A Power Down done right?
Yes, I am in Power Down mode and looking to dump on the markets. I know, I just wrote a post about not selling anytime soon but I went to my wallet and noticed that I can both power down to sell and not do it soon.
This is of course a glitch but just in case I went to steemworld.org to make sure my account wasn't actually in a power down cycle. It seems that there are again some changes being made to steemit.com which generally introduces some UI weirdness along with it. no doubt it will be rectified soon enough so there is no need to panic or holler and shout.
However, if there was a 87 year power down cycle, that would definitely take some liquidity off the markets pretty fast :D
Since I just posted and I normally don't like to post too close together because people think that I am a robot, I will tell a related story about ownership and why crypto is awesome. It also has a lesson for the future.
I was in a class the other day talking crypto stuff and explaining how blockchain records things and if someone has lost their keys to their Bitcoin, that bitcoin is locked away for eternity -while still being visible. This sounded crazy to my client of course and he said that it is unsafe because if he lost his login keys to his bank, he'd just have to call his bank to get access. Sure, that is the case.
What people don't actually realize of course is that their bank accounts are not theirs at all. Sure, it has their name on it and they have keys but, other people have access and if a crooked bank manager was to clean out accounts and flee to a non-extradition country, not much could be done. Of course, we know that we shouldn't store crypto on exchanges for this very reason as if something happens, we don't have the keys.
My client didn't get the point of this straight away but then as I explained what would happen in the case of a run on the banks, essentially the banks would freeze bank accounts and cut access. This means that whatever value one stores in the bank is not actually ones own, it is entrusted to others to look after it. Tell me, how many people would you trust your Steem master key to? On top of this of course, what if the government/banks decided to destroy the value of that currency in your bank by printing a massive amount more of it? Oh, they do.
The thing that people believe protects them is that the banks fall under legislation and laws that make lots of things illegal but the thing is, there are many ways that one can still lose funds, banking fees being one of them. Essentially banks extract money out of accounts through fees that go largely unchecked and they can add up massively over time.
When it comes to ownership, whoever has the keys of access own the value and this is why blockchain is such a simple and brilliant piece of architecture because, ownership can be had of the data held on specific locations of the chain. This makes what is actually held here under your account and in your wallet, yours. Sure, it might be valueless but, it is yours. If at some point someone decides that they are willing to accept your valueless numbers in exchange for something you want, your valueless numbers now have value.
The economic value of something ultimately comes down to whether or not someone is willing to take it as payment for something they possess and in the future, the tokenization of nearly all 'countable things will mean that there will be a lot of trade of things that alone have no value but when people decide to attach them to their goods and services, will.
Still, hold onto your keys. They are yours.
86.995 years still to wait.... Will Steem moon by then?
Taraz
[ a Steem original ]
Haha, I saw that! Funny stuff.
I love the example you use with the keys, banks and who has ownership of the money. At the beginning of the Great Depression people found out, but I guess that lesson hasn't been taught lately.
I think they learned it in Greece not too long ago but people say, "it'll never happen here". (no matter where they are).
I'm Greek, and I can confirm that.
You can confirm you are Greek or the bank thing ;P
The bank thing! :D
Well, actually both :P
For Steem to be around 87 years later would require at least one witness running the full node. That person could be anyone. But of course the value of the currency would be zero if just one person would be using it. Chances of just one person using Steem by that time is also close to zero because if there is one, there would be many more.
Posted using Partiko Android
My father was a witness, my grandfather was a witness... :)
Now things are getting more complicated 😭
Learn all you can before it simplifies :)
You make some good points here which are worth repeating.
Posted using Partiko iOS
I saw that, wonder whats going on with it. It's just a visual glitch(remember when our estimated wallet value was in the billions(some even trillions I think) because of a glitch in steemjs?) so it doesn't affect much, but fixing it should be a priority so people don't get confused.
These things happen from time to time on all platforms. I do remember being worth billions... those were the days.... :D
I know I don't plan on powering down anytime soon. I'm going to ride it out and see what happens. Thanks for sharing @tarazkp
87 years might be too long for even me :D
When Steem is at $1,000, I wouldn’t mind a 87 year power down to leave something for my kids and grandkids! It will probably take 87 years though!
I have also experienced the fact that my bank account isn’t mine as the tax authorities cleaned it out without notice one day! Since then, I am anxiously waiting to move of my liquidity to crypto!
Posted using Partiko iOS
I am just doing some math I might add later in a post...
40,000
25% 10,000 at $10 = 100,000
30,000
25% 7500 at $30 = 225,000
22,500
25% 5625 at $50 = 281,250
16875
25% 4218 at $75 = 316, 406
12657
25% 3164 at $100 = 316,425
total= 1,239,081 and still 9493 ~25% of the steem left.
Factor in the added earnings, selling and buy back along the way and it is an interesting ride. I wouldn't sell 25% at 10 dollars though :D
Recently, the tax office was going to shutdown my business because I owed tax from last year - like that would help them get it :D
lol, you know I saw that same thing in my wallet a couple weeks ago, I wasn't worried about it, one I don't have enough in there to be worrying about and two I'll be long dead at that point.
I am unsure if I would make it 7 years at this point. I should sleep more and eat better.
Sure, the funds in a bank arent "really" yours. But you might as well treat them as if they are.
Im not a fan of people perpetuating the idea that theres this big risk that exists when you hold your funds in a bank. That is completely false. We just repeat it because "crypto vs banks" and steemit is basically a echo chamber of similar ideas on banks, government, etc.
The truth of the matter is that keeping your money in a bank right now is safer then keeping it any other form. (depending on the bank ofc)
Private keys are a huge obstacle for mainstream adoption and we will need to find a way to somehow fix that problem.
Lets not lie to ourselves and pretend that the "private keys" option at this point in time is superior to holding your money in a bank. Because it most definitely is not.
Depends how you hold your private keys of course and that has risks too. Banks are stable when the economy is stable but if something happens, that can change fast as we have seen in many forms over the last three decades or as @whatsup mentioned, the great depression.
Keeping the money in the bank also means that it is losing value as for the most part, the interest earned on it is less than the inflation that is driven by the bans that are loaning it out.
Sure, it depends on how you hold your private keys but there is more risk associated with that then holding your money in a bank. We will figure that out one day, but right now banks are safer.
The possibility of "something" happening is extremely low.
If @whatsup wants to take a bet, id bet all my steem and the rest of my crypto portfolio that nothing close to the great depression in magnitude will happen any time soon, if ever.
hehe.
We can talk economic stagnation or depression all we want, but id say thats pretty silly when wer sitting at 0.4$ at 90% down from ATH. :)
If I thought it was reasonable to track... I would take the bet! :)
I'm right there with you..... Powering down in 87 years. And in the meantime my rep keeps blipping between 70 and 25. Steemworld says it's 25 rep. Poof!
It is a safety feature to stop theft :D
I'll bet it works! 😁