BLOODBATH IN STEEMIT'S INTERNAL MARKET - HERE'S WHAT'S GOING ON!
The other day I wrote a post titled, HAS POLONIEX BEEN MANIPULATING THE PRICE OF STEEM/SBD? and it got a lot of attention thanks to a pretty big account that resteemed it and another massive account that put a 100% upvote on it! I appreciate the support very much and I'm happy to see my best post yet trending on major tags such as #steemit and #steem.
Today, I woke up to a massive decline in prices in the internal market here which I had been expecting as I will try to explain why. The reason I first brought up my best post yet is because the bloodbath in the internal market could be very well related to it.
The price of STEEM in SBD in the internal market reached a record last night and just before I go to sleep, the price was trading as high as 1.83+ but liquidity was very low and price was constantly fluctuating between 1.70ish and 1.83ish. This of course means that most people or at least big buyers were not willing to buy at these prices anymore and most orders were placed at around 1.40 SBD. This morning I checked the price as soon as I woke up and bang! It was down to 1.50 SBD.
I very soon realized that this must be due to poloniex re-enabling the STEEM and SBD deposits. I checked their website and I was right. But wait a minute! They just happened to re-enable SBD and STEEM right after liquidity reaches its lowest possible level in the internal market here? Is that really a coincidence? I don't know about you but I personally don't think so.
I haven't received my SBD deposits to @poloniex exchange yet. I raised another ticket a few minutes before this post and I got the same automatic reply. Having said that, I just read a post from @lukestokes who's a Steemian and a witness, about how he has finally received his 3000 STEEM from @poloniex after 51+ days! You can have a look at his post HERE if you want. Luke seems like a really nice guy and so I voted for him today in the witness section. You can vote for him too if you want HERE. He's currently number 33 on the witness list.
What about you guys? Have you received your STEEM or SBD yet? Have you made any new deposits or withdrawals after they re-enabled the wallets again? Is it working now? What do you think about the timing of poloniex re-enabling the wallets and the timing of low liquidity in the internal market followed by the bloodbath? Do you think that was a coincidence? Please leave a comment below.
Don't forget to UPVOTE, COMMENT, and/or RESTEEM!
FOLLOW ME ⇿ @msg768
UPVOTE, COMMENT, and/or RESTEEM!
FOLLOW ME ⇿ @msg768
my $500 in SBD to Polo has been missing 2+ weeks now.
Nothing.
I have posted Polo warnings on my page a few times since then.
Gave you a good UV here and it bumped you up about $2.50 and hope some more people see your post.
Sorry but my VP% is drained LOL.
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I think my last post of the day here telling off FB and then turning it into a post and a tweet, is super ironic and funny and they cannot delete it from the blockchain hahahahahah
Nite my friend! Check that if you want a laugh and some extra #Liberty in your day
(:
Thanks a lot buddy! And sorry about your bad experience with @poloniex. You're not alone as you know. All we can do is to raise awareness because many still don't know this stuff! Keep it up brother :] We need an open-source, fee-free, transparent, community-supported exchange platform imo!
Thanks for the words of support....
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I am about to cross 2 major Milestones on Steemit today and 3rd major one in a day or 2!! One has already been crossed by the time I woke up today and I think I am a couple posts away from 15k posts!
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20K SteemPower is also a day or 3 away!
I know you know how tough it can be on here, I missed the easy/glory days of May/June/July last year when you throw a post up and it made $500 or $1k.
My luck LOL
If they are manipulating it like your research suggests - and if so more than likely they would be trading to take advantage of it (else why bother manipulating the market) - then that would be extremely illegal. If it were traditional finance similar actions would risk jail for much less.
Nothing is illegal if you don't get caught and the more money and power you have, the less you're likely to get caught because you can simply bribe anyone you want!
I think it is illegal - it's insider trading
Titanic > Poloniex
hi steemit!!vote and follow me! thanks you very much!
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Thanks for the witness vote. Very much appreciated. I've never seen the poloniex account participate in the internal market. All those trades are on the blockchain, so if there's any manipulation going on there, we'd have evidence for it.
My pleasure! Okay but wouldn't they be able to use a couple of anonymous or fake accounts to trade in the internal market? I don't think it's that difficult to hide your identity here!
They could, but how would they get Steem or SBD to those accounts? It would have to come outbound from the Poloniex wallet, right? We can all see that nothing was going outbound while it was down. Blockchains put everything out in the open.
There has been a lot of activities going on in their wallet but it doesn't have to come from their wallet here. They can exchange the steem or sbd to bitcoin or some other crypto and then use another market to convert them to steem or sbd and bring them here. Blockchains put everything in the open but they can't stop people from doing such things! If I'm wrong, then I'd like to hear a proper explanation from them. So far we've heard nothing but silence... Not to mention that people like me are STILL waiting for their deposits to be credited on the exchange!
@msg768, you've been a busy little beaver! Lots and lots of great content coming from you, bro!
After I read your nice big post I penned a couple of Poloniex-tagged ones myself.
I really don't know why people are still using them, with all the published complaints, between reddit and here...
There are parallels between polo's timeline and a now-defunct major gold and silver dealer and I wonder why @poloniex has $50m in steem sitting in its steemit.com wallet
Is there something I don't understand about these exchanges that would necessitate the storage of the coins here? Is this what they consider "cold storage"? Who the f- owns all those coins??
Thanks! No one really knows who owns those coins but most of them are apparently for their clients who send them the coins and instead get credit on the exchange to trade!
That's what I think too... by definition that increases counterparty risk... they might allow a little more liquidity on their paper exchange while keeping the real deal out of their system altogether.. I would think their cold storage would be on segregated servers in their own possession.... I suppose they want steemit.com to be their freezer.
As far as I know, steemit.com is just a third-party interface that interacts with the steem blockchain. All exchanges work from an intermediary account so when you transfer them your money, technically you don't own your money anymore. They do and you will be at their mercy. I think we need to get the communities to rise up and support a completely fee-free and open-source exchange platform backed by people's donations. That would make a huge difference and would literally kill things like poloniex and bittrex!
i'm getting nervous using bittrex now
I think you are on to something although i think the uptrend is still intact and hoping it will be up to 1.90 vs SBD before end of September.
You shouldn't really be tracking the price against the SBD. You should be tracking it against the USD and/or BTC. SBD is supposed to be pegged to USD but I predict that it will be used as a safe haven asset to hedge against potential crashes or corrections of STEEM and other cryptos!
Thanks. I know USD makes sense but I'm just using a quick and dirty simplify way to look at it.
Will be good there is a one click answer to these kind of question.
Thanks for share nice post👍