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RE: Why STEEM is more valuable than you think
But what about the amount of STEEM available?
Is the amount of available STEEM regulated? Could that be exhausted when more and more site would need to buy it?
Or do we get the effect like on bitcoin? from working with steem, to working with 0,1 steem, or 0,0..1 steem?
There is a limit to how much STEEM is generated yearly. If the demand becomes very high, the price will simply increase to contain it. Interestingly, more expensive STEEM will mean higher payouts to curators and authors :-)
Then "Bandwidth Demand — SP Sites will need to pay for large bandwidth demands by buying and staking STEEM" means that the needed amount of steem will also have to go down?
Suppose it would be a fixed amount (take eg 1000 STEEM). If STEEM price goes up, this would mean a bigger investment to start using SMT which makes it less usable.
And probably it would also mean that it won't be as 'easy' anymore to collect steem for your content / curation.
Though: I think it's clear from my comments that I don't fully grasp yet what this SMT will actually mean ;).
Well, the needed amount of STEEM will increase. If you need more bandwidth as a big site, you must buy more STEEM.
If you are a big site, you will need more bandwidth and will need to spend more. If you are a small site, you will need less bandwidth and can spend only a little.
However, big sites can afford to buy that amount of STEEM, and is comparable to hosting costs.