Originally Posted by NoWhErE

Producers get a percentage of the ad space sold for every view their video generates. What the CPM rates vary a lot.

Does it pay well? That depends on your definition of what pays well. I think some producers make a nice living from it once they figure out how to build an audience.

Is it a scam? Depends on your definition, but I think the consensus would be "no" since they do pay out.