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RE: Taking a Realistic Look @ Steem Value & Growth

in #steem8 years ago

This analysis is overlooking what STEEM really is. It is important to distinguish STEEM and STEEMIT. You cannot compare STEEM, a cryptocurrency with Reddit. But you can compare the platform of STEEMIT with Reddit. STEEM value is universal in social media. It can transfer to Facebook, YouTube or Reddit when adopted. STEEM can even go furthers as being used for payments in everyday life. My conclusion; you cannot compare STEEMIT with STEEM. One is platform, and other is currency

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The currency (Steem) derives its value from what is created on Steemit. Although one is a platform and one is a currency, they are interlinked. It's like saying bitcoin (the currency) is different from bitcoin (the blockchain).

Well, not exactly. Don't forget that there is a price-stable currency (Steem Dollars) built into the platform. And an ecosystem (including a marketplace as well as applications beyond Steemit.com) will be built around Steem Dollars. So Reddit is really only good for a very, VERY rudimentary basis of comparison. All in all, when you a) consider the above reality, and b) do a real calculation of the market cap (factoring in only liquid STEEM), it starts to look like STEEM is undervalued, perhaps vastly so.

Hello tombstone. I'm glad you explained this, as I was about to post an article about it. Where can I find more detailed information about this? Can you give me a link?

why is it that only 8 of the 25 whales on http://steemwhales.com/ are holding Steem Dollars, and those that are holding are only holding a very small amount relative to their total estimated value on the platform?