SteemDollars (SBD) long time holding.

carface (63)in #steem • 7 years ago

I think many people at the moment don't really understand what purpose SteemDollars have. On the exchanges it seems as though people are just buying it without any knowledge but just hoping it will go to some crazy price one day. Of course the traders will just trade for profit like normal on any coin but I suspect there may be many long term holders who really will just be looking at it as a good ROI one day.

Now as people become more educated with exactly what the difference between Steem and SBD is, I think we could then see them naturally switching to Steem once they start to realise that SBD is pegged around the $1 mark. So in my eyes the value of Steem currently is probably inhibited only slightly by SBD long term investors, and there is probably a lot of money that is sitting there in SBD which could one day come back over and boost the Steem price.

Ok these are just my thoughts I've had over the last few days, I may not have grasped the whole dynamic economics of the situation correctly so please feel free to add your comments and opinions!

Thanks for reading!

#sbd #steemdollars #price

7 years ago in #steem by carface (63)

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wilkinshui (69) 7 years ago

Thanks carface, and it is interesting read and this got me thinking what is the benefit to put the money to sbd. Sbd is not paying interest now, and it is trading at a premium now means you can convert to steem cheap and switch to power to get interest.

$1.60

9 votes

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carface (63) 7 years ago

Thanks @wilkinshui Yeh at the moment it's just best to convert to Steem then power up while SBD is over a dollar.

$12.67

1 vote

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paulyaces76 (51) 7 years ago (edited)

Wouldn't the influx of steem back dollars that will be going to a lower tier maybe wanting to buy steem to power up, might drop the price of the dollars in the short term? I know I have a smaller account and power up everytime I get any SBD!

$0.35

2 votes

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carface (63) 7 years ago

Yeh I think this is going to happen, and it's good that we are incentivised to power up which helps the whole platform in the long term.

$12.17

1 vote

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ridi20 (50) 7 years ago

I hope your thoughts will be true in the future :) I am really curious how the future of Steemit will look like. At the moment i see a bright future for us :)

$0.15

1 vote

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carface (63) 7 years ago

Yeh I'm with you there!

$11.96

1 vote

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bitdollar (60) 7 years ago

Well there are a ton of casino traders in this market because it is so volatile. Everybody is hearing the stories of people who invested a little money and now they are rich.
That will make any of these coins go nuts in both directions but the way I think of it, Steem will be great because it can be a huge social media platform. Relate that to other social media platforms in the market and this has HUGE room to run up. Plus in my opinion it could be the future of social media sites, instead of posting on useless unfriendly platform with no rewards, people will want to benefit from this.
I think this is great!! I don't know much about SBD and all that, if you could explain more, that would be much appreciated and helpful.

Are you holding a good amount of Steem for a long term investment?
Great post!

$0.15

1 vote

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carface (63) 7 years ago

Thanks for your comment @bitdollar. Well SBD you earn ofcourse from posting and curating. And from what I know SBD is there to ensure we get a relatively accurate representation of what we earn compared to the dollar price.