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It makes complete sense and it would be for the best, therefore it will never happen
Not surprising at all this is happening if the intent is to make X less awful. (Which is something Nikita Bier has been trying to do since he was hired.)

Incentivizing content creation does at least two things: it puts virality ahead of everything (quality, correctness, legitimacy) and also creates disproportionately greater value for users in poor or emerging economies. Earning a dollar or two from a post means a lot more to someone from say, India, than it does to someone from the US.

The result has been a huge increase in bots and "legitimate" accounts farming engagement with rage bait and other content that makes X unbearable. Hopefully this helps improve the content, but wow what a massive misplay this whole thing was. Just a terrible, terrible idea from the owner who understands nothing about what made Twitter great.

The social media or anything really needs to be curated.

Tiktok was blatantly un-embarrassed about manual curation where they favor good-looking people, and that made the content good at the beginning.

X needs to do the same.

They're probably having trouble getting the ad revenue that would pay for it.
As soon as you start paying people to make content, you’re not social media - you’re just media.