I agree, I don't see this model being successful in the long term.

It is undesirable to hold SP and even more so STEEM. What about SBD you say? Well, to me it looks a lot like current fiat systems, handing out candy that you don't have. But debt-to-ownership in a stable market can not exceed 1:19 you say? Well I'm not sure that's as great as it sounds. Let's look at the numbers:

• Current Steem cap is ~$20M
• 24h volume is ~$5.5k

Do you think the market would be able to absorb ~$1M sellpressure in STEEM? The extremely poor distribution and the locking of STEEM artificially pumps the market cap to levels where 1:19 debt-to-ownership is just a joke, imo.

I guess the conclusion that BM drew from the last 2+ years is that artificial pumping and free stuff for everyone is just a lot easier to market than a platform like BitShares.