A new YOYOW project is coming.. on Graphene as well (similar to steem). This is developed by a pure Chinese team so I think they will work better with the Chinese regulations/culture. Steem, on the other hand, can play the role of bridging China to the world and vice versa (so, no censorship). It is a smaller market (as compared with the whole China market) but still big enough to be significant.
My 2 cents.
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I can't wait to see what the Steemit world is like a year from now. Do you foresee any governments or organizations trying to block steemit?