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  "docSlug": "4a1cd2416c13",
  "documentTitle": "Joyy Inc. (YY)",
  "authorId": "51_Muddy_Waters",
  "authorName": "Carson Block",
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  "sourceTypeSlug": "short_seller",
  "sourceTypeLabel": "Short seller",
  "presentationDate": "2020-11-18 00:00:00",
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  "notes": "Uses a specific case study (Cuiazha) to illustrate broader platform-wide revenue inflation allegations.",
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      "kind": "callout",
      "text": "The magnitude of this alleged pay discrepancy suggests that revenue on her channel could be overstated by over six times.",
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      "text": "Cuiazha",
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      "kind": "paragraph",
      "text": "He brought up Cuiazha, the #16 performer on YY during our four-month monitoring period, highlighting her headline annual earnings of RMB 60 million in gifts and claiming that her real earnings were from a monthly salary that was much lower.",
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      "text": "“Cuiazha looks really big-time,” he said. “How much does she earn every month? Take a guess.” Without even waiting for our investigator to respond, he breathlessly continued, “The contract with her is that she can only have a monthly salary of just 150,000 - 200,000 RMB for the next two years. All the rest is the company’s.”",
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      "text": "In other words, he was saying that Cuiazha agreed to an annual compensation package equal to ~$300,000, or just 4% of her supposed gift total. If this is correct, which we believe it is based on our other research, it speaks volumes about the revenue inflation at YY. In Cuiazha’s case, she seemingly should be entitled to approximately RMB 15 million in gift revenue sharing per year, as channel owners generally remit 20% to 30% of the virtual gift revenues received by performers. The magnitude of this alleged pay discrepancy suggests that revenue on her channel could be overstated by over six times.",
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      "text": "“Cuiazha looks really big-time,” he said. “How much does she earn every month? Take a guess.” Without even waiting for our investigator to respond, he breathlessly continued, “The contract with her is that she can only have a monthly salary of just 150,000 - 200,000 RMB for the next two years. All the rest is the company’s.” — Anonymous source",
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      "kind": "source-note",
      "text": "32 http://www.bestchinanews.com/Fashion/18739.html 33 According to the performer agreements with the platform, channel owners receive ~50% of the gifts income, of which 20% to 30% of that 50% would be retained by those Channel owners.",
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