Whale and steem

sahar78 (71)Mod [SFP]in Steem Alliance • 6 months ago (edited)

Good morning 🌄

Greetings to you all!
Today my topic is about whale at blockchain and specially I want to talk about steem blockchain here.

A whale in blockchain is defined as a particular individual that carries highest amount of particular cryptocurrencies and these are known as whales because of high amount of a particular cryptocurrency which they hold.Whale in a blockchain have significant effect at the market

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Whales can trade particular currency and by selling and buying a trader can impact and influence a particular currency in a significant wave because when any whale make any move then it cause price of particular assets to fluctuate so in this way nipples are created in the market and due to their significant amount of holding their action always seek attention of other investors also.

Whale cannot only be an individual it can be an institution also and there are many well known whales present in cryptocurrency space which include early adopters, currency exchanges as well as investment funds and there are some companies also include that have hold large amount of particular assets.

Not all whales have intentions or motives for the manipulation of market there are some also that have long term plans for investment.These whales acquire there holdings earlier on when the price was very down and their money or their portfolio grows in a significant way with the passage of time as that particular asset especially evolve.

A whale can trade means can sell and buy a particular cryptocurrency for the creation of fake or artificial price fluctuations for getting their own benefit and this is a kind of manipulation by that whale in this case because this behaviour can cause and fair trading practices due to involvement of higher fluctuations in the cryptocurrency and market.

For the prevention and less effect of these kind of manipulations by whales there are some cryptocurrencies that have implemented different preventive measures at their exchanges and these measures include the implementation of trading limit strategies as well as implementation of some strict rules and promotion of transparency in trading.

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Particularly at steem blockchain whale is considered as that individual that contain a particular and significant amount of steem power minimum of 1 lac steem power. And that user and that individual is considered one of the most influential person at the platform and at the blockchain.

When someone reach at this blockchain at the level of whale then it gives that individual more voting power and then they can use their voting power for giving rewards to other and then they influence the visibility of others posts and earn rewards in return.Due to significant staking in their accounts votes of whales carry more value and weight than normal users so when whale upvote or downvote any post then it cause significant effect at someone's post visibility.

Whales plays crucial role in this blockchain by the curation of high quality content and giving rewards to creators of content but influence of whales can also lead to potential abuse and manipulation as well as centralization of power.

For the prevention of these kind of manipulation and for aggressing these issues this blockchain also have different mechanism at the backup and one is the implementation of voting power decay system. This system helps in the prevention of whales about dominating the platform and encouraging more diverse distribution regarding influence.

That was all about whale in a blockchain and specifically at steem. Now you can understand that how much these are essential and important for the price fluctuations and price movements of cryptocurrency and how much they are impactful in market.