Introduction

Hello to everyone,
This week's assignments of professor @sapwood are available in this post. Our topic this week will be briefly about the Steem Blockchain and the reward system on the Steemit platform. Without further ado, I'm going directly to my post. Let's start!

Quesiton 1

What is STU? What is the break-up of STU? Take a real example to indicate the STU and calculate the different rewards that Author and Curators generated from your last Post Payout? (Screenshot required)

What is Steem Token UNIT (STU)?

In the Steem blockchain, the posts use PoB (Proof of Brain), so our posts on the Steemit platform are rewarded by other users and Steem Curators. The rewards we receive from our posts are shared between the authors (us) and the Curators. This award is not given directly in USD or SBD. It generally includes the distribution of the two together. The developers, on the other hand, generalized this and named the reward received by the posts as Steem Token Unit (STU). In short, STU is a kind of currency term used to measure the reward our posts have received. Even if the rewards received are in SBD, SP, Steem, they are not displayed in this way. The reward received by our posts is shown in STU, and the representation of this unit is $.

Now let's examine a refunded shipment.

As you can see in the screenshot above, the prize we received in the area I indicated with the first box is indicated by the $ sign, but this sign does not represent USD, SBD or Steem amount. This mark shows us the amount or rating of STU. As we can see in Box2, it shows that the prize is distributed between the authors and the Curators.

What is the break-up of STU

As we mentioned earlier, Steem Blockchain uses the PoB algorithm and this algorithm uses a task-based reward system. These rewards are called Steem Token Units (STU) and the share will be refunded after 7 days. After 7 days, these rewards are claimable for authors and Curator.

The award distribution is between authors and curators; It is shared as 50% 50%. In other words, 50% of the prize goes to the author and 50% to the Curators.

The author can adjust his awards in three ways. These:

• 50% SBD / 50% SP
• 100% Power Up (Steem Power)
• Refuse Payment

It is divided into three forms. However, the platform defaults to 50% SBD/ 50% SP.

50% SBD/ 50% SP Reward Setting: Author rewards in this setting; Depending on the borrowing rate, it can also be in the form of SBD/SP or SBD, Steem, SP. The reward reimbursed as SBD/SP is 50% of the STU amount.

100% Power Up Reward Setting: In this setting, the author receives the rewards in full SP.

Denial Payment Reward Setting: In this setting, the author refuses to receive a reward for his post and means he has not received a reward.

This award is an award that is won by our vote support for the posts and the refund is always SP. The reward reimbursed as SP is 50% of the STU amount.

Take a real example to indicate the STU and calculate the different rewards that Author and Curators generated from your last Post Payout? (Screenshot required)

If we examine our post in the screenshot we shared earlier:

Our post's bounty setting is 50% to 50% and is worth 11.57 STU. Again, as you can see in the screenshot, the awards are distributed among the authors and curators.

• Postpay: $11.57
• Author Award = $5.80
• Curator Prize = $5.77

Since the author will receive 50% of the payment directly as SBD;

• 5.80/2 = 2.90 SBD

50% of the author's payment is taken as SP. In order to know this SP amount exactly, we need to know the feed price of Steem. At the time I got the refund, the Steem Feed price was around 0.629 USD. Amount of refund we received:

• 5.80/2= 2.90 USD,
• SP amount = 2.9/0.629 = 4.61 SP

Total Author Award

If we examine the award received by the author in USD;

• To calculate the amount of SP received in USD, it is calculated by multiplying the amount of SP by the USD value of Steem. 2.9x0.629 = $2,001
• To calculate the amount of SBD received in USD, it is calculated by multiplying the amount of SBD by the USD value of the SBD. 2.90x7.6 = $22.04

The value of the total author award in USD is; It is 2.001 + 22.04 = 24,005 USD.

The payment of the curators is in the form of SP, as we said before, and when calculating the USD value, it is also calculated by taking into account the Feed price of Steem.

Curator Prize: 5.77x0.629 = $3,62933 USD.

Quesiton 2

Indicate the Raw reputation score of your Steem Account and calculate your Reputation? Cross-check it with the Reputation score displayed in Steemworld.org?

My Steem account is @adamsmoke and I will look at the Steemd platform to show my raw reputation score.

Raw Reputation Score (RPS): 28,640,519,894,774

The formula we will use to calculate our reputation is;

Reputation = (Log10(RPS)-9)*9) +25

Reputation= (Log1028,640,519,894,774)-9)*9) +25

Reputation= (13.4569808972036)-9)*9)+25

Reputation = 65.1128280748.

To verify our reputation value we found above, I enter my profile on the Steemworld platform.

As we can see in the picture above, our reputation score is 65.113.

Quesiton 3

What percentage(of the Post Payout) was generated as liquid rewards(SBD) from your last Post in terms of USD equivalent? Explain how the rise of SBD has shifted the supply dynamics? As per your last post payout calculate the ratio of Author:Curator Reward in terms of USD equivalent?

We have already calculated my post-final reward in USD in part 1 before. If we calculate the total reward received:

• Author award + curator award
• $24,005 + $3.62933 = $27,63433

As you can see above, we received a total of 27,63433 USD rewards. However, the amount of 22.04 USD of this award we received was obtained from the SBD payment. Liquid rewards percentage; The percentage of the SBD refund received from the shipment. Therefore, our SBD value in USD is 22.04 USD.

As for the calculation of the liquid reward percentage;

• (SBD Payment in USD / Total Payment in USD)x100 = Percentage of Liquid Payment in USD
• (22.04/27.63433)X100 = 79.755%

As Professor @sapwood stated in his lecture; Steem Blockchain rewards authors and curators who produce quality and unique content from its prize pool. This award is in the form of STU and 50% of the STU is given to the curators in the form of SP. The remaining 50% is; It is given to the author as 25% SBD and 25% SP.

When calculating this rate; It is fixed with SBD=1 USD and SP=1 Steem. However, when we received the award, SBD exceeded 1 USD and it was worth SBD=7.6 USD. Normally, we should get a 25% value when we share the award; In our Liquid reward percentage, which we calculated in the previous section, SBD accounts for 79.75% of the votes of writers and curators in USD.

• (SBD Payment in USD / Total Payment in USD)x100 = Percentage of Liquid Payment in USD
• (22.04/27.63433)X100 = 79.755%

The PoB system defines that 75% of the prize pool should be Staked Reward and 25% should be Liquid reward, but in this case 70.75% of the reward received was given as a liquid reward because the SBD value exceeded 1 USD too much. Therefore, it causes a very large supply. For this reason, Steem's demand is falling.

If we remember, the author award amount of our post for which we received the last payment;

• To calculate the amount of SP received in USD, it is calculated by multiplying the amount of SP by the USD value of Steem. 2.9x0.629 = $2,001
• To calculate the amount of SBD received in USD, it is calculated by multiplying the amount of SBD by the USD value of the SBD. 2.90x7.6 = $22.04

If we calculate the total amount received by the Author based on our last payment:

• (Total Author Award/Total Award)*100
• (24.005/27.63433)*100 = $86.86%

If we remember, we calculated the curator prize amount above.

• Curator Prize: 5.77x0.629 = $3,62933 USD.

If we were to calculate the total rate the curator received based on our last payment:

• (Total Curator Prize/Total Prize)*100
• (3.62933/27.634333)*100 = 13.13%

As a result; While normally the author and curator reward ratio should be 50% to 50%, this distribution has changed due to the increase in the price of SBD.

• Author Award: Curator Award = 86.86%: 13.13%.

Question 4

Explain how & why an initiative like #club5050 can shift the demand/supply dynamics in favor of STEEM?

As we said before, the reward distribution according to the PoB algorithm; It should be in the form of 25% Liquid reward and 75% Staked reward. However, as you can see in the examples we made, the SBD increased too much and therefore the liquid reward rate was based on 75%. This situation caused the demand for Steem to decrease in price based on the law of supply and demand.

He gave birth to the idea and movement of the Club5050. Because the dynamics in the reward system has changed and a reward imbalance has occurred between authors and curators. This idea was made both in order to eliminate this imbalance and to balance the amount of liquid taken.

Thanks to Club5050, Steem's supply will decrease and it will create a stabilization in prices. In addition, the demand for Steem and the Steems obtained will be Steem Power. In this way, each user will be able to increase the amount of SP and their voting power will increase. Although this move involves a price balancing, it will be a very useful move within the platform. Because in this way, both users and communities will be stronger.

Due to my recent financial difficulties, I have not been able to increase my SP amount very much, but from now on, this will change with my first refund, and I will have joined this movement.

Quesiton 4

Consider a user having a reputation lower than you, upvotes your Post-- Does it affect the Payout and increase the Rep? If the same user goes for a downvote, does that affect your Payout and Reputation both? Explain Why & How; with Examples?

In order for the events to be more understandable in this section, we must first understand the concepts of Positive Vote and Negative Vote.

As we mentioned before, writers who produce content on the Steem Blockchain are rewarded within the framework of certain rules, thereby increasing their reputation. This rewarding system is achieved through positive votes by the curators and other authors.

Likewise, when authors who produce content on the Steem Blockchain share harmful content outside the specified rules, it is voted negatively by curators and other authors.

In this voting system, positive votes and negative votes; rewards and reputation increase or decrease depends on the SP amount of Curators and authors.

Upvote: Users with a lower reputation rate our post positively. The Upvote given by the user increases our reputation and the reward we will receive from our post, regardless of whether its reputation is lower or higher than us. This increase will vary depending on the amount of SP, it can be a small value or a high value.

Downvote: If the author with a lower reputation votes negatively for our post; will reduce the award we will receive according to the strength of the same author or curator, but will not cause a change or decrease in our reputation.

If we explain this situation with an example;

Let's say an author with a reputation of 65 is sharing quality content, and after upvotes, let's say our STU is $50. Let's say an author with a reputation of 57 votes us negatively by downvoting, and let's say the voting power is $3. In this case, our STU value will be 50-3=47$. However, as a result of this voting, our reputation will not decrease, it will only decrease the amount of rewards we will receive.

Likewise, let's assume that another author has upvoted our post. The final STU of our shipment was $47. Let's assume that the author who voted us affirmatively had a reputation of 57 and a voting power of $3. 47+3=50$; Our STU value increased by 3$ and reached the 50$ level again. However, as a result of this voting, not only the reward we will receive will increase. Although our STU value has reached its previous level, there is also an increase in our reputation. In other words, our reputation at our initial 50STU value would be greater than our 50STU value after receiving an affirmative vote.

Conclusion

In this lesson, I think we got all the information about how the Steemit reward system works. I don't think many authors are aware of how the STU value is formed and how it is distributed. For this reason, it was a very productive and instructive course for writers who did not know this information. I had the opportunity to learn about the subjects that caused many question marks in my mind.

In general, we touched on many topics in the lesson, one of them was the idea of ​​club5050. This idea is very well thought out and it is a move that will contribute a lot to the development of the platform. In this way, users will not be afraid to increase their power. From my point of view I will try to raise SP as much as I can.

Thank you professor @sapwood for this nice lesson, I haven't been able to do your homework for a long time and it was a homework that I really enjoyed. However, thank you to everyone who read my post. I wish everyone a healthy and beautiful day.

CC: @sapwood