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RE: SCAM

in #new7 years ago

I glad I tickled your funny bone. Laughter makes the day go smoother.

I did make an offline copy of the keys and I logon with the key that has the correct permissions (for what I'm going to do).

Can you give me some insight on why you could transfer say steem dollar to steem. I somewhat understand about powering down and why you might want more steem power. I'm assuming that you might want to transfer steem dollars(are these also called 'SBD') to steem if you wanted to exchange for say bitcoin or USD. Am I understanding this correctly. Is there somewhere I could go to get further information about transfers? I read some of the 'FAQ' but I didn't follow the explanation. Thanks for your guidance.

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The native currency of the Steem Blockchain is Steem (mkt: STEEM). That is the currency we use to transfer around (think ether for Ethereum). There's currently 270++ million Steem in circulation of which our market cap is calculated from.

Steem Dollar is simply said, like a feature to make mental calculations easier. While the price of Steem fluctuates with supply and demand. The price of SBD (Steem-Backed Dollar) will always hover near 1 US Dollar. While there's hundreds of millions of Steem, at any time there is only a handful of SBD around. Since it's function is to circulate and it's never wise to hold SBD long term. If you want to HODL, hodl steem in the form of Steem Power.

There's a mechanism working within the blockchain to balance the Steem-to-SBD value ratio. So say 1 Steem is 2 USD, then 1 SBD willl be 0.5 Steem. This, among other resposibilties, are handled by our witnesses. That is why it's important to make sure to vote for witnesses you are confident in (which is a whole other topic).

In short, SBD is best when purchasing something with Dollar value. Perfect for merchants for example. No mind-numbing conversion ("How much is a dollar of bitcoin? 0.00000078 Bitcoin?") needed. 1 SBD is meant to equal 1 Dollar.

Thank you for the detailed explanation. I will need a day or two to wrap my head around that. Have a good day.

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