Right now it is pure speculation. If you think it will go higher, then hold until then. If you think it will stay where it is or go lower, I would recommend selling. You can sell for STEEM, or some currency to cash out (like BTC, LTC, ETH), or some other alternate currency on an exchange that you think has potential to go up.
I'm wondering how much inflation there is currently in SBDs. If the "up pressure" that comes from speculation boosting price did not vary and was in fact a fundamental economic parameter, perhaps estimated in "deflation", how fast an inflation of the money supply do witnesses estimate would be necessary to zero it out and thus break this hypothetical fundamental trend? Again, if the underlying pressure remained the same and was not actually driven by speculation beyond a fundamental paremeter. Speculation can of course in reality pick up and vary either direction in spite of any fundamentals and is as such not in your control.
No need to present me with anything here if there's no such information currently, but it might be interesting to consider. Also, merely having the current calculated inflation presented on the sites in our wallets could help with the education part and drive price closer to it's intended range around 1 dollar.
But is there not in fact a way to cause more inflation to the SBD? I thought witnesses could tie up more Steem and thus create more SBDs, hence causing inflation past that point.
Edit: I think I'm confusing myself now. This was likely in fact what was talked about implementing.
Happy I'm not a witness currently. You guys have a lot on your plate.
We have a way to increase SBD production by using a bias on our price feeds (telling the blockchain that the marketcap is higher than it actually is) but a lot of witness including myself are against doing that.
I can see why. Nevertheless, I hope this topic does not rest and that we at some point get a human group consensus as to a solution or that we decide simply that it's not worth keeping SBDs in the form they were attempted to be implemented.
If nothing else, we should make sure everyone knows (through UI, wikis, updated white papers and otherwise) that their price could fluctuate wildly.
Right now it is pure speculation. If you think it will go higher, then hold until then. If you think it will stay where it is or go lower, I would recommend selling. You can sell for STEEM, or some currency to cash out (like BTC, LTC, ETH), or some other alternate currency on an exchange that you think has potential to go up.
I'm wondering how much inflation there is currently in SBDs. If the "up pressure" that comes from speculation boosting price did not vary and was in fact a fundamental economic parameter, perhaps estimated in "deflation", how fast an inflation of the money supply do witnesses estimate would be necessary to zero it out and thus break this hypothetical fundamental trend? Again, if the underlying pressure remained the same and was not actually driven by speculation beyond a fundamental paremeter. Speculation can of course in reality pick up and vary either direction in spite of any fundamentals and is as such not in your control.
No need to present me with anything here if there's no such information currently, but it might be interesting to consider. Also, merely having the current calculated inflation presented on the sites in our wallets could help with the education part and drive price closer to it's intended range around 1 dollar.
The Steem blockchain has approximately 9% yearly inflation based on the USD marketcap of STEEM.
Of that, 75% goes to the rewards pool.
Approximately 75-85% of that goes to authors. (The rest goes to curators.)
Approximately 40-50% of those author rewards are paid in SBD. (The rest goes to SP.)
But is there not in fact a way to cause more inflation to the SBD? I thought witnesses could tie up more Steem and thus create more SBDs, hence causing inflation past that point.
Edit: I think I'm confusing myself now. This was likely in fact what was talked about implementing.
Happy I'm not a witness currently. You guys have a lot on your plate.
What you describe is not supported.
We have a way to increase SBD production by using a bias on our price feeds (telling the blockchain that the marketcap is higher than it actually is) but a lot of witness including myself are against doing that.
I can see why. Nevertheless, I hope this topic does not rest and that we at some point get a human group consensus as to a solution or that we decide simply that it's not worth keeping SBDs in the form they were attempted to be implemented.
If nothing else, we should make sure everyone knows (through UI, wikis, updated white papers and otherwise) that their price could fluctuate wildly.
Thanks for the answer.