Isn't Steem supposed to stay near $1 instead of rising to high values like $100?
According to the FAQ:
Will 1 Steem Dollar always be worth $1.00 USD?
The market value of a Steem Dollar is dictated by the supply and demand of the token. Therefore it is possible for 1 SBD to be worth more or less than 1 USD depending on market conditions. However, the network's SBD conversion feature serves as a mechanism to hold Steem Dollars within a small margin of the value of USD.
SBD apparently is supposed to be pegged to 1 USD but the market decides the price which is around $6.24
Steems price also is decided by the market, if there are more smart media tokens, kinda like icos, using the steem blockchain, if we grow to millions of users, and if theres new ways to burn steem for whatever purpose, then I can easily see steem going to $100...SBD though is confusing to me lol but who knows maybe the price of that can go just as high
check out https://steemd.com and you will see the overview of the chain and the economics, there is a price feed being updated by the witnesses that calculates the rewards, the SBD is supposed to be pegged to a dollar and that is how the rewards are calculated, the system doesn't know it's being traded at 6USD outside and if it was the whole math would be different, but it is what it is .... quite sad
Supposed to be pegged but definitely not functioning that way. I like that it’s not pegged going into potential huge dollar inflation. But I don’t like that it’s supposed to be pegged & not functioning correctly