My first impression of Hardfork 19: Awesome for me? (800% up...)
I've been back and forward, up and down on my speculative opinion on Hardfork 19 beforehand. But now I have some very nice evidence to be quite optimistic again.
Looks like votes by the smaller account actually matter much more with the new curve. This is quite revealing about how much power the biggest whales were holding in the system before that.
Looks like Steem Power is worth a lot more now. First of all, let's look at my existing posts before and after the Hardfork:
That's a total improvement of over 800%. That's a lot. That's all value that is available to the small accounts to spread and for the smaller posts to earn. In the past, a huge chunk of the pie must have been going to posts that were getting really a lot of Steem Power concentrated voting for them. Now the flat curve allows for value to be spread a lot more evenly, so there is a lot more value left for the smaller players to benefit from.
On top of this my own vote is not worth something. In the past, whenever I upvoted a comment or a post, I could rarely make a dent, so my vote due to my low amount of Steem Power was pretty much worthless.
Now my vote actually registers and adds some value be it still a small one - at least it's not a zero amount anymore. My old votes were registering as zeros, my old votes have now been recalculated to 1 cent and new votes I make seem to be worth 3 cents.
Could this backfire?
Of course. Such a major shake up would have unpredictable consequences and I'm really not sure where it will lead. On one hand, you have people with less Steem Power getting a lot of motivation to become more active and a way to earn more. This might lead to an even larger influx of new users which would probably bump up the price of Steem. It might even lead to a bubble?
On the other hand, you get the biggest whales whose influence is now deminished significantly who might be quite dissatisfied with the new status quo which might lead to many or some of them powering down. Which could send the price of Steem crashing down.
I have no clue what will happen, but such major changes create a very Wild Wild West atmosphere and I have a hard time making heads or tails of it.
What do you think?
I think the change is projected and directed towards the long term stability and growth of the community. At the long run, anyone who powers down will loose more because steem will grow
I certainly hope so :)
isn't this great??? :)
I'm not so sure, I feel like it is very likely for it to backfire....
I disagree, this actually creating more engagement and new comers are more motivated than ever. I see steem prices going up now coz people will be loading up because now their votes really mean something. Its good news.
The thing is, that the increased earnings right now might push the price of Steem to levels that are unsustainable. This is how bubbles pop. If Steem gets flooded with people that come here to earn Steem and sell all of it for fiat, this might actually force a downward movement. And then you need just a few whales to decide to abandon the platform for the price to crash completely. The difference between long time whales and new people that came to make a few quick bucks might be exactly the willingness to hold for a long time.
We'll see how the market actually reacts.
Remember Steem Power can't be taken out fast, so I doubt whales will leave. They still have great power and income stream.
I'm just considering the possible caveats and the ways it could backfire. Of course, I hope it doesn't. The good thing about people that get involved with cryptocurrency is that they are usually willing to really hold it for a long time.
Big issue for steemit right now is userbase. 200k is not a lot. We need 1 million as soon as possible. I think this fork will make it happen. If there are issue, I believe next fork will fix. I am looking at the positive.
That makes sense, this is certainly motivating. If it brings in the right userbase, we should have no problems.
I think the slider is key for not blowing your vote power!
Surely the rewards can't stay this high?!
I actually don't know. The value created by the platform remains the same, it is just divided very differently, so the value is not higher, it's just easier to get some. It literary pumping power that way wielded by the whales out to the smallest accounts as the smallest and the largest accounts and posts are the ones that are going to be affected the most. As always, I'm not 100% sure I'm correct on this and there might be a lot of variables that have to be considered that I have no clue exist.
Of course, the way things look like right now looks a lot like a bubble that is ready to pop. Do I think I deserve 12 bucks for the last 3 posts of mine that I've included in the screenshot? Not really, I think my posts now are significantly overvalued and the market will have to find a way to correct for that. And the only thing the can be changed by the market is the price of Steem. It's entirely possible that we all start earning more, start cashing out more and thus pushing the price of Steem way down.
Back to speculation again! Well I'm going to lie down, it's all too much for me!
lol, that's a good one! :D
Very nice article and easy to read for a Steemit newbie like myself.
I would hope so as it is written by a newbie too who's been here just a few weeks longer than you have ;)
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