Supply of Steem Decreasing!
So much has been said about how much STEEM is being created every day, but many may not realize that in the past 3 days the supply of STEEM has decreased!
You see on July 4th the Steem network created about $350,000 worth of STEEM Dollars out of about 1.5M STEEM. The network went short-dollars and since that time the value of STEEM has grown almost 3x ($20M to $60M) This means that those Steem Dollars are now backed by just 0.5M STEEM.
Once the price feed catches up (3 day lag) you will see the virtual supply of STEEM start decreasing.
Granted, if the price falls much of this would be reversed.
The Point
Steem Dollars give the entire network leverage and amplify the gains (and losses) of those who hold STEEM and Steem Power.
All numbers are estimates, I didn't take the time to research exact numbers. Someone can probably reply witha comment containing more accurate numbers.
Is this the reason for lower average payouts recently? Is there anything we can do to help?
No, the payouts appear lower because of increase competition and the price feed has a 3 day lag. The reality is that most payouts are currently about 50 to 100% higher than displayed (if you use current market price).
We use a 1 week average to prevent abuse of price feeds and market manipulation.
lol i was about to say "great post and answer...you know your stuff". but then i saw the username and realised why. :)
still getting an upvote either way.
Thanks for explaining that, I couldn't figure out the math on it.
So the payouts we have gotten will be revided later? I dont think i follow. Thanks!
man...i LOVE responses asking questions like this.
The payouts might appear to be lower because of the dollar amount, but notice the amount of Steem Power you're being rewarded. You're getting it at the prices of 3 days ago, prices have shot up so that Steem Power is much more valuable.
Hey, is there any info about account levels/restrictions based on age/steempower? Couldn't find it on the whitepaper or anywhere else.
What I mean by it mostly is submitting posts, and the timer restrictions of how many you can post/day and does it depend on steempower of said account or not.
To some extent it does. Steem Power impacts your bandwidth rations. But most users don't hit this. Usually you will hit the 5 minute (top level post) and 20 second comment rate limits.
The idea is that if you can post faster than every 5 minutes it probably isn't original content.
I was reading the whitepaper yesterday and it said something about a delayed payout if bandwith usage is higher than the average. What does that mean exactly? Oh and while you are here, what are activity shares and are activity rewards something that will be implemented in the future? I saw it on steemd.com
Also here are a couple ideas I had for steemit that would be nice to get them implemented: https://steemit.com/steemit-ideas/@getssidetracked/steemit-ideas-and-suggestions
Would appreciate it if you could give them a quick glance and let me know what you think. :)
Thanks
Activity rewards were implemented as a proposed alternative to curation rewards during the "big debate". Currently they are set at 0 and will probably be removed.
Thanks for the reply.
right now on bittrex there is 255x more demand than offers! It's still poise to go parabolic for sure.
Careful with using the order book to assess demand, I could put in an order for a few bitcoins at the lowest price value (1 satoshi or something) and all of a sudden the steem on the orderbook would shoot up and look like there's huge demand, if you only look at the amount of Steem.
I think it's better to look at the bitcoin numbers on bittrex, and the volume going through. Volume mainly, whihc is multiples higher than it was pre 4th july.
:)
this could finally be a hit @dan - you deserve it to be honest...
also, could you give a status update on planned features? posted my thoughts here https://steemit.com/steemit-ideas/@ash/what-i-m-currently-missing-in-steem
Price was peaking at $1.60 a few hours ago but now it's dropped to $1.26. Good signs.
You can’t sell the cow and drink the milk
Is there any guide how to use steem power or how can we earn steem in best way? Is good idea to buy steem power f.e. 500?
wow never knew of this good to know.... thanks for this informative post
there is a bubble forming up and sooner or later its going to explode but this things always happen so nothing to worry about