a new app over the past few months in France, Spain, Japan, and South Korea.

The app, called TikTok Lite and designed for users 18+, is a pared-down version of the flagship product that made “TikTok-famous” an adjective, but with one notable difference – it rewards people with money for using it.

• Each user is presented with a daily target of 3,600 coins, which can be earned by performing certain actions, including liking videos, following accounts, inviting friends, etc.
• These virtual points can be converted into Amazon vouchers, PayPal gift cards, or cash to spend during creators’ livestreams. For context, the app says its daily points target is designed to be reached in about an hour, with a payout equivalent to $0.38. Rewards for power-users are capped at $1.06/day.

Similar to in the US, TikTok’s user growth in Europe is slowing. According to a report from The Information ($) that cites internal company documents, TikTok Lite’s launch is designed to boost the company’s number of users on the continent.

But – also like in the US – regulators could stand in its way. TikTok has until today to respond to a request for information from European Union regulators, who are raising concerns about the app’s potential impact on minors, as well as the mental health of its users given the potentially addictive nature of its incentivization.