Ready to give up: Earning Vests

Finding it hard to get the motivation to post? Perhaps you don't have a good perspective of how it works here or, where it may lead. For me, I try to build some kind of mental models that give me a working picture to build upon. Do you have one?

Here, I am trying to build myself a picture of the difference between posting now compared to the highs in regard to payouts and vests and I checked what posts paid out on the day of the all time high. I know, this isn't factoring in the 3.5 day average but, it is more fitting as it is about doing a premortem to improve chances of success. Have a read here.

That post paid out after curation:

Because of SBD being high, I was of course taking a 50/50 payout so it looks like this:

As you can see, 41.301 is in SBD which is 50% of the payout and, ~11.098 is in Steem Power. What that means is to work out the 3.5 day average at time of payout, it is 41.301/11.098 = 3.721

That puts us right about here:

That means that in the next two days, the price doubled. Pretty amazing to think really but, that is not why I am talking about this. There is another number that is of more interest to me and that is the one in the Blue box. That is how many vests that post earned, 22.471. That number comes from the 50% of Steem Power that goes straight into vests. A basic formula is 1 SP is about 2 kVests. 500 SP is about 1 MV.

This is my last payout which came 6 minutes ago.

Earnings:

Still at a 50/50 payout:

As you can see, a 16.636 dollar reward becomes 9.161/9.161 with both in Steem because SBD isn't printing. However, if it was it would be: 8.318/9.161 = 0.907

With the current 3.5 day average feed price being:

So, a 16 dollar payout netted me 18.548 kV whereas an 82 dollar payout netted only 20% more at 22.471. Now of course, this doesn't factor in the extremely high price of SBD which I personally mostly used to buy more steem Power with on and off the platform but, it shows how low prices affect the earnings of Steem Power. I know that many people don't really get this and, I know it is very basic for others.

Here is another with this one taken from the 6th of January.

I have at times been very fortunate to get good support here without having to sell my soul.

Now, let's look at the vests:

82.681/12.556 = 6.58 Steem price

Not quite the all time high (ATH ) but, close enough as remember, it is a 3.5 day average and the ATH was a peak point that didn't hold for 3 days. But, a 165 dollar post (which didn't get near trending) netted 24.523 kV.

Vests are important, it is what draws on the pool and as you can see, there is a large difference beween the value of posts but, not a great difference between the vests earned. While the 166 dollar post was 10x the payout value of the 16 dollar post, it only earned me 30% more Vests.

Of course, this doesn't factor in the high SBD prices and what it is able to buy but when it comes to buying Steem, the system sees SBD as 1 dollar. So, if using the internal conversion, it would work out the same as 50/50 Steem which is why that option was removed from the User Interface. But, if used to buy Steem on the internal market, it is factored in at the price of SBD. On January 6th it was about 7 dollars which means, 82x7= 574 dollars worth. I converted it to Steem at current market price which means, ~574/6.50 = 88 Steem. Quite amazing.

Powered up it meant that instead of that post earning 24.523 kV it earned about 200 kV. To get that kind of vest return now requires a post to get 80 dollars payouts because SBD is printing anyway.

But..... what if SBD held the peg at that payout and was worth the 1 dollar? well, that would mean that my conversion from SBD would be just like a normal 50/50 payout now meaning that if the post earned 12.556 SP it would get 12.556 SP if using SBD to buy. This is the normal order of business, or should be with a peg that holds.

But what that means is that under normal conditions, at that price, that post would have got me a max of 48 kV. That was a 165 dollar post. To earn the same vests now it requires a ~22 dollar post. So a 22 dollar post is equivalent to a 165 dollar post in Vests. A 2.2 dollar post is about the same as 16 dollar posts and a 1 dollar post is about the same as a 7 dollar post.

I know I have gone about this in a very confusing manner but, I want people to actually do the work to understand the system from different perspectives. For those who are planning on being here long term, it is advisable to build a picture for yourself how all of these things work because it can change the way you view the platform.

I will leave you with this last example:

As you can see, there was no SBD printing at this point either.

That post earned the princely sum of:

That was one of my highest rewarded posts to that point. That works out as, 5/66 = ~0.075 price feed of Steem. It is a payout from March 16th, 2017. That post earned more vests than the 165 dollar one.

What that means is that if I had cashed it all out at that very moment, I would have made ~5 dollars US. Today, that post is worth $59.40. and at 10 dollar Steem, that tiny 5 dollar payout will be worth 660 dollars. There it sits as about 132 kV in my Steem Power, earning a little more each day. What people need to remember is that a 1 Steem return now is worth 90 cents but in the future, it will be worth the future price. A little 2 dollar post today might net 2 Steem but, in 3 years from now, what might it be worth? You don't know do you.

While everyone is waiting for higher prices to post, I am hoping to earn some Vests in the meantime. I am going to keep building the relationships, keep grinding away and keep helping others do the same. This might potentially be the most profitable year of your earning life and even though you are going to have to be patient for the return, the work has to be done now.

I am sorry if you are confused by the numbers or if they aren't completely accurate as, math is not my strong suit. I know that for some they will have a look over this, have a look at their own earnings on Steemd.com and start looking into just what is going on.

https://steemdb.com/@USERNAMEHERE/authoring

I hope that it helps people get a better view of how they are here and where it could lead. Price now is not the same as price a year from now and with SMTs on the near horizon and investment companies and banks looking to get a foot in the door, in my opinion, the chances are good that in the not too distant future, the work many people consider thankless now will be the work that they are grateful to have performed. If they held a little too of course.

Taraz
[ a Steem original ]