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RE: Why Flagging Is Bringing Down The Value of Steem, As A Currency

in #steemit7 years ago (edited)

For the time window allocated - which is 24 hours now, subject to change to 7 days in HF 17 - the stakeholders are voting and when the time window expires, whatever has left in the post "account" is transferred to the author account. That's how things are working right now, according to the code I read on github. If there's something I missed, please let me know.

You seem to be missing, despite clearly being aware of, the facility written into the system which allows any stakeholder to apply negative r-shares to a payout proposal.

The contract is between the payout recipient and the stakeholders. Some stakeholders apply positive r-shares to the payout. Others apply negative r-shares to the payout. The result depends upon the culmative amount, not just the positive. This is the contract which allows all stakeholders to have their say, if they so choose.

The reward pool is neutral, or agnostic. Theoretically, if nobody votes, the reward pool vanishes at the end of the day, it doesn't redistribute equally to all the stakeholders (which would be also bad).

I don't believe this is true. As far as my understanding goes, the reward pool continues to exist indefinitely and will be allocated when a payout happens, as long as that takes.

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You seem to be missing, despite clearly being aware of, the facility written into the system which allows any stakeholder to apply negative r-shares to a payout proposal.

I'm aware of that. What I'm saying is that the negative payout is breaching a previous contract between the recipient and all the stakeholders who voted until the downvote moment. The downvoter applies negative r-shares to a sum to which he personally didn't contribute. He has a say in something that wasn't part of. That's the part that, in my opinion, increases entropy.

The only contract is the smart contract written into the code which facilitates the payout system. That contract makes all stakeholders a party, as it is their stake which is diluted by the same mechanism. They get to decide how it is allocated, and the system allows for both support and opposition.

With all due respect, I think we're talking about different things here.

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