Yes, I have read several books that started out as fanfic, that then got published. Naturally the names etc were changed to protect the innocent. Eventually, the writers branched out and created their own characters and continue to get published.
If the talent is there it's there.
As a matter of fact, I read a story that was a crossover between movie characters and books characters. All due credit was given. I was so intrigued by the book characters that I ended up looking up the books and buying the whole series! This wouldn't have happened if I had never read the fan fiction.
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