The Steemit platform is powered by a crypto currency called Steem. Just like other social news platform like Reddit and Hacker news, users in Steemit create and curate content and get rewarded for their work with steem.
We all know that the value of steem has been decreasing but do you know why? With the falling steem price, it's quite easy to encounter a number of Steemit users raising concerns about it as it is really causing problems for the authors because rewards on their posts are decreasing.
Who wouldn't get frustrated to get little rewards after a hard work of creating a good content?
Some have said that because a lot of people started selling their steem after little decrease in its value, it created a further downward pressure on the value of steem.
But I think it's more because of the people who are only in it for the money and who cash out without reinvesting and you can tell that these are the same as the ones who are powering down.
In addition, some new steemians, and I guess some old steemians as well, are also a thing to consider about the decrease in the value of steem. I say some, not all and there are three kinds of these people.
People who think they can get rich real quick.
You have to admit that when you found steemit, you found opportunity and thought you can get rich in the platform. With the same thought in mind, many users only cared about the rewards and not the value on their contents and it affected the community that some thought of Steemit as broke.
People who bring value but can't help steem grow.
There are a few authors who bring of something value to the community but cash out too often and almost all of them do not understand how they can help steem grow.
People who bring value and reinvest back to the platform.
Although there are some who do not reinvest, there are still a tiny number of steemians who give at least 50% of the value back to the community.
Some speculations of why steem experienced further downward pressure was because when it's value is starting to fall, many Steemit users desperately tried to sell their SBD holdings while the price was still not too low.
I don't know. These are just speculations and you probably can tell me your opinion on the comments section below.