STEEM vs Other Cryptos and the Reward Pool
One way to consider any form of investments in a blockchain would normally be its market cap. The other way to see its real value is mostly based on the activity on the blockchain.
data taken from https://blocktivity.info/
Blockchain Activities
If you see the chart above, its clear that the STEEM is the most active in transactions with 1.3million transaction over the past 24 hours. Even with such high transaction , the CUI ( Capacity Utilisation Index is only at tiny percentage
Here are the CUI list based on the TOP 5
| Blockchain | CUI % | Transaction Per Sec |
|---|---|---|
| STEEM | 0.11% | 15.41 tps |
| ETH | 100% | 14.6 tps |
| BTC | 100% | 4.11 tps |
| BTS | 0.02% | 2.95 tps |
| LTC | 6.18% | 1.73 tps |
The Rewards Pool (“An alternative to my fountain story as @maverickfoo always says”)
Before trying to understand what the reward pool is, you first need to understand how Steem token are produced in a DPoS ( delegated proof of stake ) blockchain. It differs from Proof Of Work where tokens ( coins ) are produced regularly then distributed to the different machines which are performing work ( miners )
DPoS for Steem , the token ( coin ) is generated at a fixed rate every 3 seconds. The coins are then distributed to content creators, witnesses and curators, however instead of paying using the Proof Of Work method which requires raw computing power, in Steem the payouts is based on what adds value to the network.
steem.io bluepaper
The rate that new tokens are generated was set to 9.5% per year starting in December 2016,
and decreases at a rate of 0.01% every 250,000 blocks, or about 0.5% per year. The inflation
will continue decreasing at this rate until it reaches 0.95%, after a period of approximately 20.5
years.
So based on the supply of tokens created by the Steem blockchain every year, 75% of those tokens becomes the REWARD POOL which are then broken down into these percentages
Reward Pool Breakdown
- 75% content creators & content curators
- 25% goes to everyone else including Witnesses who are the producers of blocks for the Steem blockchains
Rewards for Content Creators and Curators
Any content which brings value to the Steem network/platform which consist of such characteristics
- drives new users to get on steem blockchain
- entertaining
- informative
- original
- engaging
.. is evaluated by users of the Steem blockchain and then your content is voted on by the very same users which you will do the same thing with their posts. Every user on the steem blockchain contributes back to its ecosystem .
You will then receive tokens ( steem coins ) based on a collective to vote your content thru the stake-weighted voting system.
So summarize , we already sit on the fastest blockchain with the highest no. of transaction showing that a lot of people are using it. Also the only investment we require is a Proof Of Brain !
So literally we need a brain and as the saying goes TIME IS MONEY ! Stop spamming and start creating !
No doubt that we are on the right platform.
Thank you @bitrocker2020
Good Post.....I want more of these post. Steem all the way! Let's keep steeming.
nice post, shows how under-valued steem really is !
I agree, but why do you think the currency has any value at all if users can use every basic feature on steem for free? I still don't really see a reason why a new user would buy steem instead of just earning it like everyone else and using the site's normal features.
Interesting facts there, @bitrocker2020 Btw, I'm the newbie on Steemit, hopefully can learn a trick or two from everyone here :)
Steem brought inovations into the cryptoworld. It really has a bright future. It's on us, the community to keep this platform growing.
Very interesting this post.
I do not understand about this
True. Indeed.
Thanks for sharing.
I can only say it is very cleverly designed and capture the limitless market which is human's creativity.
Well said @kimzwarch
Steemit is clearly ahead of the pack and that’s what will make this community excel and thrive!
great article! I learn a lot from it! I never see it that way, I was always in coinmarketcap mode! Thx a lot!