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RE: STEEM - Still sitting on the small support just under 0.24$
Hi friend @cryptopassion.
I am going to request your opinion since I consider that you are the right person and with the sufficient knowledge to give me a sensible answer.
Would you consider that the creation of tokens in Steem-Engine could benefit the recovery of the value of Steem?
Maybe these tokens are not defined as "security" or "useful" and that has not allowed the steem to break that 24 cent barrier?
This has to do with the subject that I address in my last publication and your respectable opinion would be of great value to me.
All best, Piotr.
This is a very good question.
As it is currently built, to my opinion it is not.
Why?
Creators of Token :
The fee that you need to pay at Steem-Engine to create token and Scot token are ENG... (token created by Steem-Engine team). So people who are putting in place these tokens don't even need to buy STEEM, they need to buy ENG which can be paid with STEEMP but also with other crypto like BTC via BTCP token and so on. Regarding SCOT tokens like PAL, LEO and so on, creators needs to hold ENG again instead of STEEM to allow all the functionnalities of the SCOT tokens. So again it is not creating any value for STEEM but only for ENG. So to resume the situation, instead of trying to give some value to STEEM by forcing people to buy and hold some STEEM to create all these tokens, Steem-Engine is focusing on increasing the value of their token ENG. It is smart for their business but not good or at least nothing positive for STEEM value...
Users of the Token:
Regarding the users of the tokens, I would say it is neutral. Buyers need to import STEEM in the platform to have some STEEMP (but again they can do it also via other tokens). And when they want to take some benefits from their token, the will sell them against STEEMP, withdraw STEEMP in exchange of STEEM and sell the STEEM to take their profits (new decrease of value for STEEM).
So to resume the situation, the way it is built on STEEM-Engine won't give any value to the STEEM. They are focusing to the value of their ENG token (point that I can understand for their business). Let's hope SMT done by STEEMIT will focus on giving value to STEEM.
Dear @cryptopassion
Wow. Wow. What an amazing comment. Thank you for taking the time to share your knowledge and view with me.
I've been actually wondering, how SMTs can affect price of STEEM. And I'm failing to understand that. I understand that SMTs will be build on top of STEEM blockchain, but again ... how can SMT create more demand for STEEM (demand needed to bring price up). Any suggestion? :)
Enjoy your monday :)
Yours, Piotr
it can create demande by asking to SMT creator to power up a certain amount of STEEM to be able to create their SMT. Exactly what Steem-Engine is doing now with the ENG tokens. In fact, Steem-Engine is doing well the job, the only problem is that all their processed is not based on STEEM but based on their token ENG
Okey, that make sense @cryptopassion
I'm just wondering ... Steem Inc is apparently selling 800k STEEM monthly (that's what I've read several times). Can even SMT really slow down this selling pressure?
I can only hope that SMT will require STEEM not only during creation of their SMT.
Cheers
Piotr
read that article from one of the creator of Steem-Engine :
https://steempeak.com/steem-engine/@aggroed/steem-engine-powered-tribes-pricing-guide-for-creating-and-distributing-smart-contract-community-tokens-scot-through-steem
You will understand how they are creating value for their token ENG and so Steemit must do the same but instead of ENG, they must use STEEM
Thank you for sharing that link with me @cryptopassion
I appreciate it a lot. Will check it out right away :)
Yours, Piotr
my question is same
See answer upper