You are viewing a single comment's thread from:

RE: Understanding Steem's Economic Flaw, Its Effects on the Network, and How to Fix It.

in #steem6 years ago (edited)

Talking to this thread is like talking to Karl Marx's ghost. Everyone thinks they can create an economy based on their own personal beliefs instead of an understanding of human behavior and economics.

  1. anonymous and cheap downvotes will kill all aspects of the social side of this platform, and will do absolutely nothimg to stop (or even influence) selfish behavior. It might stop some self-voting. But it will also incentivise downvoting every other post or comment instead. Downvoting everyone else creates an advantage. And that is far worse than we have now. It simply changes things from a positive (upvote yourself) to a negative (downvote everyone else.).

  2. anonymous and cheap downvotes will turn into political battles. No different than now, we have a tendency to upvote those we agree with, regardless of content quality. That would extend to downvoting everyone we disagree with. We see that now already even though downvoting is expensive. This would eventually kill any dissenting view other than mainstream.

  3. increasing users to give value to the coin. Sure. Increasing the user base will temporarily increase the proce of steem. But, your proposals (only quality content will be upvoted) will ensure that 90% of new users will not be able to earn. 90% of users will never be able to create professional quality content. So there is no reason for them to be here. They create an account, get frustrated, and leave. There is no reason for them to ever invest money in the system. Your explanation also compmetely ignores the need for buyers. If I AM able to make Steem here by creating content, I need a buyer so that I can use those earnings in the real economy. Without buyers who expect some kind of benefit from holding Steem, price will drop to zero no matter how many new users are onboarded..

At that point, it is a completely closed economy of people exchanging worthless tokens..

Sort:  

Talking to this thread is like talking yo Karl Marx's ghost. Everyone thinks they can create an economy based on their own personal beliefs instead of an understanding of human behavior and economics.

I am not basing my ideas on personal beliefs, I am basing them on math, human behavior and economics.

The current human behavior we are seeing on the STEEM blockchain is occurring because of the current rules that the STEEM blockchain operates on. If you want to change this human behavior you have to change the rules of the STEEM blockchain, it is that simple.

The only reason anything on earth has value is because humans assign it value based on wants and needs. Look at Facebook for example, it has a current valuation of about $400 Billion, if tomorrow every single user on Facebook decided to delete their account Facebook's value would drop to $0. A social media network has no value without users, if you want to increase value you have to increase users and reward them to keep them coming back.

Exactly my point.

And yet, this thread is about trying to change everyone's behavior based on the wants of a few witnesses instead of the needs of an entire community.

At least one of the proposals will kill Steem - because of economic and behavioral ignornace.

Downvoting is already one of the most divisive and damaging aspects of Steem - strengthening it will kill the coin.

You will introduce downvoting for profit. You will introduce even bigger flag-wars. You will destroy any possibility of a social site. Instead of people upvoting opinions they agree with, they will downvote opinions they disagree with. If will be a complete shit show... And it will do nothing to encourage quality content.

You need to remember - 90% of users are not capable of producing quality content in the first place. And if you arent going to let them share in rewards - then there is no reason for them to be here...

Posted using Partiko Android

Furthermore, even if you have some effect on slowing down self-voting, all you will do is transfer votes to the most popular users - not to those who produce the best content.

And who will be the most popular users? One of the criteria will be those with the most SP.

Why?

Because people are more likely to interact with a user who is capable of returning a large upvote...

We already see that now. Those with more SP, bought, earned or otherwise, are sought out to interact with.

...and a site that only rewards the most popular or mainstream opinions is a site that successfully self-censors...

(Nevermind the chilling effect of downvoting)