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RE: How To Increase The Value Of Steem - The Ultimate July 4th Strategy!

in #steem4 years ago

No problem @nolimit,

Yes that is the case with the Steem price, but you only tend to notice when there have been big moves, think of it like this;

If you have 10,000 Steem and each is worth $0.25, if the price goes up to $0.50, then your Steem is worth twice as much and you need half as much to make up the same amount of Steem Dollars.

I shall explain where the money comes from in as few words as possible, but I'm assuming you know what cryptocurrency is to make the explanation shorter.

The money comes from the cryptotoken called Steem, the Steem has been 80-90% premined and then given to Steemit. The Steem blockchain then dissemenates the Steem using an algorithm to determine who gets what, by way of voting and such.

This is why when you start an account you have 10,000 Steem, approximately worth $3, in the future, I imagine this won't happen, as this Steem has come from the original mine.

In the future, the money will come from the fact that Steem is being traded, like any other digital currency, so it's value will fall and rise as such.

Also there is the other 20% which is getting mined and so new Steem is coming onto the market.

There is more to it, but I think that's all you really need to know, as it gets hard to keep the language simple after that. I freely admit, that this is because I don't fully understand it past that point.

But if you have a head for finance and maths, then I suggest reading the white paper, which you can access by mousing over the 3 bars at the top right of the screen.

Cheers

CG

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