Why myLot pays?

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Mylot is a paying social networking site. The more you are participating here, the more you have a scope of earning. There are many advertises also in this site. In discussion pages, after each and every discussions, these ads are found. As myLot is a very widely visited or high traffic site, (while writting this discussion, the site traffic rank of myLot is 4110, as per alexa) so invariably they have a huge number of ads. Apparently it seems that these ads are the main source of their business. At the same time, while submitting a discussion you are putting some tags. These tags bring the relevant ads in and arround your discussion display page. Primarily i find that this is the business of myLot. The more you submit tags, the more you participate here, the more these ads rotates. Thats why to maintain their site traffic (and as well as to have the frequency of ads) they pay you. Am i correct?