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RE: STEEM IS A SCAM! They will "print" infinite number of coins!

in #steem • 8 years ago

Why? how do you know this? That is a very bold statement with no facts that will in any way back it up. I am not sure that you are right and with all economic issues things will rise and fall.

8 years ago in #steem by
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     8 years ago  

    Read the Steemit Whitepaper:

    "At first glance, 100% annual increase in the STEEM supply may appear to be
    hyper-inflationary and unsustainable. [...]"

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       8 years ago (edited) 

      Did reading the whitepaper stop at that sentence for you? Because when you keep it in context, it makes a whole heck of a lot more sense:

      "At first glance, 100% annual increase in the STEEM supply may appear to be
      hyper-inflationary and unsustainable. Those who follow the Quantity Theory of Money may even conclude that the value of STEEM must fall by approximately 5.6% per month. We know from countless real-world examples that the quantity of money does not have a direct and immediate impact on its value, though it certainly plays a role."

      "Because 90% of all STEEM created is distributed back to holders of SP, the result is similar to having a 2:1 “split” every year rather true inflation. The total rate of expenditures used to reward contributors is about 10% of the market capitalization per year, a rate well below what Bitcoin sustained for the first 7 years after it launched"