Instagram’s New Gold Rings Skip Cash. Creators Aren’t Thrilled

Instagram just launched something unusual. Twenty-five creators will receive actual gold rings plus special profile badges. But zero dollars.

The winners get chosen by a celebrity panel including Instagram boss Adam Mosseri, filmmaker Spike Lee, designer Marc Jacobs, and tech reviewer Marques Brownlee. So what’s the catch? Meta killed its cash bonus program two years ago. Now creators get jewelry instead of paychecks.

This raises an obvious question. Why is one of the world’s richest companies handing out rings when creators desperately need money?

The Money Disappeared in 2023

Meta shut down its Reels Play bonus program across Instagram and Facebook back in 2023. That program paid creators directly for making popular content. For many, those checks meant survival.

Creators vented their frustration online after losing the income. One Reddit user put it bluntly: “As stupid as it sounds, in this economy it was a blessing for my household to have the extra money coming in.”

Instagram chief Mosseri mentioned considering new compensation plans in June 2024. But nothing materialized. Meanwhile, competitors like YouTube and TikTok continue paying creators through revenue share programs.

In fact, YouTube announced it paid out over $100 billion to creators in the last four years. That’s real money supporting real businesses. Instagram offers rings.

Brand Deals Collapsed Too

The financial pain extends beyond platform payments. Brand deals dropped 52% in 2024 according to Kajabi survey data.

So creators face a double hit. Platform bonuses vanished. Brand partnerships dried up. Plus, the creator economy that seemed unstoppable just two years ago now looks fragile.

Instagram even tried paying creators to promote its platform on rival apps like TikTok and YouTube in January. Those deals have since ended too. The company seems uncertain how to support its creator base.

What Winners Actually Get

The new Rings award offers three things. First, an actual gold ring that winners receive physically. Second, a matching badge on their Instagram profile. Third, some profile customization options like changing background colors and custom like buttons.

Brownlee, who serves on the judging panel, emphasized quality over popularity. He said he nominated creators showing the most effort and risk-taking, not just big follower counts.

“It’s more about a special visibility and sort of incentive for people to work towards a really cool elevated recognition,” Brownlee told CNBC.

He added that recognition feels meaningful regardless of financial compensation. “No matter where you’re doing it, it feels good to know that it resonates with people.”

But does recognition pay rent? Not exactly.

The Bigger Problem Nobody Mentions

This program reveals something uncomfortable about platform economics. Social media companies built billion-dollar businesses on creator content. Yet they keep reducing direct financial support for those same creators.

Meta clearly has the resources to fund creator programs. The company’s market cap exceeds $1 trillion. So choosing symbolic rewards over cash payments sends a message about priorities.

Meanwhile, YouTube proves creator payments work at scale. Their $100 billion payout demonstrates that platform success and creator compensation aren’t mutually exclusive. You can do both.

Instagram’s approach feels different. It treats recognition as a substitute for money rather than a complement to it. That’s backwards in an economy where creators struggle to monetize.

Recognition Doesn’t Pay Bills

Look, recognition matters. Awards create credibility that can lead to opportunities. Plus, a panel of industry leaders judging your work carries weight.

But here’s reality. Creators need sustainable income to keep producing quality content. They need healthcare, equipment upgrades, and basic living expenses covered. Gold rings don’t accomplish that.

The timing makes this worse. Brand deals collapsed. Meta killed its bonus program. So creators face mounting financial pressure exactly when Instagram offers symbolic gestures instead of solutions.

This isn’t about being ungrateful for recognition. It’s about platforms acknowledging their responsibility to creator ecosystems they depend on.

Instagram built its success on creator content. Now it owes those creators more than jewelry and profile badges. It owes them real economic support that makes sustainable careers possible.

Until that changes, gold rings remain a nice gesture that misses the point entirely.