Steemit Improvement Idea: Variable Power Up/Down Option

in #steemit8 years ago

Purpose: Encourage users to hold while retaining the benefits of powering down; allow more flexibility and functionality of the power-up/down feature

Parameters:

  • Add field into Wallet page: powerDownRate between 0-100
  • Power Down option of percentage (0-100 %) with inverse Steem Power (SP) growth incentive
  • User powers down at a rate of 80%, so receives 20% of original SP-growth moment-to-moment, and 80% of what would have been otherwise received each 7 days at the end of the power-down period.
  • If I receive 10 Steem at the end of a power down period, I would now receive 8 but still receive 20% of my dilution rewards

Explanation:

  • Gives user more control over how they manage their SP
  • Rewards holders and long-term investors
  • Adds more variability to market information, increasing

Hypothesis: The percentage of users with powerDownRate > 0 will decrease and the average powerDownRate per user will be >= 0.5

What do you think ? Would the economics change the reward structures too much ?

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It certainly looks like a good idea but it would be helpful for someone with economic expertise to chime in on this one.

I suspect that the way the system is currently set up took a long time to figure out and @ned and @dan probably won't want to change it unless there is some definite improvement and they know the new system will work at least as well.

This scheme was the only thing I could come up with that acted as a counter-balance to powering-down with zero considerations necessary.

I honestly thought that powering down took power out of votes, otherwise why wouldn't everyone power down at all times if for no other reason than having the option to power back up after their payouts if they are not in need of liquidity?

I think you are right about that though - I remember someone posted on this after powering down and their vests started to go down immediately which one would think would affect their voting. I think they then stopped the power down because it scared them!

im like 87.23146% sure this functionality already exists in the cli wallet if i understand correctly what you want... (you want tpo pick what % of your steem power to power down)

Well, more than anything I want there to be an incentive for remaining powered up that competes with the incentive for powering down (liquid Steem each week).

Until that happens, why should whales stop powering down and selling their Steem?

Well, they lose vote power when they power down (as discussed below) .

The problem isnt that people are powering down, its that whales started with an unnatural and absurd amount of steem to begin with, from the "ninja mine." and now their power downs are so massive that they break the universe.

Once we got to the point where whales had billions of steem locked in steem power, why would you think they would ever not power down. Its absurd. The problem isnt powering down, the problem is that one or two guys powering down has the power to effect the entire steem economy.

Well, they lose vote power when they power down (as discussed below) .

I took a look at this from steemdb and you can see that my Vests (which determines voting power IIRC) still climbs after each power-down payout. But taking the Steem that came out and powering back up is a trivial matter if you want to keep your voting power. Thats not an incentive. Its a lack of dis-incentive... and quite honestly, its one of the few that I can think of here on Steemit (except for maybe the 30m vote window and the 4 post/day penalty).

Selection_09531e10.md.png


Well, just visualizing the result of that, the whales that are powering down are basically leveling a giant hill one layer at a time, one week at a time. But just like everything else in Steemit, behavior is driven by incentives, not disincentives.

If there were real incentives to remaining powered up (like 100% power-up equates to 100% voting power, or increased speed of vests compared to <100%)... hell even a piece of flare to show that an account is 100% powered up . SOMETHING! Anything to slow the deluge of Steem flowing out.

Lower prices of Steem is good for more adoption, but that presupposes new market entrants will a) want to pay for more Steem Power, and b) understand enough about crypto and bitcoin to accomplish it... need a fiat-> Steem mechanism somewhere :D but thats a convo for another time.

Not sure im understanding your point

Your vests are climbing due to curation and author rewards..

Yeah, you could power down and immediately repower up, but then you wouldnt be able to sell the steem. If you waited, since the vest conversion ration would be higher, you would get fewer vests for the same amount of steem.

As to flair. For you personally, WHat piece of flair would be an adequate replacement for a million, or even 100 thousand dollars.? Voting power, voting speed etc mean nothing to the whales, they already have more votes then they can use effectively.

The problem is not the deluge of steem flowing out, its that no one wants to buy it. that is to say, it isnt a supply side problem, its a demand side problem.

Also, im not sure what you mean by 100% powered up... you mean like printing a bunch of free money, then never powering down to sell ilt? I mean, seriously?

my comment is now on top of the list of comments, because I upvoted my own comment and I have steem power

and that's why you need to power up!

and not to be rude, but ...
https://steemit.com/steemit/@luminousvisions/authors-should-upvote-most-comments-made-on-their-post

I don't will have enough incentive to change the mind of the people already power down.

but it is simple to stop the power down, or would be simple to adjust the rate.

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