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What Is YouTube Shorts Fund?

Neil Ruaro·Founder, Conbersa
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The YouTube Shorts Fund was a $100 million pool that YouTube distributed to short-form video creators between 2021 and early 2023. It served as YouTube's first monetization program specifically designed for Shorts, paying eligible creators monthly bonuses based on viewership before the platform introduced ad revenue sharing for short-form content.

YouTube launched the fund to compete with TikTok's Creator Fund and incentivize creators to publish vertical video on the platform. Unlike traditional YouTube monetization through AdSense, the Shorts Fund operated as a bonus program with capped payouts rather than a per-view revenue model.

How Did the YouTube Shorts Fund Work?

The fund operated on a monthly selection cycle. YouTube's team reviewed Shorts performance across the platform and notified qualifying creators through the YouTube Studio app. Creators did not apply for the fund. Instead, YouTube selected them based on performance metrics.

Each month, selected creators received a bonus ranging from $100 to $10,000. The amount depended on total Shorts views, audience engagement, and the geographic distribution of viewers. Creators had to claim their bonus through YouTube Studio within a specified window.

According to YouTube's official creator blog, the fund was distributed across creators in over 100 countries. Eligibility required creators to have uploaded at least one eligible Short in the previous 180 days, be at least 13 years old, and comply with YouTube's community guidelines and monetization policies.

Why Did YouTube Retire the Shorts Fund?

The Shorts Fund had structural limitations that made it unsustainable as a long-term monetization path. The fixed $100 million pool meant that as more creators joined and view counts grew, the per-view payout decreased. Creators consistently reported unpredictable earnings with no clear connection between views and payment amounts.

YouTube recognized this. In September 2022, they announced that the Shorts Fund would be replaced by ad revenue sharing through the YouTube Partner Program starting in February 2023. According to YouTube's announcement, the new model was designed to provide "a more direct and sustainable path to monetization."

The transition reflected a broader industry shift. TikTok's Creator Fund faced similar criticism for its declining per-view rates, and platforms began exploring ad-based revenue sharing as a more scalable alternative.

How Does the New Shorts Monetization Model Work?

Starting February 1, 2023, YouTube began sharing ad revenue from Shorts with creators enrolled in the YouTube Partner Program. The mechanics differ significantly from both the old fund and traditional long-form YouTube monetization.

Ads appear between Shorts as viewers scroll through the Shorts feed. YouTube pools the revenue from these ads and allocates a portion to creators based on their share of total Shorts views. Creators keep 45% of their allocated revenue, which is a lower split than the 55% creators earn on long-form content.

The 45% split accounts for the music licensing costs that YouTube absorbs. Many Shorts use licensed music, and YouTube pays publishers and labels from the creator revenue pool before distributing the remainder. Shorts that use original audio receive the same 45% split for consistency.

What Are the Eligibility Requirements Now?

YouTube offers two tiers of Partner Program access for Shorts creators.

Full monetization requires 1,000 subscribers and either 10 million Shorts views in the past 90 days or 4,000 hours of long-form watch time over 12 months. This tier unlocks ad revenue sharing on both Shorts and long-form content.

Fan funding tier requires 500 subscribers, 3 public uploads in the past 90 days, and either 3 million Shorts views in 90 days or 3,000 hours of long-form watch time in 12 months. This tier unlocks Super Chat, Super Thanks, and channel memberships but not ad revenue on Shorts.

These thresholds are substantially more accessible than the original YPP requirements, which only counted long-form watch time. According to YouTube's support documentation, the expanded criteria were specifically designed to open monetization to Shorts-first creators.

How Much Do Creators Earn From Shorts Ads?

Earnings vary widely based on audience location, content category, and seasonal ad demand. Early reports from creators suggest earnings between $0.01 and $0.06 per 1,000 Shorts views. This is significantly lower than long-form CPMs, which typically range from $2 to $12 per 1,000 views.

The math still works for high-volume creators. A channel generating 50 million Shorts views per month at $0.04 CPM earns roughly $2,000 monthly from Shorts alone. That is more predictable and scalable than the old fund's $100 to $10,000 monthly cap.

According to a Hootsuite analysis of YouTube statistics, YouTube Shorts surpassed 70 billion daily views globally in 2024. This massive view volume means even low per-view rates generate meaningful revenue at scale.

How Does Shorts Monetization Compare to Other Platforms?

YouTube's ad revenue sharing model gives it a structural advantage over TikTok and Instagram Reels for creator monetization.

TikTok's Creativity Program replaced their original Creator Fund and pays creators for videos over one minute long, effectively excluding the shortest content. TikTok does not share ad revenue on standard short videos.

Instagram Reels experimented with bonus programs similar to YouTube's old fund approach but has not launched a permanent ad revenue sharing program for Reels creators as of early 2026.

YouTube's model is the only one that provides ongoing, view-based ad revenue sharing for short-form content. This makes it the most attractive platform for creators who prioritize direct monetization from their content.

What Should Creators Do Now?

The transition from the Shorts Fund to YPP revenue sharing changed the strategy for Shorts monetization. Here is what matters now.

Hit the subscriber threshold first. The 1,000 subscriber requirement is the main gate. Creators should focus on building a subscriber base through consistent posting and clear calls to action. Cross-promoting Shorts from other platforms can accelerate this.

Post consistently. The 10 million views in 90 days threshold rewards volume. Posting 3 to 5 Shorts daily gives creators more surface area for viral moments and steady view accumulation.

Diversify beyond ad revenue. Shorts ad revenue alone rarely sustains a full-time creator. Use Shorts as a discovery engine to drive viewers toward long-form content, channel memberships, merchandise, or external products where margins are higher.

Think multi-platform. The same vertical content that performs on YouTube Shorts can drive reach on TikTok and Instagram Reels. According to Statista's social media data, short-form video consumption spans all major platforms, and creators who distribute across multiple channels capture more total audience.

For teams distributing Shorts at scale across multiple channels, Conbersa provides an agentic platform that manages multi-platform posting while maintaining consistent quality and format specifications.

What Is the Bottom Line on the YouTube Shorts Fund?

The YouTube Shorts Fund served its purpose as a temporary incentive to bootstrap the Shorts ecosystem. It is gone now, replaced by a more sustainable ad revenue sharing model through the YouTube Partner Program. Creators earning from Shorts today benefit from a scalable system tied directly to their viewership rather than a capped bonus pool. The per-view rates are low compared to long-form content, but the volume potential of Shorts makes the model viable for creators who post consistently and build subscriber bases.

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