Steem Power Distribution - Top 100 Accounts Losing Control - 6 Weeks of Data...
After 6 weeks monitoring the Top 100 Accounts Control of Steem Power, I thought I would summarise my finding in a short post.
Data Origins: Week 8 / Week7 / Week 6 / Week 5 / Week 4 / Week 3
For those who follow my Weekly Statistics Post, you will have already seen these data points generated over the past 6 Weeks, however it is always useful to see the progression, so we can add a level of certainty to what will happen moving forward…
% Change in Steem Power Control - Top 100 Accounts:
I will be providing 2 data points. The @steemit account, control by @dan and @ned (call it the Steemit Development Account) currently controls 49.94% of Steem Power (223,191MV/446,913MV). This account is designed to fund the development of the Steem Blockchain moving forward, and thus, is designed to be redistributed over time. This account is in Power Down mode, to provide liquidity for funding various developments, and support the Steem Economic System.
Because of this fact, I calculate the Top 100 Accounts Control of Steem Power twice to both include this account, and discount it...
% Weekly Change in Top 100 Accounts Control of Steem Power (including @steemit account):
Week 1: -0.35%
Week 2: -0.36%
Week 3: -0.53%
Week 4: -0.26%
Week 5: -0.33%
Week 6: -0.35%
Top 100 Accounts Control of Steem Power:
Week 1: 90.09%
Week 6: 87.91%
Change: -2.18%
% Weekly Change in Top 100 Accounts Control of Steem Power (excluding @steemit account):
Week 1: -0.52%
Week 2: -0.56%
Week 3: -0.77%
Week 4: -0.37%
Week 5: -0.48%
Week 6: -0.50%
Top 100 Accounts Control of Steem Power:
Week 1: 78.84%
Week 6: 75.64%
Change: -3.20%
Summary
Over the last 6 Weeks, we have seen a consistent re-distribution of Steem Power away from the Top 100 accounts. Depending on which calculation you prefer, it is happening at a rate of around 0.35% or 0.50% per week. There are a number of factors which will affect the % level of re-distribution moving forward, however from the independent calculation I have made, I can say with a reasonable level of certainty that distribution away from the top 100 accounts will continue moving forward.
This rate will slow down if large Steem Power Holders stop powering down. This will begin to occur when the % of Steem Power to Total Steem hits 90% (or falls below that threshold). More information on this can be found here. We are currently at (154,045,738SP/163,567,765 Total Steem Supply) 94.17% and falling.
If you would like to read a more detailed explanation of why top Steem Power holders are losing control, check out one of my previous post…
I wish more of my hardline leftist friends would come experience how Steemit is working and evolving, to see how decentralized redistribution is something that can occur without theft.
did you read not the post? 30 accounts control everything ... steemit is NOT decentralized !!
But,... They are losing this power, and they will continue to lose this power moving forward... We are in the distribution phase of Steemit right now, and we will be in this phase for at least the next 12 months. Distribution will slow after that, however it will still continue
0.50% per week while they're consuming 80% too much SP, which means it will take 160 weeks ... good luck with that!
Your numbers don't work their, seeing as I am talking about % change and not Gross change. I don't believe anyone is looking for a situation where a given users SP control falls to zero either. The point is, Control is being distributed, and Steemit will continue to become more democratic and meritocratic moving forward.
This does not mean we will ever hit complete parity. This will never happen...
it's not about the numbers; I'm making a point, and the point is very clear, you just don't want to accept it because you're scared of your own feelings ...
unless dan and ned start a war with the corrupt whales ... steemit will die!
you know this to be true, you just don't want to accept it, because it gives you a negative feeling, so instead you tell yourself some BS ... just so you can feel good about it all
grow up already!
This is how all of nature works. When a complex, adaptive system is left to sort itself out, it will. But it takes time. Of course you will have extremely powerful individuals in a new environment that they build. But over time, power and wealth will disperse, and you don't need a central hand to achieve that dispersion.
nice theory ... if any of there were true ... why's the price crashing? why are users leaving?
We are certainly going through a period of price discovery, and painful distribution. $70m market cap. It's not all doom and gloom. I expect further pressure on price over the coming months, however once we hit 90% Steem Power to Steem, Power Downs will begin to fall, and I expect a level of support to come into the Market, as less Liquid Steem is produced per week..
as long dan and ned refuse to use their power to stop the corrupt whales; Steemit will die!
Up 19% today, but off a very low base and with BTC weakening.
ow, 19% up in 1 day, ok let's ignore the 1900% down in 3 months then ... hahahaha
Yeah, Steem is not currently decentralized and that is a great thing. If a new platform is too decentralized when it's young, there will be huge difficulties to coordinate the development. Now that there is enough centralization, most of the hardforks have been relatively easy to roll out.
When the platform matures, it can be decentralized and start to live it's own life.
sure, keep believing your own lies ... that always works out just fine, doesn't it
/sarcasm
Save for later
thanks for posting this btw. I have really enjoyed a number of your posts...
I had previously been wondering... if the largest accounts are powering down, yet they are able to earn rewards right back faster than everyone else, is there really any distribution going on? Looking at your data it shows that indeed there is, although it is extremely slow and it seems to really be crushing the currency...
I have been taking your advice about growing on steemit... take a look at my recent posts and see what you think :)
Thanks for sharing. Great to see the distribution in progress. If you have for example a top account it is still possible as I understand to setup more accounts on Steemit and direct some of the disributions there.
So to what would you conclude that data?
Control of Steem Power is moving away from the Top 100 Accounts, distributing to 'the rest' i.e. 'the masses'. This is happening in a uniform manner, week in week out. And I expect this to continue.
Yes i got that =)
I meant what do you think this re destribution means for the platform? In your opinion, is it good as it will equal out the votes?
Or is it merely a small power down that will not affect us greatly.
Will the equalibrium of upvoted after the distribution BE more equal or will the voting become more chaotic without the whales....
Apologise @serejandmyself I see what you mean now :)
My general thoughts and point is that, over time, the Steemit platform is designed to get 'fairer' and less centralised (in Power). This is one of the great aspects of Steemit, and the reason I don't concern myself with 'Whale' power.
This system is set up in opposition to real world economics, and many other crypto-projects where wealth is centralised, and either stays centralised, or becomes even more so over time...
it's too little too late; it's irrelevant ... steemit is dying
Ha, you really want you voice to be heard here. Your posts are very much subjective, and this post was merely about a single metric in a complex system. Numbers don't lie however, and power is being distributed away from the top 100 accounts. You can make your own judgement from there...
sure, numbers don't lie, but you do!
you're lying to yourself to make yourself feel good ... it's blatantly obvious!
I was just having a conversation about this last night.. I'm glad to see they are losing share... but I am concerned that the currency is crashing this much and the distribution is so small... IE a 2% (.4% each week) distribution is causing a 50% drop in the currency over the same period? That is scary moving forward
The currency crashing is a somewhat good thing at the moment. It makes it easier for new users to buy in and means they'll get a greater share of the total then they would otherwise have been able to buy.
I bought in to early and lost a lot due to the Steem price crashing, but I still think it's better for overall distribution that the price went down as it did.
Hi @ottodv - being new to cryptocurrency, I've only just begun to watch the markets on STEEM and SBD. I don't have a lot to invest but I'm committed to using a good portion of my earnings to investing...and of course, some to catch up on bills. What would you recommend a newbie like me to invest in? STEEM, SBD or a bit of both?
Investment wise, Steem and SBD are risky, but then all cryptocurrencies are. You can easily lose all your investment on a mistake. That's why rule #1 is to only invest that which you are willing to lose!
You shouldn't hold Steem for too long, but power it up to get interest payments, but that locks you in for a long time. Purely as an investment that may be an issue, but if you want to be part of the community, have your vote matter, etc... then I think buying some Steem Power can make sense.
SBD with 10% interest seems like a good thing as long as the peg to the Dollar holds more or less - which isn't 100% guaranteed.
I am not giving investment advice, just explaining the pros and cons, ultimately it's your decision, what suits you better, if it even suits you at all.
That's actually very helpful. I've been playing around with some Stellar that I've had kicking around just to get used to the tools. As my father used to say, the market is like legalized gambling. And another friend always said "Don't fall in love with any stock - it will break your heart."
I've been accumulating my Steem Power because I really like seeing the marker move up a few cents when I vote, but I admit I have no idea how Powering Down works except that it takes about a week to do what it's going to do.
Same here, I like my vote to have some meaning.
You can power down less than 1% each week though.
Replying to @ottodv here because the thread is 6 deep:
I attempted to power down a couple of weeks ago and then decided to cancel it. I didn't see an option to power down a portion of it and I didn't want to do all of it. Like I mentioned, I'm new and my votes aren't worth squat right now - but I don't want to have the attitude that it doesn't matter at this point either. I'm just a minnow making may way. :) Thank you for your responses. They are helpful.
@merej99 You should hold SBD and don't worry about steem. Steem is designed to go down in price for the next 2 years. SBD will always be about a dollars worth of steem and it gains 10% interest for holding it.
Declining x6 after an x16 increase is not crashing I think, it's rather something one can reasonably expect. Keep in mind also that STEEM is supposed to decrease in price due to inflation. Given a 100% effective market price would be declining constantly