OnlyFans rewrote the porn rulebook, raking in billions while rejecting 2 in 3 creators

OnlyFans, the infamous adult content platform, has upended the porn industry as we know it—turning X-rated content into a multi-billion-dollar business and giving creators a direct line to their fans and finances.

Launched in 2016 by a wealthy Brit and now owned by a reclusive Ukrainian-American, OnlyFans has exploded into one of the most profitable platforms online. With over four million creators and 300 million paying users, it raked in an astonishing $2 billion AUD in revenue in the 12 months to November 2023.

Unlike traditional porn giants—where free content dominates and profits are thin—OnlyFans charges users to unlock videos, personalised chats, merchandise, and even bespoke requests. The company takes a 20% cut, rivalling the margins of ride-share and home-rental tech platforms like Uber and Airbnb.

Despite being banished from mainstream app stores like Apple and Google, OnlyFans managed to bypass hefty in-app payment fees, making its business model even more profitable. Its operating margin? A jaw-dropping 50%—beating tech behemoths like Alphabet and Meta.

The sheer scale of this financial success is staggering. OnlyFans paid its creators more than $8.2 billion AUD in just one year. That includes names like Australian influencer Anna Paul, British adult actress Bonnie Blue, and even pop star Lily Allen, who reportedly earned more showing off her feet on the platform than from Spotify streams.

Still, it’s not all glitz and glamour behind the scenes. Bonnie Blue, banned recently for an outrageous stunt involving over 1,000 men in one day, told The Economist she once earned $385,000 a month, bought a Ferrari, and ran a 10-person team. But most of her time? “At the desk, replying to messages and doing admin,” she said. “Being an online creator isn’t as glam as it seems.”

OnlyFans’ rise has also been credited to its relatively tight security. Unlike many shady adult platforms, it boasts a team of 1,500 to vet content and creators. In May alone, it rejected two-thirds of nearly 190,000 account applications. CEO Keily Blair likens it to a bank-level “know-your-customer” process—there’s no anonymity and no content encryption, allowing the platform to monitor what’s shared.

Its safety net even extends to viewers. In some markets, OnlyFans uses facial recognition to estimate a user’s age, helping to block minors. That’s in stark contrast to “tube sites” like Pornhub, which still struggle to tackle illicit uploads and underage content.

But as with any controversial empire, risks loom. Competitors like Fansly are snapping at its heels, while AI-generated porn continues to flood the internet for free. Legal threats are rising too: from Sweden’s new criminal rules around buying explicit custom content to Britain’s media watchdog, which slapped OnlyFans with a £1 million fine for missteps in age verification.

There’s also growing pressure from payment providers and investors uncomfortable with adult entertainment. Governments are taking a closer look too—Britain’s latest review warned of “increasingly disturbing content” being pushed online, and strangulation in porn will soon be banned.

Yet, despite the controversy, OnlyFans might be a bargain. Its estimated value of $12.3 billion AUD could triple if it followed the same profit multiples as Uber or Airbnb. And that’s before factoring in any growth since 2023.

Whether you see it as a digital revolution or the world’s poshest porn site, there’s no denying that OnlyFans has reshaped the adult industry forever—and made a fortune doing it.