Twitch enables feature by default reportedly causing streamers to earn less money

Twitch enables feature by default reportedly causing streamers to earn less money
Twitch enables feature by default reportedly causing streamers to earn less money (Image via x.com/Twitch)

Twitch has enabled a feature by default that reportedly results in streamers earning less money from their payout. On May 27, 2025, streamer and professional gamer Lindsey "LuluLuvely" took to X to claim that the "Shared Discount Promotions" setting is enabled by default, which allegedly causes content creators to pay a portion of the discount for gifted Twitch subscriptions directly from their payout.

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Stating that settings like this should be disabled by default, LuluLuvely wrote:

"FYI Twitch Streamers - this new setting is ON by default. You're automatically opted into paying for part of the discount for gifted subs straight from your Twitch payout. Having it on means your viewers get a higher discount for gifted subs but you're paying for a part of the discount. IMO a setting like this should be off by default."
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Several netizens have responded to LuluLuvely's X post, with user @TheRealFurkan stating:

"Also important to say that disabling this means the viewers won't get the discount offer at all. Its a win-lose situation. I mean, this sharing the discount is a new thing. The past events this was always the case (except SUBtember iirc). Twitch wouldn't bring this limited discount back if it would work for both sides, no?"
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The Apex Legends creator responded by claiming that the setting "takes money out of" streamers' Twitch paychecks:

"yeah it sucks but should 100% be off by default. yeah but a setting that takes money out of your own twitch paycheck should not be on by default"

How does revenue sharing work with Twitch's "Shared Discount Promotions" feature?

Twitch's official support website explains how revenue is shared when the "Shared Discount Promotions" feature is enabled.

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According to the website, Twitch and the streamer "split discounted gift subscription revenue." Furthermore, their analysis found that gifted subscription discounts "drive a higher volume of purchases," which "typically more than offsets the reduced price."

An excerpt from the website reads:

"The revenue sharing during the promotional events described on this page work like this: Twitch and the streamer split the discounted gift subscription revenue. In promotions like this one, streamers will make their usual net revenue share on the discounted price the viewer paid. Our analysis shows that these discounts drive a higher volume of purchases and typically more than offset the reduced price. This means viewers get to gift subs for less, and streamers should earn more."
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Screenshot from the platform's official support website (Image via help.twitch.tv)
Screenshot from the platform's official support website (Image via help.twitch.tv)

Twitch made headlines on May 25, 2025, when they issued a one-day ban to political commentator Hasan "HasanAbi" for "improper handling of terrorist propaganda."

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Edited by Ashmita Bhatt
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