How I learned to stop worrying and love the Bid Bots

in #steem5 years ago (edited)

What is Steem's value?

TL;DR: Think of the steem ecosystem as a kind of "virtual Iceland" (call it "Steemland") where STEEM is the equivalent of Iceland's currency, the krona (symbol ISK). Then teach yourself some macroeconomics to know what you can do to influence the exchange rate of your "virtual country's" currency.

Let's begin with Bitcoin

Some time ago I wrote a post titled What's Bitcoin's Value? One of the main sources of bitcoin value is its underlying "cypherpunk" ideology. Bitcoin embodies a refuge, an "exit" alternative from a financial system which appears monopolistic, captured and offering only a rough deal to the average person.

So why would anyone be tempted to exchange some of their fiat currency for Bitcoin? I listed more than 6 different reasons in my past articles but I feel the fundamental one is that Bitcoin represents "the non-financial system", the only true alternative to the financial system.

Even if one believes that our financial system is not that bad and can still be improved (as I happen to believe), it's always good to have a "hedging strategy", an alternative.

lovethebots.png
Explore more with @lishu's book

Next, look at Ethereum

Because of Bitcoin's success, most of the subsequent blockchain-based cryptocurrencies have tried to hew close to its ethos - that of "decentralization" and "censorship resistance". The second most famous crypto, Ethereum is the living illustration of how awkwardly the rugged, individualistic Bitcoin ethos combines with typical "social" functionalities such as computing.

While "decentralized" at the physical level, Ethereum is über-centralized at the logical level, as there is only one network where cryptokitties and ICOs and all other "smart contracts" compete for the same, limited computing resources. And that is before mentioning the overwhelming influence Vitalik holds over the direction of the platform.

So why would anyone exchange fiat for Ether? Mostly because of the applications, the most successful being of course the ICOs. However, the ICOs raised to meteoric popularity in 2017 and 2018 but have faded since. Whether they will ever come back in vogue is anybody's guess.

... But what about Steem?

Wisely enough, the steem blockchain chose a different path. Unlike EOS and Tezos and Tron, Steem shunned generic "smart contracts" and instead extended bitcoin in a different direction: that of larger, extensible data structures and a focus on user-friendliness and social features.

But since one of the comments to my article about Bitcoin's value asked indeed "What's STEEM's value?" I decided it's about time I drafted a tentative response.

Blockchains are complex, hairy animals. It took many years until people started mentally accepting that Bitcoin might be more than a flash in the pan. And bitcoin's design is pretty simple (think of the 9 pages of Satoshi's paper). Ethereum is more complex because of the "compute" functionality and the many possibilities it opens. Steem and its complex cryptoeconomic system is in another complexity league still.

People who bought steem until now did so not because they understood its potential but mainly for speculative reasons, expecting to be able to sell it back in the market at a higher price (to a "greater fool", as they implicitly saw it at the time).

At the same time, STEEM has strong downward price pressure built in.

  1. The "monetary mass" (wrongly called "inflation" here) is increasing continuously without a strong link to the economic activity of the community. In the "fiat world", Central Banks control the monetary mass (switching between cash, short term deposits, bonds, i.e. altering the "velocity of money"). Inflation, in the real sense, is the decrease in the price of money (price expressed in goods and services internally, which is also reflected in a decrease in exchange rate with external currencies). In order to avoid inflation, the monetary mass in circulation has to track the quantity of goods and services. The currency of very dynamic, expanding economies, producing many goods and services, tends to appreciate with respect to other currencies. In order to maintain price stability, Central banks increase the monetary mass. In contrast, when economies are in recession and the activity decrease, there's too much money chasing fewer goods and services. The currency of countries in recession loses value with respect to foreign currencies. To maintain price stability Central Banks adjust the monetary mass accordingly. Steem has a bit of this elasticity in the SBD printing functionality but not nearly enough.
  2. Steem has been marketed (i.e. "sold to the masses") as "create and earn". Everybody has understood this as "earn $$$", (i.e. "earn USD", "earn fiat"). Thus participants are brought in the system on the idea of "do something, earn steem, sell the steem to get fiat". It is the case for witnesses, who need to pay for computing infrastructure in fiat but are rewarded in SP ("power down, sell the steem for fiat, pay for infrastructure costs"). It is the case for investors ("buy steem with fiat, stake steem as SP, allocate the SP to an activity and get paid steem and SBD, sell those back for fiat to make a return"). And it is especially true for the content creators and curators ("put your brain to use, earn STU which are even represented with the dollar symbol $, sell those for actual USD, pay your bills").

In other words, in terms of fiat exchange rate, STEEM has to run in order to stay still! The ecosystem needs to look attractive enough for new fiat to come continuously and seek conversion into STEEM!

Is STEEM doomed?

That was not a problem for as long as enough people thought the USD value of STEEM will increase and kept buying STEEM with fiat. But that is obviously not the case anymore. And we cannot influence people's thoughts, we cannot magically make them think what we want them to think.

As the cryptowinter settled in, less and less people bought crypto in general and bitcoin, a deflationary asset saw its price plummet to $3000. Steem's price has of course been hit even harder, as it was expected.

So what is to be done? Is STEEM doomed?

Quite the contrary. We need to understand the mechanism of value creation first. Once we have, you'll realize that steem has what's needed to support us in capturing that value for the common benefit. It's just that we cannot count on anybody else or some fortunate, positive externalities as in the past. We, steemians, need to "mine our brains" deeper to give new reasons to the "normies" for buying STEEM with fiat.

Steemland

The best analogy I can think of is that of a small country with its own currency, say for the sake of example Iceland. Iceland has a population of about 350 000 people, not very different from that of the steem eco-system, and a floating currency, the Icelandic krona (ISK). If the economy of Iceland does well and produces many goods and services which other countries covet, the demand for the ISK will increase and consequently its price with respect to a basket of other currencies (USD, EUR, GBP, etc.) will also increase.

iceland.png
Iceland football supporters
Because Iceland, a small island, imports a lot of things, a stronger ISK will improve the life of Icelanders because the price of imports (expressed in ISK) will decrease. Of course the Icelandic exporters will be challenged to increase their productivity or to occupy unique niches and offer products hard to substitute, or else a raising ISK will impact them negatively.

ISK.jpg
Icelandic Krona, ISK - the local currency

If we look at STEEM as "our ISK", what we want is for the steem community to produce goods and services (preferably priced in STEEM) which other people covet. This is the healthiest source of demand for STEEM. If we steemians propose to the people outside the platform something which they can only get in exchange for STEEM, then there will be people offering fiat in order to get STEEM.

Gross Domestic Product

So what is Steemland uniquely equipped to produce? Well, we do have some unique games, such as Steemmonsters and Drugwars, which exert a great appeal.

But mainly we produce a lot of content ... although that content is free to consume (and rightly so). Nobody needs to pay STEEM (nor fiat) to read the articles or enjoy the photographs through Steemit.com, Busy.org, Steempeak.com or the mobile apps.

stateofthedapps.PNG

That ought to give pause because "content production" is where most of our efforts are targeted! Let me repeat that: no matter how much effort we put into producing the best quality content, this effort will not, in and by itself, lead to an increase in the value of our currency, STEEM ...

That being said, producing lots of good content is essential and of big value to our ecosystem, to Steemland!

It's just that said value accrues indirectly. How? Why, through the "attention economy" mechanisms, of course. What does that mean? A central place attracting lots of "eyeballs", a web page drawing, through the abundance, quality and variety of its content, lots of traffic is a place of interest to advertisers.

This is basically the mechanism which has given Google its roughly $775 Billion market cap and Facebook its $460 Billion. Well, if we started producing compelling content on par with say, Medium or Reddit, then Steemit.com, the web site, would have a certain value for advertisers, as I've hinted at in an earlier post. As it happens Steemit, Inc. has realised it needs the revenue this could generate and has opened up to ads.

However, a couple of things come to cloud the picture.

  • First, the strong libertarian ethos of the venture and of the community. Many of us would feel betrayed if suddenly Steemit Inc. would turn us into cows to milk. Conscious of the risk, Steemit seems to only display ads to guests, people who browse the site without an account. Having a steem account and logging in "protects" one from the ads ... but at the same time it severely limits the value of the platform to advertisers. Guests are indeed of much lower value than users with a login which can be better understood and targeted.

  • Second, while Medium is at rank 194 in Alexa, Steemit.com has dropped from a high of below 1000 in early 2018 to around 5000 now. The main culprits are the diminishing interest of the people for everything crypto and blockchain, but also the lack of improvement in the UI ... as well as the competition of the other front-ends! The latter two being linked - by choosing to not improve the Steemit.com interface, "Inc" has left the place to busy.org and steempeak.com which are now splitting the desktop traffic and driving Steemit.com's Alexa rank lower.

That being said, despite all these negatives, steemit.com remains a source of "exports" for Steemland. By bringing people to read things which they don't find elsewhere, steemit.com creates a virtual group of eyeballs which is potentially of some interest to advertisers. And even if those would pay in fiat not in STEEM, it allows Steemit Inc. to pay salaries without resorting to selling STEEM on the exchanges, which lowers the selling pressure on the token.

Steemit.com Export Gateway: the Trending page

Once we understand that economic value springs from a concentration of eyeballs, then we are well equipped to see the value of "Trending", steemit.com "landing page". Trending is to steem what the port of Reykjavik are to Iceland - the place where our "imports" enter Steemland and where "eyeballs", our main export, is loaded unto cargoes.

reykjavikport.jpg
Think of the "Trending" page like this. If only ugly, run down ships call here, would you think of dismantling the port?

In that sense, abolishing Trending, as has been proposed many times in the past, is an economic nonsense that would decrease the value of the ecosystem to the outside world.

Corollary

The well-meaning attempts of front-ends such as Steempeak and Steeve.app to offer an alternative to Steemit.com's "Trending" are actually counter-productive and are hurting the overall fiat value of the Steemland productive effort!

They are an illustration of the old saying "Cutting off your nose to spite your face"! Isn't that surprising?

Yes, you'll say, but "what to do with all the shitposts which land regularly on Trending because of the bots!?" They are giving a bad name to our beloved Steemland and must be hurting us too!?

Bots as a target for FPI

A fair question. But first, let us take a closer look at bots. We established that being high in "Trending" has advertising value which can potentially be monetized. Well, there is one thing I understood first empirically by growing up in communist Romania and then by reading Game Theory - the concepts of Nash equilibrium and of Strategic dominance.

People respond to incentives. If you create a system which allows people to make money by breaking a (written or unwritten) rule, then people will find clever ways to break that rule and abuse the system. If bidding bots and vote buying make sense economically (especially on a platform which has been from the ground up advertised as a monetization platform), they will appear naturally. And if being on Trending makes sense economically (this is where the eyeballs are, remember), then bidding bots and vote buying will be used to reach Trending.

But let's wind back a bit. Why is it that bidding bots and vote buying make economic sense in the first place? Well, because they are the equivalent of lending opportunities. They are enacting and harnessing steem's capability of extending credit, of playing the role of a bank. To an investor, with much money and little time, bots and vote selling offer a way to generate passive income! They are therefore very attractive!

Remember, we want "normies" to use their fiat to buy STEEM and stake it as SP! Well then the ability to generate passive income from that steem-converted-fiat is a very attractive value proposition!. To come back to the Iceland analogy, it's the equivalent of investing in Iceland's economy by lending to local entrepreneurs!.

It's called "Foreign Portfolio Investment" or FPI
Icelandeconomyponderstestingcurrencymarkets.jpg
Invest in Iceland? There's tourism, fishing and geothermal energy

In short, bid bots and vote-selling markets are another reason for people outside the platform to invest, buy steem with fiat because they offer an opportunity for passive income in exchange for "currency risk".

If you can stomach the plunge in the STEEM exchange rate from $5 to $0.3 (because you are invested long-term and only invested what you can afford to lose), then your investment is producing more steem for you at an eye-watering rate. And this "steem generation" is not, as in most other cryptocurrencies, simple "money printing" but is backed by real economic activity: the quest for a spot on the Trending page!

Thus "Trending" is doubly important:

  • to advertisers for the "normy world" who get a place where they can expect a concentration of eyeballs
  • to investors who can take FPI positions in steem and finance the craving of the Steemians to feature on the Trending page!

Corollary

Destroying "Trending" is thus doubly damaging. If anything, if we want the value of STEEM to increase, we should focus on making Trending even more of a focal point for the platform!

Conclusion

Implicitly, attracting more people to Steemit.com is also helpful - so for Steemit Inc, investing in the UI to catch up with the competition of Medium, Quora and Reddit also makes sense - even more sense than investing in upgrading the blockchain. Yes, SMTs would be nice, but improving Steemit.com is Pareto efficient.

One quick improvement inspired by 2017 Nobel Prize-winning economist Richard Thaler and Cass Sunstein with their "Nudge" book: replace the "$" symbol in the Steemit.com interface with something else! Steempeak for instance has done it! It changes people perception of the platform - they are not being subliminally told "your are here for a quick $" but instead invites them to understand what the "§§§" symbol means ...

Bad Trending content is bad, but if we want to fight bad content on trending then

  • abolishing Trending is the equivalent of "throwing the baby with the bath water"
  • deploring the influence of bots is about as effective as "marching against climate change" (i.e. not effective at all)
  • downvoting and flagging as certain "socialist" presidential hopefuls are doing can have serious negative consequences if not done with utmost care, because it fractures the social bonds of the community. Icelanders too were much less productive when, following the financial crisis, they were dealing with internal strife

W07_Protesters_87271024x685.jpg
A prize of 1000 STEEM to whoever spots our dear Bernie in the crowd

That basically leaves one alternative and kinda' justifies what I am doing (are you suprised?). My advice for driving out bad content from Trending is to "fight fire with fire", i.e. ...

use bots with abandon to flood Trending with GOOD, original, outstanding, unique content!

If you want STEEM to exert attraction over people who look for financial opportunities then, by all means, create great games on the steem blockchain and develop other businesses such as the "document notarization" business of Proof.ink and the "Memory Extension" one I outlined in a previous post. The more unique economic activities are available, the greater the attraction for Steemland, and the higher the Steemland GDP and its suitability as a destination for both FPI and "Foreign Direct Investment' or FDI

But when it comes to the "attention economy", then strive to bring as many well defined eyeballs to its "Schelling Point", the steemit.com Trending page by working and spending to make sure they will find there excellent content!


If you know what witnesses are and agree that people commited to keeping this blockchain ticking play an important role ...

(by simply clicking on the picture - thanks to SteemConnect)

Related posts

Other posts you might enjoy:

Steem ecosystem

Blockchain, Crypto and Society

Blockchain and Europe


You might also want to check out

Sort:  

Def part of the ecosystem!

What you’re saying is true but there is one important detail you missed.

Bid bots would have been the best thing ever IF advertizers actually paid. By paid I mean pay their money and actually loose it, by burning steem.

The way bidbots work now is just abusing steem’s inflation (the reward pool) because when the bid bot upvotes your post to promote it, it also returns your payment (with a one week delay).

So effectively the bid bot system is good as it holds a certain quantity of illiquid steem power in place for seven days, but that’s not enough to raise the price of steem.

What we need is an advertising model on steem where advertisers have to burn steem in order to get on the trending page. This will directly decrease the supply of steem and increase it’s price.

Unfortunately bid bots that abuse inflation make money for everyone, so of course people will use them (as you said it’s better economically). So the only solution I can see right now is to act against them in a centralized way, a concept I don’t love.

Steem must be burned to promote on the trending page, and Steemit Inc must use their huge stake to allow this to happen, by downvoting all bid bots votes and creating a promotion system that is better than having a separate promoted page.

Posted using Partiko iOS

I'm not discussing whether bid bots are good or bad. They are! They are already here!
What I'm discussing is how to attract investors to buy steem and stake it in the platform (in order to increase the price of the token). Given the bid bots. Whether they are good or bad or could be better is beyond the point of my article

When I say good, I mean increase the price of the Steem cryptocurrency, and when I say bad, I mean decrease the price. It wasn’t very clear from my comment, thanks for pointing this out.

The way bots decrease the price of steem is that it repells users from coming to the platform, as they don’t enjoy the content. This means less eyeballs, so less value created.

The amount of staked steem for 7 days is probably not enough to compensate for a big loss in the quantity of eyeballs, but having some coins burned forever will compensate for the loss of eyeballs (in terms of price).

This is just my opinion and it may be wrong, maybe (and hopefully), people don’t mind the trending page that much and will remain on steem even though they complain about it.

Posted using Partiko iOS

I disagree. Bots do not repel users from coming to the platform. Bad content repels users, and inflated and deceived expectations.

Let's look at the latter first: people are brought here with the hope that they will write something they like (or post a picture they did) and will earn significant amounts. Some of this false hope is given indeed by the amounts under posts which have been pumped by bots, but the error is in coming for the money

As for the former, bad content can be fought in various ways. The way I propose to fight it is by "drowning it in good content"

But don’t bots bring bad content to the trending page? Since anyone can have a positive ROI for promoting their post then they might as well right the easiest post possible and promote it to the trending page. This is how it was for a while.

But I see your point, if good content gets promoted as well, then some people will upvote it on top of the bot promotion. This will cause the good promoted content to drown the bad promoted content. I hadn’t thought of that. I have actually started noticing that the trending page is getting better compared to how it was a few months ago.

You just earned a follow from me!

Posted using Partiko iOS

Thanks.

"Weak humans" bring bad content to the trending page. If humans were not so wretched and weak and always did the right thing, we wouldn't be where we are today ...

Bots sprang up because there was demand - it's simple economics: there's an unfulfilled need which can be fulfilled economically, someone is bound to do it sooner or later and the first will get the highest rewards ...

So we can change the economics of steem by for instance tweaking how downvotes work (good luck with that). But until you manage to get witnesses on board with that, let's do something within the boundaries of the current flawed rules

I imagine such would be a simple front end implemention but unfortunately would not counteract the impact the bots have towards distribution. I think that is the foremost issue that people neglect.

The bots create an economy where self-seeking thrives in leiu of cooperation. It is likened to a body whose parts cease to function for the good of one another.

It is like a cancer and those kind of users are growing in greater influence relative to their counterparts. Same applies to circkejerker but in a sense vote selling is just another flavor of collusion. These users are OP at the moment.

We just need to create the platform (not ruling out that it could be Steem based or a complementary side chain) that will pull the rug out from under them.

That will be sweet sweet justice and I long for the day.

Posted using Partiko Android

Didn't realize you were a bid bot shill.

In short, bid bots and vote-selling markets are another reason for people outside the platform to invest, buy steem with fiat because they offer an opportunity for passive income in exchange for "currency risk".

Only people that make these weak arguments are vote buyers like yourself as well as sellers.

Your kind are destroying proof-of-brain and we would do w to fork you all off for collusive voting. That's what you are doing. Bribing bots!

Is your sense of your work SO weak that you cannot suffer it to stand on it's own. It's not a bad article. I've seen worse from participation trophy buying bid bot users. It's still overvalued.

Flagging for disagreement of rewards.

Fair enough. I didn't explain well enough - the rewards are not "real", I paid to get those rewards. The goal is not the rewards but to "occupy Trending" with good quality articles - in order for poor articles to have more trouble getting there.
I'll write another article, I came up with a new analogy.

I am not a bid bot shill, I don't need to be. Bid bots do not need me to shill for them. They are here and they are in rude health, I'm sure you noticed

Yes, I am a weak human, like a vast majority of our species, I respond to incentives. Actually, my analysis back in 1991 led to my conviction that Marxism and Communism can never work - they were predicated on strong humans who always do the right thing, even when it means acting against their own best interest.

That is not going to happen at scale, ever. You can have a group of strong people up to about 200 people, studies indicate. Above 200 people, game theory applies and "prisoners are defecting" and then it becomes stupid not to defect ...

Sorin seems like a nice guys and all and i dont think he is "shilling" here... The problem is that he doesnt seem to understand what general sentiment and perception of STEEM as a failed project is doing to the price.
Where ever you go online in the crypto space and mention STEEM, the first thing they say is: Oh, isnt STEEM filled with bots?
They dont even know how bots work here, but they know something with bots is going on....

Not only are bots not another reason for people to invest, thyre actually the reason for many to stay away.
Im not saying bots dont have a place here... Im saying that as they exist now, thyre hurting the platform immensely.

First of all, thank you for promoting my ebook, you are the first to do so and that is amazing :D

Thank you for the in-depth analysis of the steem ecosystem economic dynamic. I would like to add to this the power of goal-oriented communities.

I believe that one of the key points of the steem blockchain is the power to incentivize certain types of behaviour without going into your own pocket. I am not an economist, but I believe that this is the only economic system where this happens and is feasible at a large level. And this is something we need to leverage to the max in order to increase the value of the whole ecosystem and subsequently of steem. I believe that @utopian-io and @steemstem are on the way of doing this, exporting content and solutions that brings value to the ecosystem.

Maybe we need to create a goal-oriented community that has the purpose of raising the value of steem and your idea of making sure that good content lands on the trending page can be done fairly decent with a coalition of 6-7 million SP. A curation trail that has the goal of promoting 2-3 articles per day to the trending page can be created so that the curation rewards still go to the original SP holders, which is much easier than getting delegations worth millions of SP. We would need to outline a clear strategy for content that is valuable to the ecosystem and maybe we can also coagulate that content in a separate condenser which does not have the problems which steemit has and we can use the money generated from adds to further promote the steem ecosystem. This would be a project in which I would gladly be involved :)

Can't wait to hear your thoughts on this :)

Doing what you propose requires effort - quite significant amounts of effort from many people. In order to get enough people "rowing in the same direction" there are basically 2 ways:

  1. either you appeal to a higher purpose they all share
  2. or you pay them

My hunch is that if it could have worked, it would have already been done. It's a good idea that is probably not doable ... But maybe I'm too pessimistic ...

Why anyone would think the finding a bigger fool to buy your steem is sustainable is beyond me. If it hits a dollar again do you think anyone is going to buy it? No one wants it at 30 cents.

The idea was to keep increasing the amount because there would be more and more users, but that's not happening. People leave in droves, and new people are shut out. There is a concentrated effort to upvote introduce yourself posts but after that your choice is buy steem or make 1 cent per blogs forever.

I don't have an answer to fix it. Get rid of bidbots and all the high steem power users will just vote for each other. There is very little altruism, the occasional buying of a wheelchair, but day in and day out it's just greed.

The whole thing was missold. It's not about rewards. If you focus on rewards you are bound to be disappointed. It's a platform to be creative and find other creative people and their creations. I like to write, the rewards are the cherry on top. If you come for the rewards then you are doing steem wrong

Are you interested in creating content ? Are interested in reading something that others have created ? If yes, just do that and forget about the rewards, think of this as Facebook with a twist. Billions of people spend days on Facebook and write stupid things and share them and read other stupid things that others have shared. And there are no rewards. Do the same here, forget about the rewards, they will be the nice surprise at the end

Think of the "Trending" page like this. If only ugly, run down ships call here, would you think of dismantling the port?

Oh no, you got the analogy all wrong..

Its not about the old run down ships that are docking in the port. Its about the toxic waste dumped in the harbor that is killing all the fish and stopping quality traffic from coming into the harbor.

Not only should the port be dismantled, it should be bulldozed, its remains quarantined and a plaque placed high saying:

These are our failures. This is our shame. May it never come to pass again.

What "it should be" is beyond my point. We have been here long enough by now to know that changing something so central as Trending is akin to persuading turkeys to vote for Christmas.

Perhaps it will happen one day. But what do we do in the meantime?

Are we going to keep writing endless lamentations about how this place is going down the drain and how things should be done better all the while nothing changes?

Here I am proposing a pragmatic approach to make the best out of a dire situation which indeed illustrates our collective failure as imperfect, wretched human beings.

You, me, him, we know we write good, original content that is better than many shitposts being pumped to trending.

You can either wring your hands in despair and lament the situation in litanies about how things should be.

Or you can put your money where your mouth is and contest the Trending, fight for it with your SBDs!

Are we going to keep writing how things should be done better all the while nothing changes?

Yes. Thats what you do when things suck. You point it out. And the trending issue can be fixed very easily. Its a steemit thing not a steem one. Steemit inc can choose the algo they use for content placement. They could very easily just make a seperate no bot trending.

They could, but they won't. Because some people like it the way it is. And their voice is strong enough to prevent change.

I'm sure you know Hirschman's "exit, voice, loyalty". You are advocating "voice". My article says that at some point "voice" is dissipating productive effort and holding us back and "loyalty" is not absurd and would be much more beneficial to everybody who is not so pissed as to "exit"

@swiftbot tip 100

⚡$$$ Tipped @sorin.cristescu ⚡100.00000000 SWIFT! If you don't know how I work, reply help! Currently the price of SwiftCash in the market is $0.0021 USD per SWIFT. Current value of the tip is $0.2100 USD. To find out more about SwiftCash, please read our whitepaper!

A prize of 1000 STEEM to whoever spots our dear Bernie in the crowd

¡Done!

¡Bring me my loadsa do$h YO!

@sorin.cristescu

aaah! the easiest 1000 STEEM I've earned in a contest after three #F years 'striving' on Steemland. };)

Excellent ! Good one! :-)

We really enjoy your posts and you maybe have some time to join the steem meetup aachen at the 22.3.19 in Aachen for some discussions or even a short talk/speech about your projects.

Thanks! Looks feasible. Are we connected on Discord ? Please send me the details so I can put it in my agenda.

Very good article, and the thinking is somewhat along the same lines as mine. Read your posts, perhaps some months ago, and good to find you posting again.

The so-called bidbots are a logical consequence of the Steem code. There are 2-player exchanges that are profitable and predictable, such as exchanging a transfer for a vote, hence they exist. But such exchanges are also content-agnostic and hence, in some peoples views, counter-productive in a content-based-economy.

Also amusing to mention GDP - I've been thinking of how such a measure could be defined within a crypto-space. As you say, one problem with Steem is that it is used as a gateway out into fiat so that coins do not flow so much around the economy.

Will read some more and will, no doubt, have some more comments :-)

Indeed, the key to a higher value for STEEM is to have more reasons to NOT exchange it for fiat. The more transactions are being mediated by STEEM, the higher its value

Have you had any thoughts on a metric similar to GDP for the Steem economy?
sales and purchases of coins are slightly hidden in that they appear as any transfer, except to a known exchanger's account; there isn't a "sale" transaction as such. Which also means that STEEM is never really sold outside of the economy.

If I had been an economist, it would definitely be an interesting topic! :-)
But I'm just a "blockchain guy" with an amateurish interest in economics

Coin Marketplace

STEEM 0.29
TRX 0.12
JST 0.035
BTC 65869.37
ETH 3414.18
USDT 1.00
SBD 4.58