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RE: The TRUTH about how much Steem actually exists. The REAL reason Steem cost $4+

in #steem8 years ago (edited)

Bitcoin has a 21 million coin cap, and a deflating inflation rate... Steem runs at 100% inflation per annum into perpetuity..

The comparison would be more correct if I said, They found a gold reserve the size of all gold ever mined...and then found another one the year after...

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No that would simply lower the long term cost of gold since its demand would drop to the floor. If they found a comet made of gold tomorrow that could be reasonably and cheaply mined and return back to earth in a reasonable amount of time, the value of gold would start to decline since the supply dramatically increased.

This is neither gold, nor is it a fixed supply side. But the information in all directions is near perfect, and the liquid supply is throttled based on user dynamics. This makes for a far more stable price and much more predictable market dynamics for all.

Basically, whales have a harder time controlling the market.