You are viewing a single comment's thread from:
RE: Chapter 2 of 11: Focusing on the Details of the Steem Wallet to learn as much as possible How to use it - Transfer Steem SBD - Convert it to ETH LTC Bitcoin or other Crypto - This is part 2 of the 11 Chapters (Full Guide) to help new people make their way
@sambillingham according to what I learned, people buy SBD because it is a more stable currency, it is pegged to the dollar in a minimum of $1 (this means it should not go below it), but it has no upwards maximum, so it can climb as high as its demand.
In another perspective, when we post and comment and get upvoted, the steem blockchain pays authors and curators with SBD in part and Steem. So this SBD can be used by trading it into steem and then power up more steem (I will be discussing about steem power in Chapter #3 soon), or we can convert SBD to any other crypto like BTC, LTC, ETH, by using @blocktrades , or by transferring the funds to an exchange.
Hope this answers your question a bit.
Regards, @gold84
Regards, @gold84
Thank you, appreciate the reply.
I found this video from @dan-atstarlite about the steem dollar and some speculation around it and how it is more stable like you mention above.
I guess I am still a little unsure who is buying up all the SBD the idea that it's minimum $1 does not seem enough. Everyday a high % of reward SBD must be traded out for other crypto or for steem to hold/power up and i struggle to imagine the demand for SBD being high enough. I wonder if i am missing some other mechanic in play or if it's as simple as the "market doesn't lie"