On February 16, the Weiss Ratings Group sent out an email in response to feedback regarding the rating they gave STEEM compared to the other cryptocurrencies on their list.
For those who are aware, STEEM got a B- which was one of their higher ratings.
Weiss sees mostly positives for STEEM with a couple negatives. Overall, it is an extremely bullish report about the future of what is taking place on this blockchain.
STEEM is a utility token, an idea that went over well. The fact that people log in and immediately see the prospect to make money, that scored well. There are many tokens out there which are still "selling an idea". STEEM is providing real world applications,right now. This blockchain was designed for social media activity and it is delivering. Tens of thousands of people are utilizing it every day while adding to their accounts.
This is fairly straightforward.
Weiss listed the strengths of STEEM as follows:
Strength #1. Decentralized.
Strength #2. Voting.
Strength #3. Easy upgrades.
Strength #4. High speed and low costs.
Strength #5. High usage.
Strength #6. Popularity.
Strength #7. Individuality.
Strength #8. Other apps.
Obviously much of this is known to Steemians who are on here for any length of time. However, it is good that this group is stating them for others to understand. The blockchain itself is designed to avoid many of the problems BTC and ETH are having. Scaling to the degree they are struggling with will not take place...at least for a long time. Also, the "I'm going to take my ball and fork the blockchain also isn't present with the upgrade voting system. Remember, this is a report put together for investors and they like as much certainty as possible. Constant in fighting does not endear people who put their money on the line.
Since STEEM did not get an A or even a B+, there must be something that got under the skin of the people who did this rating.
Simply put, STEEM lost points because of the Whales.
At this point, the distribution of STEEM is too centralized. This is a point that few can contend. Weiss acknowledged that this is something that could lead to censorship.
Nevertheless, even though they took points off the rating for it, they did not seem too concerned. Recognizing that this blockchain is rather new, they even took the approach that having the founders with the bulk of the power could be a good thing as the early stages can be moderated.
Weiss said this could be a problem in their eyes if it continues, something they will watch as time goes by.
Fortunately, the power of the Whales is already diminishing. As my post the other day showed (which agreed with the numbers through Jan 31st; which agreed with the numbers through Jan 25th; which agreed with the numbers from Oct 25th), the total amount of SP that is in the hands of the Whales is decreasing as time passes. More SP is being picked up by the lower tiers, as a group, while a couple Whales reduce their holdings.
While Weiss did not mention it specifically, the STEEM system is designed to spread the distribution around. Since most of the reward pool goes to authors, those creating the content are the ones who get the bulk of the payouts each day. From a simple numbers perspective, the Whales cannot create enough content to override the influx of new people (hence new posts) that show up each day.
I think many of you can now see why I am uber bullish on STEEM.
The one negative point that Weiss had is being tended to. Hence their concern is not really a concern since the system appears to address it. Outside of that, their report has nothing but strengths in it.
And that is a very good thing.
To read the posted email.... https://steemit.com/steem/@newsflash/weiss-report-on-steem-feb-16th
If you found this article informative, please give it an upvote and a resteem.
To receive the free basic income tokens you are entitled to and help end world wide poverty, please click the following:
Pictures from Google Images
It's a real game changer having a firm like Weiss Ratings publishing objective analysis based on criteria so faithfully linked to the core ethos of crypto, namely, a widely distributed, decentralized means of exchange and storage of wealth. It gives them even more credibility than they already had by being independent and impartial. It's just the kind of professional confirmation that we all need!
Their crypto website is looking quite nice as well. This is going to be a daily read for me! https://weisscryptocurrencyratings.com/
To be honest, I was initially sceptical of the Weiss rankings, as the way they were initially publicised made it seem like they were releasing analysis on crypto to gain an audience for other offerings.
I have since reviewed their methodology, and while it's not perfect, it has a very good chance of picking the long-term winners. That Steem gets such a good grade is very bullish for the long term.
I am the same, sceptical about the company (Weiss) and the whole idea. Mostly for those reasons:
Weiss ranking system was not clear, as even Bitcoin which was around for 9 years, was not ranked No1 coin. Not to mention such projects as Ethereum, Dash, Monero. NEO.
The whole ranking idea is good, but the criterias can be biased. Some of the coins have been around for too short time to compare them one to another.
Some can say, that the best rating system is market capitalisation. But once again, this is not correct, as empty and useless projects can be just pumped up, with small volumes. And market price will be determined higher that the true value of the project.
My personal opinion: the most important are two factors when it comes to cryptos: 1) how viable is the project, if it is needed and what problems solves etc. 2) How the project makes money. Because this determines the growth and demand of the project.
Time will show, if Weiss ratings is a useful tool for evaluations.
It does not matter what they write right now. They understand that 99% of all crypto are scam. As we all do. And this is the best they could do. The most important thing is that somebody started doing it. They are building their brand on cryptos.
Very good points. As you say, time will tell.
I've thought about making a Steem plugin to determining the value of a cryptocurrency. It seems like something this community would be perfect for.
API to show current prices or some quantitative valuation tool?
Love hearing this! Thanks for the post! Upvote / Resteem
Though Weiss Rating is uberbullish, STEEM seems to be struggling due to lack of trader's or investor's interest. STEEM is sold in the market for livings by many bloggers and big-holders are still downsizing. Therefore, supply is downing demand at this moment compared to other cryptos. However, if few institutional buyers come on the board for STEEM, it will rise in demand and correct its position to top 5 or 10. Still few issues has to be solved: how to retain new users since it is quite hard for them to earn anything without any SP. However, @taskmaster4450 other blog put some light on it.
Fix Promoted posts and demand will increase: burn steem (smoke?) for exposure. This is a different model to visibility via upvote bot.
Also, the incoming SMTs are a good reason for investors to buy in big; having a share in a smart-token exchange is a winner if the community around that token is strong.
The only cryptocurrency with no negative points at all.
It is good to know that steem really stand out among other blockchain and because is a decentratised blockchain,it is tend to stand the test of time but my fear is that the instability in the price of steem is discouraging some merchant from accepting it for transactions.
As regards the power been centered in some hands i think everything is making a lot of sense now as many investors are coming in and they are ready to help communities and projects that are really committed in keeping steemit growing
Yeah, in the long run everything will only improve. So much is yet to come and steem is already doing amazing I would say... It's good that we are seeing some nice distribution to authors and whales slowly losing their SP!
I see that report of Weiss and that's really impressive that they give steem a B- ranking that is actually the highest one among the others and i also agree with you that right now the power is so much centralised and whales are the game changer here so let's see how bright the future of Steemit going to be.😇
Yes it is great but also odd.
What does it take to get an A from that group....
Either way, they have STEEM at the top of the heap so that is a good thing.
Yes that's true because what are they looking for in a cryptocurrency to give a "A" ranking but ya as long they consider steem in a positive side all will be alright.
And our user base just keeps growing. 70,000 new accounts in the last 20 days.
If that rate of growth were to continue arithmetically, we’d be at 1.8 million accounts by the end of 2018. If it were to continue at that rate exponentially, we’d be at 3 million by then.
The automated sign up process will help a great deal.
Are there people in queue who are ready to get going yet are being held at bay because the sign up process is manual?
I imagine there are.
It really is very exciting.
While all the other fish are growing, particularly dolphins, which is really exciting, there are other avenues to help diminish the power of whales. All the groups, communities and curation trails help give the minnows and redfish a bit more power and a bit more say in what's going on and who is getting paid.
I don't mind the Whales moderating in these early days though... a couple of fraudsters who made a lot of cash convincing people to buy into BitConnect have been downvoted by particular whales which I'm happy with... otherwise they'd basically start again. YouTube has no such policing mechanism, so unfortunately the lowest common denominator tends to do really well on that platform... hopefully Steem can be smarter and a bit more selective.
You bring up a great point...while the system isnt perfect, it is there for a reason.
We can see the good points to it also.
While some might get carried away, others use their power wisely.
There are going to be some growing pains...no system is without them. Over time, we should see some of these issues go away as we see the size of this blockchain grow in numbers.
I honestly see it as extremely motivating... I can't wait until I'm hitting whale numbers so I can influence the type of content I like to see on this platform. If we all work hard enough, the Steem blockchain really can be what we want it to be.
I have to agree that whales seem to be the biggest issue, only because they currently dominate in terms of voting. Once we have more dolphins and orcas we will be sitting pretty.
I also think the value of some articles is way off because of this voting power difference between users. Like some real crap makes bank and a real gem gets nothing. Obviously voting bots throw this off, but currently any user with more SP gets more attention for the sheer fact of having more SP. That's why I think whales should be delegating the majority of their VP unless they have a great use for it. I've only been here for a few months so I may not have the best overview of everything, but that's what I see as the biggest problem.
What might have cost STEEM a better grade is its limited use for most noobs, outside of HODL.
Even if it is listed on various exchanges, in most cases, it is just a rock in the water. It is not functional for trading for one reason or other. Either the exchange is down for maintenance for weeks, as with OL,
and/or
not receiving new members, as with Bittrex, et al.
The future of Steem can be pep-rallied; but, until it reaches a level of functioning the top cryptos present, the grade of B- is somewhat generous imho.
Peace.
Glad to see a post on Weiss. I've been looking for those scores but they seem to be a secret. Does anyone know where to find them?
Your blog gives me more confidence, my friend watched a video on youtube posted a year ago and some guy was slating Steemit as a ponzi scheme so he pulled before he even posted a blog. I've been on here 1 week and i'm getting more popular so it's working for me but time will tell. Good blog and it gives me an extra boost to keep going.
Steem feels like a ponzi scheme because it is so damn transparent. When you see whales with shit posts getting paid huge you can't help but feel like, "What the actual fuck?"
Still, if you look at it from a global perspective. A novice blogger can come here and start making money instantly. This was previously unheard of. Steem is going places.
I'm curious what it will take to get an A or even A+ other than bigger adoption and more wide spread token distribution. If these are the only two things holding us back, then... oh boy we will be having an awesome time :)
P.S I've tried downloading the manna wallet and the antivirus deleted it :(
They didnt give one...so it might be a mythical creation.
As far as I've understand no coin deserves it yet, that's why there are no As
They didn't give one because the ultimate coins do not exist yet. An ultimate coin will have superior Decentralization, Application, Speed/Scalability, Community/Development, and Inflation/Distribution.
This is the kind of coin that will have the establishment shaking in their boots because it can't be bought out by fiat currency. It's the kind of coin that will have the top 0.00001% wondering how they can shut down the Internet to stop it from happening.
Needless to say it might mean war and I'm not looking forward to it... or am I? It's hard to say.
It has already lead to censorship. Some of these whale are now deciding what classifies as spam or what one can post or what one cannot. I recently saw a whale flag a competitor on steemit. He flagged all his posts he had posted in last 7 days and even put him on auto flag. So, when ever he made fresh post it got instantly flagged by that whale. I could easily see he was clearly insecure by his opponent. I am not going to take the name of the whale here because i know that won't be a good idea for me.
Who ever gave this rating were downright correct.
I think the Weiss Rating talking about Steem, is a good thing. The more talk about Steem and this blockchain the better. I'm still trying to get people to join and experience this platform, but to no avail. I'm not gonna beg people to learn how to make money, you get one chance from me.
Task, I have a question, if someone gets delegated 500 SP will they get the slider? Or do you only get a slider with 500 earned SP?
Thanks for the info Task. 😎
Uber bullish for sure!
What you said was the biggest ah ha moment for me when I chose to dive into Steemit / Steem. The utility of it!
We're actually using this stuff day in and day out, and that's the biggest 'win' for me. I'm sure LatestGreatest ICO will be a massive success and make loads of cash for investors...But I'll take the usability of this and the vision of the community.
SMT's are just the start! 100$ Steem is almost a guarantee :)
Big year for everyone involved in this blockchain for sure.
I read one of the "expert" opinions on 2018 and utility tokens were the prime targets suggested to invest in.
They are what I term Cryptocurrency 2.0 in some of my articles. 95% of the people will never buy a token in their life yet we are entering the tokenized economy. Hence a great many tokens success will depend upon the acquisition being done through their utility. STEEM fits this ideally.
I look at many of the tokens with larger market caps than STEEM and it is pie in the sky stuff. Sure a lot of what is being proposed will be pulled off. However, much of it wont. And that is the deal...STEEM is here now. It is functioning, processing transactions, and gaining users.
SMTs is an exciting protocol...when we see it....it is becoming like Yeti...something that might be folklore LOL.
It is a game changer for sure.
It's just a matter of time before things even out. By the end of the year Weiss will be giving Steem a B+ or A- as they see the centralization diminishing. We're seeing it already thanks to your great analysis. Just waiting now for the new investors and I don't think it will be long.
The recent influx of high profile content creators should also help redistribute the payouts that'll help even things out more, as well as the general increase in post volume as you note.
Thanks for breaking it down for us. I was really excited to hear of the Weiss rating (still am). I tried to get some friends on steemit when I first joined and the whale issue was a huge deterrent to them and they didn’t join. I can understand that, but as you say, it is becoming more equal each day! :)
Steemit is unique, one of its kind! and no one can argue with that!
It's no wonder that Weiss gave Steemit a B- where it gave Bitcoin only a C+.
This is a true indicator that Steem could someday come against Bitcoin ( although not in the near future I think!).
Steem do face this big issue with Whales and users who rape the reward pool! It's actually a kind of fallback on the part of Steemit.
I wish that in the near future, as more and more users increases, the Whales will have to struggle to keep up with the inflow of users and maintain their status!
I think not quite as described in the article, but partly true. whales have a lot of sp and if they analyze what they pay, it creates the impression that they do not read the content at all. I understand that they invested in this system and a certain business that is based on supervision, but it must be honest. there are really people who write good content,but they are not seen.
Awesome information here and it has lead to even better discussions with the community in the comments section. I think this is what supports that Steemit is a great platform and has huge potential. None are rated A as this is relatively new technology and platforms competing with huge centralized competitors in similar spaces. So, it is still speculation whether the value these assets have will be sustained or increased. However, the direction we are moving as a community is promising.
It's not helping the Steem and SBD price that many on this platform have their short term heads on and are constantly cashing out instead of powering up or lending out SP on a delegation to help new Steemians', for which they could earn interest on. If we all build our SP and keep the money in the Steemit economy everyone will be a winner.
I had seen the ratings when they first came out, but didn't look into their logic, so that's interesting to know! Thanks for the details.
I've been seeing certain drama about three whales in particular and I think we'll all be better off if and when that gets resolved.
I am happy to see the good news that STEEM will be bullish by the news of WEISS ratings bypassing the likes of old guards such as Bitcoin and Ethereum.
This will motivate me to do stick around on this platform and post quality content. Upvoted!
Smart Media Tokens...
Millions of new incoming users
Big YouTubers like Hodgetwins and Furious Pete coming to Steemit and DTube....
$100+ steem anyone?? :)
By the end of the year.
yeeeeee
Al kind of gainzzzzzzzzz.
Yes, it's good, that they proofed, what we already knew! 😀
STEEM is not only the only working blockchain with a real life value, but also the best crypto in the world. Let's hope, that people out there finally get it! 😉
crypto is the best invention in internet
Very informative and encouraging article. I hope that STEEM will get an A rating. I agree with Weiss on the strengths of the STEEM.
That's why I supported, followed and restored
This very nice post i appreciate your crytocurrency news thanks for sharing..Best of luck..resteemit..
beautiful post.
carry on your activity.
Your correction is almost good sir.You always uploads valuable post that's why I like your blog.Thanks for sharing.Upvote and resteem done.
This is very nice post. Ratings Group sent out of email STEEM Compared to the other cryptocurrencies on their list. Thank's for the sharing post.
I love seeing everyone else realizing what all of us have known. This platform is going to be Yuge!
Indeed, Steemit is a kind of treasure : useful, simple, fast, independent, worldwide, ahead of time...
One thing Steem got going for it is the usability and ease of use...the acceptability will definitely soar...
It's nice to see that our only real issue right now is the whales, but it's being fixed. I hope we don't run into censorship, as that would be really, REALLY bad.
hey ,taskmaster, i am new here.keeep supported me and upvoted me.
@taskmaster4450 - very informative article on Weiss ratings for the Steem Blockchain. I liken Steem to a value play in the equities market. Steem grows through the work of the Bloggers on the Steem platform. The more content is produced, the more Steem has the potential to grow.
Yes, it appears the report above says some Whales are reducing their holdings- but this is a good thing. Once, this trend subsides, Steem can continue it's upward trajectory; demand will continue to grow for Steem in my opinion.
I'm with Team Steem! The future's so bright I gotta wear shades....
Hi @taskmaster4450 ! Its amazing that a third party group rated Steem as the best cryptocurrency in the world and that the negative that caused them not to rate it higher was mostly because of the amount of SP held by whales. This will correct as time goes by.
Great insights @taskmaster4450 !
Regards, @gold84
The Weiss ratings have actually been pretty good. It seems like they've thought things through very well and have done a lot of research. I'm pleasantly surprised.
Excellent article. I really liked it. Thank you for reporting this rating. I think that the score B- is fair. Good luck to you and kind regards.