Question: When you power down, does it reduce your influence immediately?
This is my current understanding: when you power down, you convert Steem Power (SP) to STEEM (S), and the total amount that you power down is paid out to you in 104 payments over the course of 2 years. Since this reduces the amount of SP that you control, it also reduces the influence of your votes.
My question is this: say I power-down 104 SP, so my weekly payments are 1 SP-->S. Will my influence be reduced by 104 SP immediately? Or will it be reduced by 1 SP per week?
This will be relevant as I continue my Game Theoretic Analysis of Steem.
Thanks!
I'm guessing here, but it seems it make sense to me that your voting power should be reduced commensurately with your ratio of SP compared to all other users at the moment it powers down.
This is a good question and one I was wondering as well! I would hope what ever steem you have powered down is instantly removed from influence. That would make the most sense.
Well, it would certainly make the most sense from the standpoint of trying to prevent people from powering-down. :) Unfortunately it might come across as pretty unfair; and that could cause user satisfaction trouble.
What is unfair about it? Your reward is for being vested in the site, powering down is becoming un-vested. Thus you should not receive a reward any longer.
That's all very logical, but fairness is pretty subjective and when you're trying to make a system appealing to the public, you have to weigh these things carefully.
The unfairness is that while you're waiting for the SP to un-vest, you're not actually liquid yet. People generally expect to be compensated for illiquidity.
It would be nonsense to reduce the influence by 100%, the amount of influence should be reflected by the amount you have locked down as steem power. So in your example, first at 104 SP, and after the first payment 103 SP. But I'm not 100% certain of this, I hope you find the info you'll need. I'd also like to know if powering down affects the gaining of new SP in anyway.