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RE: Is Bitcoin a Ponzi too? A Simple Explanation about Where Does Money Come From for Dummies

in #steemit8 years ago

Yes, SBD makes it complicated, but it is the core of the issue. The claim is SBD is pegged to the dollar because it is backed my Steem such that more Steem can be printed to back SBD as needed. This seems to me to provide a mechanism that enables huge inflationary pressure in a financial instrument that can be liquidated quickly, causing a problem if there isn't enough demand for SP.