Zhang Qige, a 23-year-old woman who plays computer games and chats on her webcam, attracts hundreds of thousands of real-time viewers at once. She has more than 2 million subscribers on the website Douyu TV and an average viewership of 400,000 for each nightly show.
"They like me chatting with them," explained Zhang, who says she earns more than 1 million yuan a year (USD 150,000) from her performances. "They feel like I'm talking to them face to face."
But their popularity also reflects the loneliness of Chinese urban life as well as the growing surplus of single men, blamed in part on the country's former one-child policy.
Much of the content on various live streaming sites could be considered seedy, and some goes well beyond the borders of good taste. Many female broadcasters wear revealing costumes, and authorities recently cracked down after live pornographic scenes were broadcast on at least two sites. In one case, 34 people in the central province of Anhui were arrested for taking part.
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The ministry said online live-streaming platforms draw around 200 million users, with major sites running several thousand live-streaming "studios" simultaneously.
These sites derive a small proportion of their revenue through advertising. They survive primarily through a practice invented by Chinese companies: virtual gifting.
Viewers can buy these imaginary gifts such as images of flowers or bottles of beer for their favorite performers, who receive a portion of the cash, with the site getting a hefty cut.