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RE: Smart Media Token Powered By Steem Pays You To Watch Porn
dude this is crazy. So, I still don't quite get it, If companies like vice start using SMT's and vice-coin goes up in value are they effectively getting a larger share of the current steem thats being created? IS that how it works? And will that increase the value of steem? I mean.... porn is HUGE on the internet right, so presumably there is a chance that if this is successful, then a HUGE portion of steem will become allocated to the porn industry. Which may be great for the price of steem but maybe not so good for other community based steem initiatives? But then I guess maybe thats kind of inevitable.... I don't know. WHAT IS THE FUTURE!!??
The way I understand it they are launching their own coin called Vice Media Token. To do so they will be buying Steem and holding it. Steem acts as the reserve currency backing up their token. So that means that Vice.org, the group of websites launching the token will have to buy and hold Steem to do that. They will not be selling Steem on their sites though, instead, they will be selling their new coin, Vice.
From their viewers perspective, they will not know it's backed by Steem. This not only creates a demand for Steem but because the site will have to hold it in reserve it takes Steem out of circulation making it more scarce. More scarcity and more demand usually increases the price of things.
From the perspective of the user of their websites though they will have no idea the VICE coin is backed by Steem.
if vice coin shoots up, without a doubt it would make steem a lot more valuable. without getting too technical its because something like this that ether went from being a few dollars to 450 as I'm typing this reply... a bunch of ICO's are built on ether.
holy criddlesworth, that is super exciting (In a gold-rush, porn-apocalypse sort of sense)