Steem Price -40% in the last 3 Weeks - What does this mean for Steem(it)…
I have come across a number of Steemit users raising concerns over the falling Steem price, and have decided to address these concerns. Having reached Week 4 of my Steem Statistics Post, I have a interesting perspective on this, and one which I believe provides a very good illustration of what is going on.
Steem Price Action:
Now, in terms of $USD, over the past 3 Weeks, Steem Prices are down nearly 40%. This is a big decline, and worth while addressing. That being said, things are not that simple..
Between the 4th July and 14th July prices increased 1500%:
When you consider this, the recent decline in prices seems a little more trivial than first appears. There are a combination of factors that are contributing to this falling in prices, but the market getting ahead of itself is certainly one of them.Overall Steem Supply has increased 15% Over the past 3 Weeks:
This has a dillutionary effect on the value of Steem. All of this increase has gone to Steem(it) Contributors and Steem Power Holders, and although it feels like a gain, shouldn't impact the Market Cap of Steem. This means that in real terms Prices have fallen 30% Month on Month, not 40%.Bitcoin Prices down 12% in the last 3 Weeks:
Another consideration is that Bitcoin, which essentially the cryptocurrency benchmark, the same way the $USD is a benchmark to commodities worldwide, has fallen 12% through the same period. In light of the Bitfinex hack, the DAO debacle and the Steem(it) hack (which unlike the other 2 was solved with minimum fallout) I have noticed a broad sell off in my Cryptocurrency holdings this month. I believe that it is reasonable to consider this 12% fall in the real Steem Price Calculation.
If you agree with my deductions above, this takes the Steem price fall near to 18% in real terms in the last 3 weeks. This seems far more digestible than the gross headline figure of 40%.
What has caused this fall in prices:
One thing we will all certainly agree on is that, by whatever measure you use, prices have fallen. I believe there are a number of contributing factors to this market move…
Market Overshot
This is a good place to start. The market certainly got ahead of itself. Generally, as soon as FOMO (Fear of Missing Out) gets thrown into the human psyche, markets become irrational very quickly.
Was Steem overvalued?
I think so. At one point we stood around 10,000 users with a £300m market cap. This was not sustainable, and either user numbers needed to ballon (which they didn't quickly enough), or the price of Steem had to fall..
Supply
What is Liquid Steem: Liquid Steem is another word for Steem. Liquid Steem is Steem that is available for transfer/exchange/trade. As we all know, Steem Power doesn’t allow these actions, and this is where the vast majority of Steem is held. Liquid Steem is created by users either Powering Down or Converting Steem Dollars.
Users Powering Down or Converting Steem Dollars over the past 3 weeks have caused Liquid Steem, as a % of all Steem in Circulation increase from 2.84% to 3.96%. This doesn’t sound like much, however this actually represents a 61% increase in liquid Steem over the past 3 weeks. This is significant because, it is only this Steem which is tradable, and thus it is this which sets the price of Steem.
A 61% increase in supply in one month is always going to put prices under pressure.
This is exactly what has happened. Most of this increase has come from large accounts powering down. It doesn't take many of these users to begin to sell, in order to create an imbalance in the market. It is worth mentioning that, the increase in liquid steem will continue, but at a decreasing rate (in % terms), so we can expect this impact to diminish overtime.
Demand
Steemit is not mainstream by any stretch of the imagination. You only have to look at the trending list to see that the main focus of the user base is Cryptocurrency/Anarchy. This is not a problem, however I do believe it has began to limit growth in the short term. User number growth (based on weekly active users) is up 13% in the last 3 weeks. This number however, has began to fall this week, with weekly active users falling from 21,000 one week ago, to under 16,000 this week.
NOTE: These numbers are difficult to make 'heads or tails of' as changes to the Steemit ecosystem have directly affected bot's operating on the platform, which have thrown these numbers out. It is however easy to deduce that, user number growth has declined over the past few weeks.
This is certainly weighing on Steem prices. I think it will take some time to transition into a more board content base, which is needed to retain a larger user base. This is however, just a small growing pain in my opinion. The Steem community needs to start promoting more mainstream content in order to support user base growth in the medium term. Until this happens, this will stifle demand for Steem. The value of Steem is in the underlying network, and the level of difficulty to earn them as rewards. Increasing user base is thus key to increasing the value of Steem.
Dilution
I have already touched on Dilution a number of times in this post. Something for all Steem Power holders to bear in mind is that, in order for you to lose value in Steem Power over the next year, Steem prices with need to fall more than 70%. This is because, Steem Power Rewards are currently running at around 312% for the next 12 months. This is certainly a consideration for why Steem is under pressure too. If you have done the maths, it is not worth holding on to Steem for the long term. You either need to Power up, or Sell.
Summary
As you can see, there are a number of factors that impact the Price of Steem. I first of all don't think that the decline is anywhere near 40% in real terms, and if you agree with me that we are closer to 20% (for Steem Power Holders), this is not a significant decline in prices.
Cryptocurrency projects generally have an investor base with a very short term horizon, which has been the downfall of many projects. I think it is worth remembering that Steemit is still in beta and there is a long way to go. This is an exciting project with much upside potential, however it's going to take time.
If you really believe in Steemit, you need to do your bit...
Contribution, Curation and Promotion by all users will help Steemit edge closer to taking on Reddit. We need to all look to the long term aim, and as long as we keep moving towards it, the price of Steem will take care of itself.
With regards to my Price Prediction: I do think we will go lower over the next few days/weeks, the trend is strong and users continue to Power Down, which is increasing supply of the sell side.
This does not concern me, as my horizon is for the next few years. Let the weak hands sell their Steem, a couple of weeks of low prices won't kill this project. I still see 'right now' as a great opportunity to build a stake up in the next social media giant
While I'm new to cryptocurrency, I have a basic knowledge of how the markets work. Supply and demand are the name of the game. I see the potential of Steem(it), which is why I've been investing as much time and effort as I can to create, comment, curate. I'm a little fish here but the way I see it, I'm going to buy Steem while it's low. As much as I could use any extra funds in my bank account, a part of my brain keeps chanting INVESTMENT. Another part of my brain looks at it like Monopoly money so I can kind of play with it without affecting my current budget. And...what my husband doesn't know won't hurt him. :oP
I think it is a good time to buy in but I think the value will fall some more due to dilution. The day it will rise the steemit platform will be near a saturation point and by that stage anyone that wants in will be causing the demand for a price rise. So sit back and wait would be my advice. You will see the rise coming.
I accurately told my readers to sell at $1.36 if they had any Steem and there would be other opportunities. At $1.15, it's still too early and there will be plenty of time, don't worry. Let's not forget that this thing inflates at 100% a year, so for people like me, who are phenomenal in timing, there will be those "moments" to buy and don't worry, they're sooner than you think.
why is that smooth? point 2?
steem has lost over 90% since the ATH few month ago and I think that we are going towards steems All Time Low - at least this is the trend ..looking at the chart.
As an Investment it is the worst thing I have invested in the crypto currencies world. but as a social media site ..it's cool and I hope it will replace FakeBook one day :)
This post and discussion is obsolete as the economics of Steem were completely reworked at the beginning of December.
The reason SP didn't (and doesn't) inflate as the same rate as STEEM is that you get anti-dilution payments as an SP holder that offset most (or in some conditions even all) of the inflation. That is still the case, although the base rate of inflation is much lower.
I am riding your car @merej99, I feel and vision Steem taking off. How far down you think it will go? I am jumping in as soon as it goes up.
The price drop does not concern me for all the reasons you stated. What concerns me is the competition: will every minnow/flounder/small sea creature jump ship to the next blockchain based social media site trying to get in on the ground floor and build a following early? Being first is a big advantage since by the time new ones pop up there may be >200k users on steem and a large number of active ones, but user retention will be tough if people think they can do better elsewhere.
User retention is key @daut44, good point. Certainly something that should be considered by the Steemit founders. Some sort of a longevity reward could help with that, as long as it couldn't be abused by bot's...
:)
@hisnameisolllie
"This is significant because, it is only this Steem which is tradable, and thus it is this which sets the price of Steem."
Not exactly true, on Bittrex the Steem Backed Dollars are also tradeable.
Both STEEM and SBD can be bought / sold. STEEM is down while SBD is a steady.
I think this will help
https://steemit.com/steem-ideas/@dennygalindo/steem-idea-ways-to-increase-active-users-activity-lotto
Wouldn't a lotto cause an influx of spam? I seen this problem a lot with places like TSU and Rabadaba. People just post random junk. ANd sadly were rewarded for that behavior.
No all you have to do is use reputation score and/ or a minimum Steem power to eliminate bots and spam. If you spam every hour you won't get a reward even if you win due to posting limits. You should vote every hour though. Low reps aren't legible so wouldn't want to spam on small chance you win . Read the link.
Keep in mind that if anyone wants to min max on this kind of environment it behooves them to cross post the same content on as many platforms as possible at the same time. If a second page similar to Steemit were to pop up then it, in a sense, doubles potential profits. All the user needs to do is post the same content in multiple places.
As long as a place like this can maintain some kind of revenue then the smartest people will never leave.
Great article with valid points! Besides the question in your post title another one, rather unanswerable is:
When will the price of Steem grow?
No one truly supporting Steem and Steemit long term should be worrying about prices right now. The opportunity we have here is unprecedented, everyone can get money without having to put any in. Any value of Steem will be more than any other place where you can post your content and let's be realistic about it a bit:
Steem(it) is a few months old. Who's expecting USD, GBP or EUR price stability is being unfair? Those currencies have years of backing and utilization. Steem has already accomplished more than any other.
well yeah but it needs to actually be a winner long term for it to matter. you can't compare crypto with fiat...
Hey. I felt that the post is mostly oriented towards newcomers that have doubts about Steemit. They are generally new to the crypto world so thought to compare it with fiat so they can relate better. Using BTC or ETH doesn't change the idea of my point :)
Great insights. i have invested a lot of steem and continued to invest during the dips. already los 40% so i had to buy more during downward movements to make up when rebound happens.
@tjpezlo Where someone sees catastrophe, another sees opportunity :)
good entry point these days https://steemit.com/steemit/@tjpezlo/crypto-updates-trading-with-bollinger-bands
candle sticks just turned green for steem
I think everyone is watching the decline in price closely. It seems that allot of people are cashing-out to BTC, for example @stellabelle pays most of the anonymous posts in btc. So comes back to supply vs demand - not enough people buying (demand) currently
I don't know whether it's what you're saying what I want to hear, or the simple way you lay down your info, but whatever it is; I like your style, very easy decision to follow you based on this.
One thing I noticed you didn't mention was arbitrage, I read an article yesterday which claimed that the ability for quick arbitrage is driving the price of Steem down.
I'd love to hear your thoughts on this...
Thanks and I really look forward to your next analysis
Cg
I will take a look into this and consider a post. Thanks @cryptogee
Yeah, youll write a post about how its not a problem. And the whales will love it and upvote it. And downvote anyone who doesnt agree. BEcause anyone who sees a problem with the platform is "spreading FUD".
Then youll scratch your head and say "i can't understand why everyone thinks steem is a scam"
Cool thanks; I look forward to it :-)
Cg
The most important thing you said is all this anarchy and crypto currency isn't going to attract people interested in steemit as a concept and who don't care how it works, don't think crypto currency is awesome. This is my biggest worry. I know because I'm one of those people
When I joined, I was picturing something like reddit, I'd be on reddit but if I made a witty reply to someone I'd earn $0.50. Sixteen thousand active users is an insoler
community. Too small! Bringing in new users should be the number one priority.
At the same time, a lot of new technology is more successful if it targets a small audience at first before trying to scale. It's better to be great to a few people than mediocre to everyone. Steemit is designed like reddit, but that doesn't mean we'll necessarily have the same communities reddit does - rather, it makes a lot more sense to foster online communities that other sites are neglecting. (And yes, instead of adding more people in an individual sense, perhaps we ought to think about adding more communities.)
you right about the content. I am a crypto enthousiastic, BUT i do believe that the future of Steemit depends on more mainstream content. If you land for the first time on Steemit, and you see that at least 50% of the content is about steem itself or cryptocurrency, than i understand that the mainstream is overwhelmed. Also we need a re-design of the website, more attractive, and personal. It is all a mather of time.....
A big red flag I noticed right away is that there is no gaming or E-Sports section here. That might seem like a strange thing to notice but when you think about it. Gaming is the largest form of entertainment currently and is still growing. No healthy gaming section means a massive chunk of potential content has yet to exist.
Build a gaming community on Steemit.Chat - find people and invite them to a private group, there are many of these groups popping up behind the scenes - why not start or join one?
It's not a red flag it's a potential opportunity :)
@thecastle Interesting. This could be an good tag for yourself or someone else to promote...
The are many massive chunks of content that don't exist. I vote up some good gaming posts from time to time but there aren't that many yet.
Great post! Another detail I like to keep in mind is the "price" of VESTs in terms of STEEM. I have a screenshot of https://steemd.com/distribution on July 12th and it was around 211 STEEM for 1M VESTs. Today it's at 293 STEEM for 1M VESTs. The price of VESTs in terms of STEEM will never be cheaper than it is right now.
What that means is buying 1000 STEEM a month ago got you more influence on the network than buying 1000 STEEM today. 1000 STEEM today will get you more VESTs than 1000 STEEM a month from now.
That seems to be the only number that really concerns me. I'd like to see the growth rates of other social media startups (Facebook, Twitter, Reddit) in their early days as a comparison. If people aren't super, super excited about moving over to Steemit, it may have trouble overcoming the network effect of the existing platforms. I have friends and family that are planning to blog here, but it's just not a priority for them. Until more of their friends are here, they won't make the move (chicken: meet egg). Also, they aren't on social media every day, all day like many of us are. To them, it's just not that big a part of their life.
You should really do a post on this! This is something I suspect 95% of Steemians are not aware of (myself included until I read this). I think if more people were aware of this, they would be buying Steem and powering up now, rather than waiting to try and buy in at the bottom.
Thanks Tim, maybe I will. I'm looking for historical data on the change in the 1MV to STEEM conversion rate over time and I don't have it yet. I'll poke around though.
Good post. I agree most of the points.
I have a different data, one of my friend registered 41 days ago, she received 10 STEEM in SP, and now she has 13.75, it means 37.5% interest for 41 days. So I think it is a little bit more than 18.5% / month. (@torparaszt)
@spiz0r Your data is correct. I was using data from 4 weeks of Statistics here. My data does however represent 3 weeks, 21 days, come to think of it (Week 1 should be Week 0). I will make an Edit to make that clear...
Solid fundamental analysis. I'm still of the mind that the price will continue to fall until there is actual incentives to remain powered up when compared with the opportunity cost of not powering down OR the price reaches an actual support floor with new buyers and market entrants. Haven't hit that yet and you point that out quite well.
Right now there is none and everyone is powering down, myself included.
I must be the silly one staying powered up and converting SBD to STEEM to power up. I can still imagine a future where people want to use SBD over currencies and want to purchase STEEM to power up and gain influence within the network.
No one can say you are silly it is simply a market decision being made people on opposite sides of a trade. In hindsight, one will be right the other will be wrong, but ahead of time, who knows?
Thanks Smooth. That's at least a nice way to think about it as I swim against the pack of power downs. :)
@blakemiles84 My next post is along those line, watch this space ;)
I wanted to write something similar, thanks for clearing things up, I hope people read this and calm themselves a bit.
The Steemit team has done quite a lot to prevent incredible market fluctuations. I think that steem power being a long term investment is a great idea and forces people who invest their money to be active either curating or posting great content. This is a get rich slow with hard work process (for the majority of us). Usually when we don't have to work hard for something, it gets taken for granted and valued less.
I am making a post about the jobs of minnows transitioning into dolphins, and what I believe their responsibility to steemit should be. Long term value is based on everyone creating valuable content and helping those who are new.
And since steem dollars are worth a $worth of steem, the lower it goes the more I'd buy. It's like getting a 50% discount if steem drops to 50 cents. With the developers behind steemit and those like @steve-walschot working hard to bring innovation, we have the perfect opportunity to advance steemit and carry it to success. I'm quite excited to do this.
I like the analogy and market analysis you did! I also think lately crypto giants personal joined steemit and they all seem to cashout immediately giving feeling that they come for quick cash. But again this will change over time, after all everyone here came for same reason and staying for another :)
They always say buy when there's blood in the streets and everyone else is panicking.
I gotta say, you've become a go-to for perspective on these issues. I don't really concern myself with the price of Steem, I concern myself with Steemit and posting, curating, commenting, collaborating, learning more from other writers and about my own voice. But I usually read your articles because they have a wide view and it seems you strive for objectivity in your analysis.
I'm biased towards steemit... I'm riding this rocket all the way, moon or grave.
To the Moon or to the Grave. I like it :)
It doesn't matter to me, in fact I think its good. It will allow for more people to become whales, and dolphins. Further improving the content that gets voted up on this growing site!
Good point @justtryme90
The photo for supply : amazing choice :))
That being said,. I love the term " weak hands ". I hope you're right and my hand is strong !
@razvanelulmarin If there is one thing I know about you, your hand is the strongest when it comes to Steemit
Yep raz is a big contributor to the platform as you are ollie. thank you for all you do.
IMO, posts like this (and many of your others) are a big big part of the problem wrt decrease in demand.
The case that youre trying to make (that an ongoing freefall resulting in a 75% value loss over less than a month) is NBD and just a regular part of healthy market dynamics is absurd propaganda. And its transparent propaganda at that.
Until the whales and those who control content on the platform stop trying to coverup and spin the clear problems, the price is going to continue in free fall.
I just gotta ask (though i suspect youll just dodge the issue) how far down does the price have to go before youre willing to quit it with the spin and start talking about problems and solutions.
The price doesn't matter in the long run. Im confident it will return over the next 6 months.
Hey Olli,
another brilliant Post.
I am in for the longterm too. so i have just powered up another 1000 SP and i am buying everything i can at cheap prices on the internal market.
I believe in Steem, we are just at the beginning and despite the price falling, usernumbers have doubled within the last 30days !
Thanks for the explanation, I was wondering why more people weren't making a bigger deal of the price drop here. My understanding is that the value of the STEEM token was essentially being slowly inflated away since the value of the STEEM Power wasn't changing that much.
Steem Power gives you a return which negates 90% of the dilution that is built into the Steem System.
https://steemit.com/hidden-gems/@dragonslayer109/daily-pick-of-hidden-gems-32 this is where I will be featuring your post
Very good article, thank you for that. I also think Steem has a great future ahead and that the recent decrease in steem price is an excellent opportunity to cheaply power up, which I actually did today.
The financial aspect is a component. The site was promoted to a wide audience with the concept: you get paid for good and original content . But the best-paid products have been awarded to some people propelled by bots and whales on topics such cryptocurrencies / anarchist, activist, become a millionaire, etc .. There is a difference between promoting and reality. The general public cann't be recognized more.
On Twitter and Reddit the problem has been sensorship. I imagine that on Steemit the problem will be whalership. :D
Thats what i wanted to ask too @hisnameisolllie, the other day i had a reward of $345 but at the time of payout it suddenly down to $260. I know the reason is due to the price of steem but what i do not know is the reason why it goes down.
They will soon fix it! They will only show the actual amount the authors get to avoid confusion (curator's reward will show separate)
https://github.com/steemit/steemit.com/issues/87
Thanks for that post @liondani
Thanks I noticed that today. I like it. What about this to drive activity. A Steem activity lotto. We could do it so it does not lead to spam. https://steemit.com/steem-ideas/@dennygalindo/steem-idea-ways-to-increase-active-users-activity-lotto
Nice one, I keep saying I'll come back to Github on a regular basis to check on the updates there but always move passed it :)
Nice to see this improvement. Thank you for opening the issue and thank you to @roadscape for fixing it.
To provide a clear reason and include all the details plus specific sources to answer your comment @juvyjabian:
The post reward value listed on the post before the payout includes everything paid out to the author and the curators (people who upvote the post). The split is 75% for the author and 25% to the curators, that is indeed fully correct if nobody votes <30 minutes from the post publishing moment. Anyone who upvotes before 30 mins passed gives some of the curation reward back to the author.
The post reward listed on the post after the payout includes only what was paid to the author.
To see the exact amounts that I'm referring to above go to your post, in the url, directly in the browser, change steemit.com with steemd.com (you can change only it to d but I wanted to give the whole picture) and you will see more details about your post.
For the top box you will see some json_metadata. In that place look for:
total_payout_value 260.076 SBDcurator_payout_value 86.441 SBDThe rest is rather clear I believe.
Oh my mistake
no worries, been there :)
25% of payout goes to curators awards
The reason is because a portion of it is taken by the people who upvote, especially whales. They help you get more value, you keep 50%, then of the 50% left, you can end up keeping 50% more of that 50%, or 25% more of the 50%, etc., but the voters get some of the value they created for you. You don't get to keep it all. The upvoters helped to create the value you get, and they get part of the value generated in the payout for doing so, so everyone win. You win the most though, since if they didn't upvote you, you would not even of gotten what you got. Hope that helps to understand things. Peace.
Yes but i thought the 50% will be based on the total reward
25% goes to curators
Yeah but my understanding with the 25% was different :)
Great article, I had been wondering about the price drop. We certainly need to get the amount of active users back up, and growing. I don't think the average FaceBook / reddit user really understands how awesome this platform is. All the scam talk scared a lot of people away for no good reason. Hopefully people will realize the truth and move over to this platform. If there is only 16,000 active users, imagine how awesome this platform would be if there was ten or hundred times that? Let's keep creating new and exciting content to draw people in and worry less about the week to week numbers.
I think this site needs some updates for the price to go back up. Right now, Steemit feels more like a workplace than a legitimate social hangout. Most people join in hopes of making a buck, not to have fun. We gotta turn that around somehow.
I have already kind of experienced this with other social media pages. I seriously believe that most people are turned off by the idea of being paid to post content. Most of my Facebook friends felt as though its either a scam or that they dont deserve the money or that they are not really capable of posting good content so they shut down and simply stick with Facebook instead.
Why the rewards are not market sensitive? Price is falling - rewards increase :)
If price is falling you get more SP but less SD relative to if the market cap is higher
Buy low... sell high!
Dan and his buddies including the people that were bought to post here need to cash out. The more people that were invited here, the more cashed out, and the lower the price went. Good for the founders they have created bagholders in a whole new way.
Normally I ask first " How many coins at the end " on Steemit I have invested 1200 bucks which are 500 bucks worth now atm.
With an endless coin supply I guess we will see soon 1 Steem equal 10 Cent, which is absolut ok for me cause then I will buy more.
I had been thinking that Steem was over-hyped and over-priced. Posts being worth thousands on such a small site is not realistic. Maybe things are settling down a little now. I'm here for the long run too.
I agree @steevc None of us want a pump and dump scenario here. I would prefer to see lower, more stable prices for longer.
Such a good article. Hadn't considered liquid Steem argument or Bitcoin argument. Still we need to see rising active users.
I think the same. The price will go below 1 SBD.
"in order for you to lose value in Steem Power over the next year, Steem prices with need to fall more than 70%. This is because, Steem Power Rewards are currently running at around 312% for the next 12 months"
Can you explain this a little further? Where does the 312% come from?
It's a little complicated, but i have posted on this before here. Essentially Steem is in distribution mode at the moment, and the dilution rate is currently much higher that the 100% everyone cites. It will be 100% in around 15months times.. We are currently running at about 312% for the next 12 months...
In the original statement it sounds like you are saying that even if the price declines by 70% you will be fine because currently rewards are running at a 312% increase/gain... am I reading this wrong?
That is correct. For the next 12 months
Great well written article. I especially agree with your points in the demand section. We as a community (especially the whales and devs) need to work on making the site more appealing to the mainstream users. That right now is Steemit's biggest issue to tackle (in my opinion).
It's a poopcoin still in bubble. Nuff'said.
What about an activity lotto to drive minnow activity . You could bio for so it worked!
https://steemit.com/steem-ideas/@dennygalindo/steem-idea-ways-to-increase-active-users-activity-lotto
Excellent analysis, thanks!
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This is a welcome discussion point. Interesting to see I'm not the only one that is thinking about this. The blockchain is here to stay. No matter what any crypto will do in the upcoming years. I think that's a conclusion we can make by now. I found this amazing platform: https://www.coincheckup.com If you want to know more about the: team, product, communication transparency, advisors and investment statistics on every crypto then this is your go to platform.
This was a beautiful post.
Interesting. This post was written about year ago and now the price of steem is again 1 USD ))) So now I'm asking same questions is there is a future for steem and steemit? I mean future that more or less like facebook.
I was very exited about steem few weeks ago when I discovered it. However, after I got more involved in how steemit works I become less exited. I'm not talking about technology of decentralized social platform which is no doubt amazing but about how it is simple for new users. Well it is definitely not.
We all agree that if many new users will decide to join steemit the price of steem will jump to hundreds of dollars. But for this the platform should be attractive to new users. So forget for a second that you already inside and look at the steemit platform as a new user. I would even say as a facebook user that heard about steemit and checking what is it.
I would say that steemit is COMPLICATED for understanding and compering to FB has many disadvantages. Again I mean for simple users. Maybe for you guys it will be surprise but simple users don't f..g care about block chain. My mom has facebook but she does not have any idea how it works, on what technology, and who is Zukerberg. She is just a user and facebook is simple for her.
Now imagine that my mom find out that there is a new social network called steemit. I guarantee 100% that she will not do account in it because it is complicated and not common sense.
Those are just basic things I see but there are many more.
Most of us have job and salary. So for few dollars steem will not "buy" people to spend their time in it. Why FB works and catch people even without paying them? Because psychologically people interested to see what happens with their neighbors or friends. FB gives an illusion that you see what happens with others. This is the reason why almost whole world using FB.
So give me one reason why people will move from FB to steemit?
Personally I want that steemit will be successful but for this it should be somehow more attractive for new users. Better interface, more features, more common sense.
What a long comment! I supposed to write post with it as my first post ))
what are your thoughts now in June 2018?
I see in increasing drop since Dec 2017 and wonder if this just another cycle?