@lukebrn asked me to help him with the Steemit Success Initiative so I thought I would start off with an article explaining what this blockchain is all about. Instead of going into details, I figured I would use a Top 10 style list as to why anyone who is on this blockchain chose the right one.
The cryptocurrency market is volatile, fast moving, and very confusing, especially when one is new. Steemit has a ton of information written each day about this arena. Even if this is not something that interests you, simply by being here, one is involved. All payments are made in cryptocurrency.
Another aspect that is important to know is that it is not vital to get all hung up on the term "blockchain". I see many who enter this realm wanting to know all about blockchain and how it works. If you want to delve deep into it, there is a ton of stuff out there. For most, knowing that the blockchain is simply a decentralized, open network of computers around the world who use a particular method to verify transactions and link them together.
The steem blockchain was designed to target the social media realm. On here, applications are being built that enable people to engage in the same social media activities as one does elsewhere.
For a list, here is a post that @lukebrn put together.
So, without further ado, here are the Top 10 Reasons Why Being On The Steem Blockchain Is The Right Choice:
A. Real World Applications
Steemit is but one application on this blockchain. There are many more which mirror the traditional social media sites. Zappl, D.tube, DSound, Steepshot, and Dmania are just a few. Over time, we are seeing these grow in number and target markets.
B. Up To 100K Transactions Per Second
Developers on many of the other major blockchains are spending an incredible amount of time trying to scale the amount of transactions they can handle. Bitcoin and Ethereum both have hit their max on numerous occasions meaning transactions were delayed. Many other blockchains would face the same challenge except they do not have the number of transactions.
At present, steem handles more transactions in a day than any other blockchain yet is operating at less than 1% of capacity (well below that). There is a lot more room for growth on here, something that is not true on other blockchains.
C. No Transaction Fees
Anyone can send STEEM to someone else for free. There are no transactions fees. If I send you 1 STEEM, you receive one STEEM, not .990830 STEEM. This is a novel approach. Who ever heard of zero-cost financial transactions? This is going to be a real benefit when we see more commerce sites built upon this blockchain.
D. Declining Inflation Rate
It is common to see the inflation rate for a new token to be fairly high in the early stages. For the first few years, many tokens will be issued at an increasing rate before topping out and then decreasing. With STEEM, we are at 9.25% and going down .25% approximately each year.
E. The Ability To OffSet The Inflation Rate
When a currency inflates, those who are holding it have no choice but to suffer. This is true in fiat as well as crypto. A advantage cryptocurrencies have is the value of the token tends to increase faster than the inflation rate. However, if the pricing action is flat, the inflation rate could impact the value of the token.
With STEEM, if one moves the token to Steem Power (a process called powering up), the effects of inflation are eliminated since one will be compensated for said rate through additional tokens. To my knowledge, this is the only token that does this.
F. Early Adopter
There are about 3.5 BILLION user accounts for the major social media sites. While some are duplicates, bots, and fakes, there still are a ton of people on the social media platform.
On steem, we are still under 800K total users. How would you like to have been one of the first 1M users on Facebook while also enjoying the financial reward of the growth from that point. This is the opportunity on steem.
G. Account Recovery System
Again, this is exclusive, as far as I know, to STEEM.
When you lose your key to any other token, it is gone. At the same time, if someone hacks you, he or she can clean out your wallet and the money is gone.
With STEEM, there is a way to get your account back if someone happens to get your key and lock you out of your account. This is invaluable...just ask the few people this happened to.
H. Secure Tokens
As I just mentioned, hackers can clean out accounts instantly once they are in. Not so with STEEM. Even if one's account is accessed, there is a time delay for all moneys paid out. To convert Steem Dollars, there is a three day waiting period. When one places STEEM in the Steem Power category, it takes 13 weeks to fully move one's money out. Each payout will be weekly of 1/13th of the amount.
This seems like a hassle when you need the money but, as you can see, if someone else is trying to remove it, this is a life-saver.
I. Content Reward System
Steem was designed for the social media industry. As @ned has stated, we are tokenizing the Internet.
This blockchain offers a unique reward system for content creators. Anyone who provides content is able to earn STEEM based upon the voting on here. At the same time, those who do the voting also are earning for each vote placed. The amount one earns depends upon a variety of factors.
The advantage is that almost any site on the Internet is a candidate to be on this blockchain. Most sites entail the creation of content along with commenting. This is an enormous market which all holders of STEEM will profit from.
J. Reward Pool Coded Into Blockchain
This is crucial for those people who are arriving from YouTube. Many are upset at the fact that YouTube is changing the compensation program. Many who were making some money for their efforts will no longer be doing so. While these individuals were "small" fish, who is to say that they do not warrant the money? Google obviously.
This does not happen on the steem blockchain. The reward system is coded into the blockchain based upon the token creation schedule initially set out. There is no central authority, like Google, who can arbitrarily alter this. If there was a change to be made, it would require consensus from the community. That is part of the value of a decentralized system.
These are the Top 10 Reason Why Being On The Steem Blockchain Is the Right Choice.
There is one thing I omitted from the list since it is not introduce yet. This is something that many of us feel could really propel this blockchain into the stratosphere along with the price of the token. The $1,000 price might seem a bit unrealistic at the moment, but when the Smart Media Token protocol is introduced, we could see things start to move very quickly.
This protocol is what is going to allow content creators to design their own token on this blockchain. The advantage to this is that there is a built in market for the token to give it liquidity. All tokens created in this manner will be traded through the internet decentalized exchange on this blockchain. That can take place since all tokens are paired with STEEM.
At the same time, remember the zero transaction fees? The reason this can happen is because this blockchain uses bandwidth as the determining factor. Thus, any site that comes onto this blockchain, while have zero fee transactions, will have to buy enough bandwidth to ensure their users can do what they need to do. What is the value of this? All bandwidth must be purchased in STEEM. Hence, we will see a built-in demand for the token.
While $1,000 can seem absurd when a token is just shy of $4, remember that Google, Apple, and Facebook are all racing towards $1 TRILLION marketcaps. These are some of the most valuable companies in the world and they are nothing more than ecosystems. The difference is they are centralized.
Steem is a decentalized ecosystem which allows for anyone to put his or her contributions on here. Development will take place at a much greater pace since the number of people working on this is not limited by payroll. If they desire, millions of developers could come here and put their applications on the blockchain.
And all benefit since we are all part of the same ecosystem.
The social media world is easily worth a few trillion dollars and it is fair to say that STEEM has the potential of capturing a fair bit of that market.
If you found this article informative, please upvote and resteem.
Pictures by Google Images
I'm still on the fence regarding the SMTs and how regulators will view them, but I would advise anyone looking at investing in Steem to consider the implications of Dtube growth on the Steemit ecosystem!
I'm on the fence about SMTs because no detailed information has been provided. Combine that with posts like this where @ned is flipping out about @dan and EOS and you've got yourself some FUD.
Yeah that will be interesting....although there is the ability to do an ICO directly from the smart contract in the blockchain.
Obviously, those that opt for that route and want to have a token traded on the exchanges will need to adhere to the regulator's policies. As for the others, I am not sure. Will they be viewed akin to a gift certificate or arcade token? Or will the SEC, in particular, call them all securities?
The note on gift certificates, securities, etc. That was my exact next question. I like the idea of being able to move Steem around and purchase commodities, I just fear the SEC involvement down the road. I think a marketplace will solve a fundamental problem minnow accounts that want to grow on the platform (being able to use Steem without first converting to another crypto or fiat), but the potential financial tax consequence is concerning. It makes dabbling in all of this scary.
@taskmastwr4450 I definitely hope to learn more about the technical side of steemit so I will be keeping up with you. I dont want to dismiss these conversation as “too technical” and miss an opportunity to learn and develop myself on the platform. Thanks for taking on a big task with this success intiative! Much needed and appreciated 👌🏾
Hi @taskmaster4450 I made a post of steem going to 1,000 about 5 months ago when I had a much less clue of how everything works. Now that I have learned much more about the steem blockchain I believe it can go even higher than 1,000!
As you say the SMTs will bring plenty of more developers and people to the blockchain, as well as more investors!
All what I know is that we will be surprised about steem this year, and I want to leave you and everyone with a great post from @donkeypong : https://steemit.com/steem/@donkeypong/would-albert-power-up-you-need-a-long-term-plan-also
Regards, @gold84
Do you also believe Steem will go to 50$ by the end of 2018?
Even before SMT's we have airdrops like the Vice token.
How many more of those can we look forward to?
How do you get involved in the airdrops?
The Vice one will be paid based upon the amount of Steem you held when they took the snapshot of the blockchain on Dec 27th.
I dont know when Appics is going to take theirs.
Thanks. I hadn't heard anything about this previously. I didn't know that they were going to be doing snapshots.
I haven´t heard that Appics is doing an airdrop? I just saw, that they were promoting their ICO...
@taskmaster4450 will the vice airdrop affect all steemians and regarding Appics you have to link your account in order to get the reward I believe
Before or after SMTs?
After, I imagine most tokens created will airdrop STEEM holders.
It only makes sense if you want to get some of them to your site.
Before, I am not sure...we only heard of two so far.
..... and they don't often warn people in advance. An excellent reason to maintain a fat stack of SP at all times.
I do find the whole zero fee concept interesting. The other day I was thinking about it. The fees are basically hidden in the form of the 10% reward pool that goes to witnesses.
I hear a lot about how Steem is only using 1% of it's power but this platform still has a long way to go. There are many parts of this ecosystem that lag or have bugs. In fact I can't even upvote you or post this message right now because I have temporary negative bandwidth ATM.
I've got a disillusioned friend who keeps saying we need to jump ship and find a better blockchain. LOL... what blockchain? Steem is literally the only social media blockchain so far. It's so far ahead of the curve at the moment.
If Hashgraph releases its own crypto and/or makes something like Steemit, then your friend will have something valid to propose as an alternative
There is no doubt there are still challenges ahead of us and things which need working out.
That said, there are other interfaces to use like busy.org which do not have the same issues at the moment.
Overall, we can all point to what is not working and find cause to leave. Many did early last year from what I hear only to come back recently kicking themselves for missing all that time.
People do not recall what Facebook was like in the early days or what Google was like in the early 2000s.
Few things happen in the tech world without challenges.
Hell Windows is still a mess....and comes with tens of thousands of updates all fixing something.
A coin might release a paired social media site at a later time, I can't think of many coins that have fair distributions though so the killer coin might be yet to come. If it has serious backing from big players, or is easier to use and navigate through content than steemit... watch out.
I'm not going anywhere Task. As this blockchain grows, I'm growing with it. Sure it has bugs to work out but what doesn't.
Zero fees transactions, will keep me here forever. Great top 10 list. And you could prolly go top 20, knowing you Task. 😎
The account recovery, how does it work? Because I Thought if you lost your key there is no way to get your account back. At least that's what I saw when I first log in. I hope you will explain this better for me. Thank you
I never used account recovery but I know you need your original master password private key. You probably also need access to the phone number and/or email you provided.
I get it. So your original master password must never be lost or forgotten.
There is no way unless you have your original posting key. That is what can identify you.
The three bars in the upper right, press on that and like the 3rd or 4th line down is Stolen Account Recovery.
In there you can go through the process of getting the account back if someone gets in.
I understand now. Thank you
For the now everything is perfect here. All we need is an app to transfer Steem directly to banks or the opposite without going through other services. I read that they are working on it and I am already excited. It will make a big change :)
Good work!
STEEM to Fiat will be big. A number of people have mentioned it and I think are trying to get some exchanges to pick it up.
I do not know how they are progressing with it.
I am also waiting for the updates !
Spot on again...I'm beginning to call you the Steem Oracle...I sense it will go higher than a 1000.
Bit coin rose to almost 17k or did...and they don't even know how many coins still exist, what will happen with Steem....
This is exciting since you raised your evaluation from...100 to 1000 in just a week...Im a believer, heading towards the Knowing state!
Excellent, and the Dave Letterman pic was a cute addition.
Lynn
A great post - whilst I agree with all of your points, I can't help but feel that the look and feel of Steemit needs to move fast to make it more user-friendly ready for the potential influx from FB etc. Many just won't get it in its current form and will move on.
DTube has done a great job recently of presenting a user interface that is familiar and is unlikely to phase the YouTube faithful. Steemit needs to move fast to follow suit - I won't repeat the current shortcomings as there are plenty of decent suggestions out there.
SMTs look fantastic in terms of potential but I think the steemit platform needs to be further refined before the focus is shifted to such addons.
The risk is that another blockchain (EOS?) learns the lessons and presents a better experience from the beginning with a new social media platform....
I felt D.Tube and Zappl were going to be the applications that attract the large number of users. I was happy to see Zappl get their 500K SP delegation the other day. I think that will really help them like D.Tube was helped.
That said, I do agree with you about Steemit. That is why I am going to start looking at what is going on with Busy....that might be one that is worthy of a look. I read they are looking at creating an UI that is more like FB.
But what you say is true...the steemit development team is great at what they do...they just tend to be a bit slow and have no communication with the community.
I must confess that I've yet to play with zappl and you've given me the much needed nudge to do it. Likewise busy.
DTube gives me hope. I just don't want the first mover advantage to be lost by steemit. The basics are there. It just needs finessing to get it to the levels most expect if it's to gain mainstream adoption. Let's hope the dev team are on it!
We also have functions that BURN steem like promoting your post...if we see more functions added in that require burning steem then that is great for us. Also the millions of incoming users from word to mouth and promotion will help drive up the price to some amazing levels...
Personally I hope they let the market decide the price of SBD's...I don't know about you but it feels like the higher the price of SBD the more activity we have.
Can't wait to get more smart media tokens and I really need to do some research to see if and how I can get my share of the incoming airdrops.
"the higher the price of SBD the more activity we have"
it gives people the incentive to be more active if the rewards are bigger
Ya, that function of promoting is awesome, the only thing is I don't know that promoting is worth it. Other people tend to just use voting bots instead, and may not frequent the promotion tab. Maybe I should look into it more and see if it's worth it.
"I don't know that promoting is worth it"
Voting bots is a much faster and cheaper way to turn your SBD into SP, as well as raising your reputation
Ya, that's what I figured, promotion tab seems obsolete unless they somehow add value to it
Great post. Ive been recommending steem to alot of people and its a little difficult to explain the whole thing.
I will be directing everyone I recommend to steemit to read this post to get an idea what steem is and the great potential it has. Great work. Resteemed 👍
When I thought to join steemit, I was considering some of these facts you are stating here. And know when I read your post I can say I am on the right track! Yes Steemit getting larger everyday and this is just beginning. We will see great days, for sure. Thanks for sharing. Followed! Hugs from Suny Spain!
Yes, that's what I feel!!! Thank you for your positive analysis. We will see :) Future is bright. Upvoted, resteemed by @motherearthist
I think 0.5% declining rate approximately per year and then 1% steady rate after 16 years.
More explanation:
https://steemit.com/steem/@steemitblog/final-review-of-steem-economic-changes
https://steemit.com/booster-knowledge/@booster/how-to-use-booster-upvote-bot-and-explaining-the-primary-and-secondary-systems-the-steem-inflation
Amazing article! I agree with all his points. Looking forward to seeing the spot tomorrow.
If there is anything I live about you @taskmaster4450, it's the fact that you feed us with not just information but facts.
You love for the steem blockchain is unpresidented and you have been a source of inspiration to me.
keep it up...you've got our support
Great informative post. Thank you for sharing
yes your article is really informative sir... thanks for sharing :)
Wow! that's a great .Thanks for share.
Before know about blockchain i used coinbase but now i like blockchain @taskmaster4450
There is nothing to do.
These reasons are very well articulated Sir and makes this blockchain a very interesting one.
The writing is very useful, I will learn more from this post, and I hope to be successful @taskmaster4450
It is reading posts like this one that get me really excited about the future. Thank you for all you do to promote steemit. You are a great ambassador for this platform. Keep up the good work
I'm curious if we will look back on this post in a couple of years and be like: " you were so right man" or something will happen along the way.
In the meantime I'll just keep steemin' :)
These are all wonderful reason to be on the blockchain. Very impressive!
Man I have missed you blogs @taskmaster4450 , many people talk about steem, but when you do it it just seems like prophecy and fact, like you have just time traveled are are trying to explain it in plain English for us...
This is exellent explanation for all of us, Thank you very much.
I appreciate the analysis and details. Thanks for the great post. I look forward to seeing what tge future brings for Steem.
upvote resteemit done ..sir....thank you...all the best.....
Yes you are right sir. Thanks for share informative post.
Nice post thanks for sharing.
Why waste your time in Facebook where your data, posting and liking habits sold to third party companies who would use it to target you with sponsored ads that you have no intention of clicking.
As one of the early adopters of the system it will be very exciting to grow with the platform.
Indeed the SMT and the speed and zero transaction fees leaves other cyrptocurrencies in the dust.
It´s still hard to believe that we will hit 100 in the near future, let alone 1000 😉
Let´s take one step after the other and hope we will see at least 10 soon. Although I want to believe! - consider me the Fox Mulder of STEEM! 😂
Keep it up taskmaster, backed up my investment in Steem this morning, glad I did now!
I wonder how much the transaction rate will go up once the SMT is implamented. Hopefully, it won't go up too much, as less time speanut on transaction caps is more time spent on development.
Steem is basically a sleeping giant, it's like people don't even notice the transaction stats. That's huge, people were raving about raiblocks because of it's low cost and high speed and here's steemit with a bunch of additional perks...
This is perfect for newer members and interested parties to get a good overview of Steem.
Me myself, I wish I had information like this way back in December when I joined lol
Sometimes I think people forget how confusing this could be for newer members and information like this is so important to have out there. Resteemed for my followers to :)
Let's remember that Bitcoin, Ethereum, Litecoin and many others were once $4 coins. There's no reason to think Steem can't hit $1,000 or even $10,000 very rapidly once SMTs are released and large sites are built that require substantial bandwidth. Even better is that with delegation you wouldn't even need to sell your Steem Power, but could simply delegate it and get paid while retaining ownership. How cool is that?
Thank you @fabiyamada for resteeming this. It really is an eye opener. It acts as a reminder and a learning. The one that particularly caught my attention was this:
I only realized the importance of this element from this post. So thank you.