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RE: Steem Power Is Rare And Why Powering Up Will Make You Part Of The 1%

in #steem7 years ago

Wow my friend, this article really has me pumped!

I recently dropped some stacks on my account, and now have a little over 1,000 Steem power, plus every time I reach a certain threshold of Steem Dollars, I send it over to the exchange, sell it, buy Steem, send it back, and then power up!

It has become my healthy addiction, and should net me some massive positive results in the years to come! 🐳

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1K SP puts you in some elite company. These numbers are revealing how few people truly are at that level. Keep powering up and you will attract a lot more attention as newer people sign up. It is human nature to gravitate towards those who are ahead of us...most newer people are going to look at 1K as SP as a huge amount.

What is exciting is your road to 2500 SP will be easier.

I hope so, and I'll be working hard at! 🐳

So True!!!

every time I reach a certain threshold of Steem Dollars, I send it over to the exchange, sell it, buy Steem, send it back, and then power up!

Have you done the math comparing doing it that way versus using the internal market?

The internal market pegs the Steem dollar at just $1.00, where as when you send it out and sell it on an exchange, you earn whatever the going price is, which allows you the ability to buy more Steem with it.

That hasn’t been my experience at all. The internal market values SBD’s at much more than a USD. For each one SBD, I’m getting more than one SP.

I think you’ve made some inaccurate assumptions about the internal market. I think you’re thinking of the old “convert to Steem” option that was removed a few months ago.

So, when I use the convert to Steem right here in the platform, it converts it via the going price of the Steem Backed Dollar?

Using the internal market, you’re creating a limit order. Sometimes it converts almost instantly. Sometimes it takes a few minutes. Occasionally, when prices are volatile, it might not go through and you can cancel the order. But this is not the old convert to Steem link that took three days.

Experiment with 0.1 SBD and see if you like it.

That didn't answer my question, the question I had was, does the Steem Backed Dollar convert via it's current market price of Steem in the organic system?

Basically, yes. Another Steemian is selling Steem for SBD.

Try having two windows open. In one, sell 0.1 SBD the way you’ve been doing and see how much Steem you get. In the other sell 0.1 SBD for Steem on the internal market. Do the two trades as close together in time as you can. Compare the results.

I do not use Poloniex or Bitrex so have no clue about them. But I think you’ll be happy with the results because no middle-man exchange is getting a piece of the action.

Here for example is a trade I made on Saturday:

Coinmarketcap.com was showing SBD at $6.67 and Steem at $6.17, a ratio of 1.097

I traded on the internal exchange and got 7.668 Steem for 7 SBD, a ratio of 1.095

There might have been a minute between when I checked coinmarketcap.com and when I made my trade, which could explain the 0.002 discrepancy, but I doubt that the fees for an external exchange would be less than that.

It's definitely more profitable the way you do it

Me Too Love It!!!