First off, some assumptions. Let’s assume that over the next few years the Steem blockchain ecosystem as a whole will have healthy growth and that the crypto bear market will end and turn into at least a modest bull market.
Steem has already been above $8, so seeing it at $10 at some point down the road doesn’t seem like too much of a leap of faith. Sure, maybe it will Moon. We’ve all seen three-digit predictions for Steem’s price, with the occasional four-digit target. But for the purposes of this post, I’ll be using a much more modest target at the low end of two-digits.
Right now, it takes 498.5 Steem Power to have 1 MVests, the threshold to becoming a Minnow. According to the latest statistics that @arcange has posted, there are 9,123 Minnows who have a total of 26,985 MVests, so on average Minnows have 2.96 MVests or about 1,475 Steem Power.
In an era of $10 Steem, how much might such an “average” Minnow earn?
I’ve seen several posts about strategies for earning Steem. There’s of course the upvote yourself 10 times a day at 100% “It’s All About Me” method. Crunching the numbers at SteemNow suggests that an “average” Minnow can earn about 1 Steem per day that way.
Personally, I think that the “It’s All About Me” strategy is very shortsighted. Someone employing such a strategy is essentially turning their back on any shot at community engagement and all the potential possibilities made possible by such engagement. But let’s use such a strategy as a baseline. Earning one Steem a day from a 1,475 Steem Power account works out to roughly a 25% annual return on investment, even without reinvesting for exponential growth.
In an environment of $10 Steem then, $10 of daily income. Maybe just a couple of lattés a day for the First Worlders among us with a caffeine addiction, but for Steemians who live in poorer countries, $300 a month could represent life-altering income.
We saw earlier that there are 9,123 Minnows right now, at a point when there are a bit over a million accounts on the Steem blockchain. How many minnows might there be in the future?
The Steem blockchain has just over a million accounts. Reddit has several hundred million. FarceBook has a couple of billion. Maybe we’ll never have as many as FB, but it’s not unreasonable to think that the number of accounts on the Steem blockchain could grow by several orders of magnitude over the next several years.
It’s relatively easy to become a Minnow now. It’s likely to become much more difficult in the future. At first look, it might seem that if there was, say, a thousand times as many Steem accounts as there are now, there’d probably be a thousand times as many Minnows. But that’s not the case. So if you want to become a Minnow (or Dolphin for that matter), now is an excellent time.
Disclaimer: This should not be construed as financial advice. I am not a registered financial advisor; I don’t even play one on TV. Do your own due diligence. Batteries not included. Objects may be larger than they appear in mirror. Some assembly required. Do not taunt Happy Fun Ball.