STEEM's New Economic Model Helps Smaller Accounts
One of the complaints about Steemit is the idea that larger accounts only upvote themselves. Known as "circle" voting, there is a certain merit to this idea. Whether it is by design or simply human nature, this makes it difficult for newer people to "break" in.
Lately, we saw a shift in the business model that is being used on the STEEM blockchain. With so many newer projects, many are looking for delegation. @steemhunt was able to amass over 1M SP in delegation by offering their pending SMT as a return to those who delegate. This put an enormous amount of SP in their hands.
We are seeing this situation repeated all over the blockchain. Projects are looking for SP delegated to them as a means of funding their projects. @zappl and @dtube received large delegations from the Steemit accounts earlier.
So how does this help the little guy?
We need to look at the motivation on these projects versus individual accounts. While growing an account financially is the same, there is something different that comes into play. Projects need followers. They are looking for support. In short, they are looking for interaction.
This means they want a large number of active users. The way they are increasing the participation is by giving upvotes to the participants. Here again, we see the numbers game starting to take place. Upvotes favor content creators. Hence, the people involved in those sites are going to receive votes from large accounts.
The key is for smaller accounts to get active. @dtube recently started to hand out the 25% of the reward it took to cover development. This percentage is distributed to those who curate content on D.tube. Here is a situation where an upvote is rewarded with a bit more SP than if it was done elsewhere.
These projects are offering rewards to those with SP who "invest" in the projects via SP delegation. This is no different than the approach used by bid bots which create so much controversy. However, unlike the bid bots, the upvotes doled out by these entities goes to content creators without having to pay with SBD or STEEM. This model helps to grow the blockchain since there are more valuable projects making it potentially more attractive to outside users.
If this model continues, we are going to see the larger individual accounts delegating SP to more projects. This is going to take more SP out of the circle voting arena. New applications are motivated, in addition to funding, by lots of followers. They need users to come onto their platform. This requires rewarding people for doing it. Your attention is getting more valuable. These entities are going to have to pay for it.
Also, it was reported yesterday that there is only about 50M liquid STEEM available on the exchanges. This is only about 18% of the total amount of STEEM available. Repeatedly on here, it is suggested to get whatever STEEM one can and power up. This is becoming a very scare resource.
What do you think will happen as more projects come online? There are only a couple ways to power up on a mass scale: delegation and buying STEEM on the open market. As more people join, the amount of STEEM powered up will most likely grow pushing the percentage of available STEEM down. This only makes the supply that much more difficult to get.
As you can see, even those with a small amount of SP are going to be sitting in a good position.
This is why I put together the idea of a Minnow Uprising. The system still favors content creators and now there are some larger accounts upvoting the content outside a small circle. This enables other accounts to get a small amount of SP from a larger account on a consistent basis. These projects want your participation which means using their voting power to enlarge its user base.
https://steemit.com/steem/@taskmaster4450/time-for-a-minnow-uprising-overwhelm-the-system
Therefore, starting on July 1, I urge all Minnows and Planktons to increase their usage of the applications on the STEEM blockchain significantly. There are roughly 140K accounts in that range. If a fair portion of that group participates, it will simply overwhelm the system and take over a large portion of the reward pool.
Things are changing for anyone involved in STEEM. A lot of good things ahead.
If you found this article informative, please give it an upvote and resteem.
#minnowuprising will be great! I have also thought of spending more time on the #introduceyourself tag to motivate and give some upvotes to promising starters. I hope that it could inspire great content creators like yourself to engage more with the community!
That's a good plan. We do same by creating a unit at Steemjet called newbies department where we target promising newbies with some upvotes to encourage them to stay in the platform.
User adoption is quite important and so is user retention,
That is great! Definitely need more motivation for newer users especially as the price of the STEEM coins remain low.
I think it is great to see more projects getting delegation and helping a lot more Steemit users out. My main account is more of a gamer/dlive streamer driven account now or will be, but when I or many others receive an upvote from @dlive for providing a good stream, it shows that hard work and quality content can pay off and feels nice to see a project working well for the community.
Great idea but as a newbie what are your suggestions on the wisest and most profitable projects to delegate to?
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Brought to you by @tts. If you find it useful please consider upvoting this reply.
Forever bullish in a bear market! You certainly need balls of steel to be like that. #hodl
These things are great. What surprised me though, is that you don't practice what you preach, no offense.
It would also help and motivate people to get more active if you would reply to their replies, upvote their replies.
Another thing that would show some respect is to cite your images the proper way. You seem to credit google instead of the actual creator of the image.
Don't you think doing so well on this platform as you do, you should be more of a role model to the new people? Educate them and help them succeed?
Just my 2cts.
No offense taken.
I think you need to go back through my posts. I usually upvote most decent comments made in my articles. I also comment often with the people who post comments. I have over 11,000 posts in 10 months...do you think that all is articles.
I am trying to grasp what is the exact purpose of the platform. What works, what doesn't. What to do, what to stay away from.
It is confusing because the things that are said not to do, seem to generate more payout than the things that should be done.
I read a few of your recent posts and didn't find any reply.
It's just confusing, but I'll try to learn a new thing every day.
Someone said, when you comment on a post you should also upvote it, just out of respect. Do you agree on that one?
You complicate things too much. Focus firstly on a solid content strategy, network and build up connections and then upvote quality. Easy.
That is the confusing part. Some people build a solid content strategy by just copy/paste what is already on the internet and make a lot of money out of that.
Not the way I want to go.
People fucking themselves over if they are lazy with the work. Don't worry about them. They are not working on a long term strategy.
That is a tough one. I suggest people comment often, especially when new. Hence, if you are stuck with only 10 upvotes a day, when new, that is impossible. I think it better to comment more and than less so one is not going to be able to upvote all posts that are commented upon.
It is confusing, it does take time...and there are many approaches. I posted a ton of comments my first few months. I would suggest going to the hot page and reading through there and commenting. That is where people who are active with some SP tend to be. Skip the trending page in my opinion since that is a lot of circle voting.
There is no doubt that some are well compensated for going against what is, perhaps, in the best interest of the platform. It is sad but that is the way things are. I find that people who focus upon the long-term growth of their own account tend to the do the best.
People are going to be people. Those who concentrate on taking the action that gets them followers and helps to improve there holdings, even .1 SP at a time, adds up.
Overall, I believe this with any amount of SP will be very happy a year or two from now. Keep learning, commenting, and growing your account and I feel you will be in the same category. We are in the very early stages of this process.
Thank you, your reply is very helpful. People from my country are known for being a bit direct from time to time. If that was the case, I apologize for that. Thank you for your time.
No need to apologize since no offense taken.
There is a lot to learn here and many of us do what we can to help newer people.
This is a wonderful opportunity to really change things in the lives of people. STEEM is going to make a difference to millions.
There is another project, a basic income which I often link in my posts. It is one designed to help people out in nations all over the world. The tokens are given weekly simply for signing up and verifying. If you havent done so, this might also be of assistance...it is a project that is expanding all over the world.
https://www.mannabase.com/?ref=fbt5zz3bfh
Work harder at it then? I don't really see a 300 word comment from you above. He is already doing more than majority with his daily posts. If you want massive growth you should start by looking at your content strategy instead of resteem frogs.
Not sure why you are so upset by a comment that was not addressed to you. @taskmaster4450 is very capable of handling his own business.
My point was 'role-model', there is no complaining about not making enough money. I am in the fortunate position that I don't need steem to put food on the table. This doesn't mean I am not interested in the system as a whole.
Not sure what resteem frogs means. Are you assuming I am not posting my own content? That would actually mean you didn't take the time to check my account before posting this.
Or are you referring to the post with the frog image I resteemed? That is a very nice contest hosted by @papa-pepper, everyone should know about.
By jumping in like this you are kind of making a ..., no problem though.
I hope you have a wonderful day. Keep steeming!
Not sure you know how Steemit works but this is social media. Not private message. That will say this is a public forum where you write to let anyone be able to respond. Innovation.
Thank you for your upvotes and unvotes, I guess.
Not sure you know how Steemit works but this is social media. Not private message. That will say this is a public forum where you write to let anyone be able to respond. Innovation.
I can't agree less to many of your view, one of the best way to earn a lot from the reward pool is to use the many app and platforms on the steem blockchain.
Nice development, steemit is getting better by the day, i pray we all benefit from it, nice post
Good idea, I hope that many will benefit from it :) And soon we see.
Niiice article
Dude, totally...