RE: QUESTION TIME | How is new SBD created and who determines how much will be made? |
Ha, I read the whitepaper just now and got almost none of this out of it. Also read the blue paper and the whitepaper for SMTs which is how I assembled some of this information. One problem with the whitepaper is it refers to getting tokens instead of specifying if that token is steem, SBD, or SP. The whitepaper also does not answer anything about the creation of SBD or SP through content and curation. I understand that steem is generated at a predicted rate via inflation and most of that goes to the reward pool. I assume some of that is put in as powered up steem immediately (though I honestly don't know) and the rest is placed in a market contract ready to have SBD pay for them, but I can only guess that SBD are generated from thin air and have nothing to do with the rate of steem inflation. It is just that based on the amount of content and curation the blockchain determines how much a specific activity should be paid.
There are still some unanswered questions for me. Is SP functionally the same as steem. ie. at the very least is steem destroyed when powering up and SP destroyed when powering down (or is the same token being set to the appropriate state - powered up or powered down)? Are SBD created from thin air through the blockchain? Is the blockchain attempting to regulate this by setting a price for all actions based on the market value of steem created through inflation? ie. say $1000 worth of steem created through inflation. If there are 10 equal actions each of those actions earn $100 but if there are 100 equal actions each action earns $10?
I'm not sure what you read because so much of what you said isn't in the whitepaper is in the whitepaper.
You might want to read my explanation of Steem. It explained how Steem works.
https://steemit.com/steem/@teamsteem/steem-an-in-depth-overview
I assume you think your words make sense to everyone because they make sense to you. But I assure you that you did not answer my question, your post, though information filled did not answer my question, and the whitepaper also does not cover what I am asking about.
For instance, your section on Reward Pool does not explain what goes into the Reward Pool. Is the Reward Pool explicitly just Steem that is created via inflation, because that is how it is typically described? Your description of the reward pool makes it sound like SBD are also part of the reward pool. Also, you can't just say Steem (aka Steem Power) (from your post) because it isn't the same. Unless it really is the same but it constantly described as not the same elsewhere. You interchange Steem and Steem Power a lot in that paragraph. Do I get Steem or do I get Steem Power? Is the conversion a state transfer or a destruction/creation event. When I read that inflation is used to fund the Reward Pool is it that SBD and Steem power get created directly in this inflation or is this some hand wavy thing where there is more to the process?
I am looking for a more detailed description of how all these things get explicitly created and converted that does not use general terms like token when they are talking about something specific and I cannot find this description.