Price of Steem leading to more witnesses shutting down servers? How dangerous is this for the Steem blockchain?
The crypto market has been going down recently, with the main culprit being Tether is being investigated by the US govt. Tether hasn't been "printing Tether" very much lately and that leads to not enough buy pressure to keep prices inflated...Here is a good break down of Tether's scam and how it inflates all crypto prices
Witnesses what price will you shut down at?
What is the price per Steem you will be forced to shut down at?
Will you pay for the server out of your own pocket or sell off more Steem to do so?
What will happen to this platform if Steem prices go to sub 1 or 2 cent levels?
Is the Steem blockchain in danger in any real sense?
I know this goes without saying and hindsight is 2020, but how many of us have actually sold Steem when it was in the 5 to 7 USD range? Probably almost nobody, we were all drugged up on crypto price gains after all...
When the price goes up that high I think witnesses(this applies to SteemitINC too) should have sold some of their Steem to keep reserve FIAT on hand to cover server expenses(or pre-pay their server bills at least). We continue to see prices go lower and lower on Steem, myself I traded 1 ETH to 300 Steem exchange rate at one point in time and now it is 1 ETH = 1,269 Steem... A great way to 1/4th your money!
Steem dropped to 12.7 cents earlier...
All crypto has started to go back up again a bit, as of writing right now Steem is in 79th place in the top 100 cryptocurrencies on Coinmarketcap.
How low can we go?
Pretty low actually. In fact, there's almost no real reason for it not to go lower beyond people just aren't dumping Steem right now.
As mentioned above, pretty much the entirety of crypto prices over the last few years have been maniuplated up or down depending on how much buy pressure is supplied by Tether.
But what else can cause the Steem price to drop even further? From what I understand(and I will update this with a source later when I find it) SteemitINC has put a pause on selling their Steem, when that resumes the sell pressure will be higher. Which likely will cause the price of Steem to go down further.
After going through multiple crypto crashes I turned into someone who sells every so often instead of hodling. Hodling mindset made me hodl through 3 different moon events(yes I have been involved in crypto since pretty close to the beginning).
Would hate to see this blockchain go down or a hostile take over as more witnesses drop out.
Another scenario would be some of the witnesses partnering with others with business acumen (like Aggroed) which would give them more fluidity as well as an opportunity to help the value of their Steem grow. Despite the knocks the witnesses get sometimes, they have more to lose than most of us if this was all to go bust. I would say it was a good move by Steemit to make it cheaper for them to run the nodes.
Witnesses need to become collectives, not people. Its already happening as they seek to compete.
If witnessed are going to shut down their server then transaction speed of steem blockchain reduced drastically. Am I correct? Great problem for everyone here.
Technically wrong, as long as there are 21.
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I think we can go until 3cent
Sub 3 Cents witnesses are starting to shut down and partner up.
I kinda hope for that scenario cuz it would change a lot of for-profit top 20 witnesses with non-profit community witnesses..
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