One Problem With Steem
One Reason Why Steem's Price Has Always Seemed Suppressed
Without a doubt, Steem (and Steemit as the face of the underlying blockchain) is well grounded and far more advanced than most blockchain projects out there. It has built-in utility, a stabilized economy, a DPOS model, rapid transactions, a scaled service, and future platforms being built on the chain.
Nevertheless, Steem as a cryptocurrency has struggled to maintain its rank. The price has stayed rather stagnant over the past year, and only recently has it managed to gaina bit in price.
What gives?
I think one large problem the platform has (other than an association to massive inflation which was actually remedied over the past year) is the idea that people continue to use it as an income generating platform rather than as a store of value crypto. This is ironic given the incentives built in to using it for store of value purposes.
I believe people view Steemit as Steem's only function, unaware of the potential of SMTs. I also believe it serves as a gateway into crypto for a lot of people who subsequently sell their Steem for other altcoins.
I believe this is the rationale behind the pressure that has held Steem down for some time. I also believe that no solution needs to be implemented other than ongoing and progressive work on SMTs. This situation will resolve itself in due time when people begin to realize its more than an income source to shed, but rather a real advanced crypto to be HODL'd.
Time will tell. But I plan on continuing to build up my Steem Power in order to keep walking the walk until my beliefs prove out to be true. Lets go, Steem! Show the crypto world what we have here.
Every penny I made daily, I continue to boost into Steem Power. I strongly believe in the future of the platform!
Could someone elaborate on what SMTs are?
You make a really great point that Steemit can be a gateway into crypto. Personally, this is my first exploration into any crypto.
Sure. First off reference here: https://smt.steem.io
SMTs are essentially a new way in which Steem will permeate into the infrastructure of the existing world or in new concepts altogether. An example of potential old world penetration is something like The New York Times - integrating the Steemit model into an active community (biz gains income from hodl'ing steem, a new interactive economy for its community, and a means to incentivize activity). A new world concept is like APPICS, which is coming soon. Which is like Instagram meets the steemit model - paid community for posting instragram like activity. Each SMT is interchangeable and based on Steem but effectively serves as branded steem tokens named as whatever the platofrm wants. Basically Steem will serve as the Ethereum of social media and advertising. It will also be the paired trade on internal exchanges with incorporated money maker buyers and sellers built in.
Read more on the link to better understand. Wish you the best. :)
I think it will be interesting to watch if Steem gains more popularity - if other large cap companies seek to replicate the technicals of Steem.
Good description thanks!
Thanks for the response. I'm currently studying computer science in college and I'm very interested in learning how to apply these models in the real world.
BRING it up mate!