# Default (50% SBD / 50% SP) vs. Power Up 100% 2018-06-03

in minnowsupport •  5 months ago

## Why this information

I am providing this information for those who would like to compare different post reward payouts and pick up the best one when they create blogs and comments.

## Three Options

There are three available options for blog post rewards and comment post rewards:

• Decline Payout
• Default (50% SBD / 50% SP)
• Power Up 100%

Which option would give you the best overall payout? Well, we know it is not Decline Payout for sure. How about between Default (50% SBD / 50% SP) and Power Up 100%? The answer is it depends.

It depends on the SBD and Steem prices as well as steem_to_sbd ratio at the payout time. Let us take a look at the equations of how payout is calculated first.

## Equations

#### For Default (50% SBD / 50% SP):

• Author Rewards SBD = author_payout * 50%
• Author Rewards SP = author_payout * 50% / steem_to_sbd

#### For Power Up 100%:

• Author Rewards SP = author_payout * 100% / steem_to_sbd

Please note that the payout is calculated at the payout time using the Blockchain variable steem_to_sbd exactly 7 days after you create a post, not when you create a post.

### Below are current market prices of SBD and Steem in USD, as well as sbd_to_steem ratio from the Blockchain.

Time (UTC)2018-06-03T17:32:27
SBD Price2.01491
Steem Price2.54657
steem_to_sbd2.409

Let us assume the author reward portion of the post payout is \$1. I then use the equations above to calculate the payouts and convert them to a common currency USD for comparison. You can use any other currencies for comparision.

• Default (50% SBD / 50% SP): \$1.54 USD
• Power Up 100%: \$1.06 USD

Sort Order:

On a \$1 payout from the system, you will receive .5SBD and .196 steem. That works out to (.5SBD x2.01491 + .196 x 2.54657) = \$1.50USD.

At 100% payout, you will receive .392 steem or \$1.00USD. On a 50:50 payout, you receive half in SBD (SBD price of \$1) and half steem (steem price average). The fact that SBD is above \$1 is the challenge and the confusing part. With it above \$1, that makes the 50:50 ratio more profitable, but there is a break even point with the spread between SBD and steem that needs to be taken into consideration as well.

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Absolutely! SBD price is the determining factor. We get a better 50:50 payout when SBD price is above \$1 USD. However, steem price seems to have very little to do the payout because its price cancels out each other when we convert the payout to USD in the calculation.

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I agree. I figure that as long as the price of SBD remains above \$1, then a 50:50 payout is worth while. However, when it hits \$1 or less, then 100% payout becomes the better option. Do you concur?

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Yes, I completely concur. That's easy to remember :)

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Thank you for this info!

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You are very welcome! Thank you for stopping by :)

Thanks for the valuable information :)