Payment could be tied to a semi-annual or quarterly code contest where students compete in different "events". This could all be live-code-streamed. Judges are a collection of ______ (fill in the blank). The better the students in a particular course do, the more money that course creator gets. Funds for this prize could even be kickstarted, or funded by non-profits in the free-education domain, or through other means (prizes could even be free services from relevant start-ups?).
Just an idea for a jumping-off point.