3 Pros, 3 Cons on the Steemit Hard-fork
June 20, 2017 was most certainly a glorious day for our Steemit network! The vast majority of Steemians woke up that morning to find an exponential lift in their earnings, as well as newfound abilities to impart serious voting rewards. More power, more money...it's all good in the hood, right?
Well, not so fast. While the euphoria of making substantive money -- however you define that -- is understandably high, you have to remember the basic laws of economics: there are no free lunches! It's simply impossible for both demand and supply to shoot up to the same record-breaking magnitude. Inevitably, a return to normalcy will occur.
For now, here are three pros and three cons that I see with the Steemit hard-fork:
The Pros
• Mo' Money -- Money talks, and BS walks. This is truly a tale as old as time. I've been extraordinarily blessed over the past 24 hours, and this just wouldn't be possible without the hard-fork.
• Mo' Incentives -- So you've tried to convince your friend to join Steemit, but he or she refuses for God knows what reason. Now, you may not be able to get your friend off the phone once you explain that you made hundreds or thousands of dollars just yesterday.
• Content driver -- With the potential of making serious money, even for newcomers and minnows, theoretically, everyone should be on overdrive to push greater content into the Steemit network. This also would be a net positive for the STEEM currency
The Cons
• Mo' Problems -- Because it's easier to make serious cash, you can expect an exponentially higher amount of e-begging. Call it rich people's problems.
• Steemenezer Scrooge -- With the additional voting power, don't expect people to upvote your content anywhere close to approaching double-digits, or even vote at all. When voting almost meant nothing, people did it. Now that it means something, people are far less generous.
• The Cap -- To me, the hard-fork implies that you will have consistency in your rewards, but the potential of making three-figure (or more) payouts is heavily limited, unless you are well-established or have just dumped your life savings into STEEM Power.
Well, steeminizer Scrooge IS content driver. Since people have to distribute less votings (10 ideally per day - at least those with less than 500SP) they will search for great content to distribute it to. Which again..drives content quality. But totally agree. It's mainly a good thing for Steemit I think. Also I think it incentives more long term thinking and patience. You're probably not going to get a whole lot of votes as a minnow (I'm noticing that too all ready) but once you get a vote it counts for more - and you probably build better relationships.
I saw some high lvl accounts posting about lowering the required 485 Steem Power (1MVets) to be able to scale the Voting Power to 125 SP (250kVets). So minnows can vote more often instead of 10x100% :D
You're right. I read that too :)
You're exactly right.
This is partially a numbers game. Being in the right place at the right time could catch you a good upvote (lotto), but consistent earnings growth comes with persistence (engaging with Steemit via comments and posts).
In any case, the more you dedicate yourself to Steemit, the higher your odds are of turning a good profit.
BTW, right now is an example of being in the right place at the right time :)
I feeeeel good, durururu ru :)
Hahaha... "I feel good" whuda gotcha anotha $2, alone, but the "durururu ru" putcha ova da top!
Whuut. Get up offa that thing! (How long can I keep this going?) :D
That's my favorite!!!
Oh man. It's too funky in here!
You've just been lotto-sized by @jamesbrown!
Now make good use with the Steem-Power from this payout, i-ight?
@jamesbrown
Most people tend to forget:
The difference between patience and persistence is the difference between doing and dreaming. It's the difference between those who get to the finish line and those who quit before the work really begins...
Thus; be patient and do the work, will set you up good!
Yes, another difference is that there's basically no risks with dreaming and there can be a lot of risks with doing, BUT big rewards come with big risks (example; buying Steem when it was trading for pennies).
Putting in time on Steemit is a little bit of risk, it's time you could be spending doing something else that MIGHT benefit you more. You could grow a huge following only to suffer the (hypothetical) death of Steemit (amounting to wasted time), but it could also pay off HUGE dividends in the future.
The 1 Steem that you make today could be over $100 at some time in the not-so-distant future.
Oh, and have an upvote :)
Steem makes me wanna dream big again, to look up to a bright future! It's within our grasp!
The idea on it's own; blogging, make friends with all kinds of total stangers and earn something in return is still beyond my believe... It also makes me humble to be part of a great community!
$100.- Steem is an insane number, but a huge milestone! This makes me wanna risk some of my time into this platform and enjoying it while doing so!
That's really cool :)
If you have the drive/ desire, Steemit can definitely provide you with a nice income.
And, you're right, this platform is AWESOME! It can be great for both your social and your financial life. It all comes down to what you want to get out of your time here.
$100 per Steem puts Steem's total market cap (using current Steem supply) at a little over $25 billion. For comparison, Facebook's current market cap is about $441.25 billion. So, Steemit (and/ or its "brothers" and "sisters") needs to achieve about 1/17th the size of Facebook in order to reach $100 Steem. I think it's doable. I'm not going to suggest that it's likely, but it is definitely doable.
EDIT
Depending on when you read this, you might have seen different figures listed for Steem's market cap. I accidentally plugged Steem's market cap into my calculation when I meant to use the current supply.
The numbers should be right, now.
Yeah, it's an awesome time! I just wish I had pumped the crap out of my content if I knew about this hard-fork!!!
Thanks for the info Bud.... I am still trying to figure out how to convert the gains with poloniex being down. Upvoted and resteemed!
Sure, thanks for watching! Sorry I got to your comment late...have an upvote! :)
Call it rich people's problems
I'll never have this "problem" :P :P :P
I see you're killing it right here:
~ https://steemviz.com/pendingpayouts ~
Just a fortunate turn of events due to the hard-fork! I'm back to making my tens of dollars now that things have normalized! :)
This is a good summary, thank you!
Thanks for sharing your thoughts. Fascinating times. :) STEEM ON! :)
I was shocked at the increase in payouts and vote strength. All this SBD will pull the price back toward the $1 where it's supposed to be but I though would have sent the STEEM price higher as people power up , the rewards for haveing steem power have just gone 🚀
You're right, SBD has gone the opposite way of expectations. It's tough to tell with these things!
It really does feel good being able to give more than 2 cents to someone for their work. Ignore the beggers, when they realize that they wont get what they want by begging they will (hopefully) move on.
I agree with that great vibe...as far as the e-begging, I just ignore it, but I don't think they'll go away...I really think they'll ramp up their activity.
Thanks your information is very useful for thinking
Sweet, glad you liked it!
Of course I liked it - newcomers need to learn and need support, like (a pool for fry) after the end of the exercise - swim to feed yourself. And whales are just happy and they need clean water.
3 Pros and 3 Cons
Sounds about right, Right, RIGHT @bullishmoney
I'm still going to FOLLOW my
"thirds rule strategy"
Keep STEEM N ON,
Frank
Your tricks are exactly what I think. Very good article and very fair. I will follow you because you are full of good sense. Today I convinced my girlfriend to create her blog on Steemit and she already loves (especially because she likes to have comments on her works of art)
Yeah, it's a wonderful platform...I'm glad you got her to join! Thanks for your comments! :)