SBD, You Little Devil
My Investment Perspective
Imagine my surprise when I woke up Saturday morning. What I had was an increase in value in my two accounts, this one and @msteem. The problem was, I really couldn't take some profits and mitigate risk in the value of Steem going down. Or maybe I could?
Last week's crash of BTC, because of the ETF being denied, gave me an opportunity to buy some Steem at a ridiculous low price. 15 Steem/Dollar. I transferred 200 Steem into @msteem. I already had another 200 Steem in that account. I took that 200 Steem and bought SBD on the internal market. If the price of Steem should drop I could then sell my SBD for Steem. What I did was to lock in profits and also to hedge at the same time.
Witness Prespective
After reading some items on Witnesses and SBD.
I came away with the idea that Witnesses do not necessarily have my interests at heart. They have a responsibility to the network, not to me. That is exactly what I want them to do.
After reading @timcliff's proposal for I realized that it was nothing but mitigating downside for witnesses and the network. Witnesses have an economic incentive to reduce debt when the value of Steem is low. If the price of Steem doesn't drop I will convert to Steem. After looking at @null's account for burning SBD I can see that @thecryptofiend is the number one burner (6,258 SBD). The number one witness for burning is @smooth.witness (713 SBD). The total since @null is 45,178 SBD. I don't think burning is going to work.
My Opinion
When having a complex decision to make, I try to look at upside and downside. I believe that witnesses should spend more time trying to increase the value of Steem and worry less about SBD. If the value of Steem is increased, then it would follow that SBD would become less of an issue.
As a user of Steemit which would you rather have, increased value of Steem or decreased SBD?
@gutzofter is happy
Thank you for posting @gutzofter.
This very information regarding SBD is timely as there are articles encouraging 'burning the debt'.
It seems as you have said here if one focuses on the positive aspect then the other will become a non isssue.
Appreciate your analysis. Cheers.
I dunno what happened with Steem
7 days ago, 0.01 Bitcoin → 165.048 Steem
Today, 0.01 BTC would get me ~50 Steem, and it isn't just due to the drop in BTC. XD
I've been browsing Steemit trying to figure out what happened.
SD is useful but I think you're right on the money, improve Steem and ignore SD. It's a convenient tool for transactions in dollar amounts.
BTC has dropped and Steem has gone up in value.
Yeah, I was wondering if there was a specific cause. :)
Look @lukestokes latest post
Also I was stationed out at Dam Neck in the early 90s
No worries, he would have been in the mess if he was still there when you were - I think very early 90s was when he left.
Nice, sweet, did you know Tim Ski?
I was a Data Systems tech. It's been awhile. The name isn't ringing a bell.