In most companies, large chunks of ownership are held by a few people. So it is somewhat natural that few people hold a majority of the steem power. However, this has negative consequences when the only thing that steem power can be used for is upvoting other peoples content. The result is a very small cadre of people control what content appears on trending and ultimately decide what content is worthy to be on steemit.
If the goal of steemit is to gain mass appeal, we need to put control of what content hits trending in the hands of the masses of users not a select few.
The current distribution of steemit:
- Nearly one-third (33%) of all steem-power is held in the account @steemit
- The next 15 or so non-exchange accounts hold nearly 50% of the steem
- 90% of the 17% of remaining steem-power is held by less than 200 people.
- 1.5% of steem-power for everyone else.
We need to allow large investors to opt out of the reward pool without penalizing them. I think a good solution is to Split the 10% inflation that is the current reward pool into two groups: (a) Dividend Pool (b) Reward Pool. Each pool will get a proportion of the 10% inflation equivalent to the proportions staked in them. By incentivizing large accounts to opt out of the reward pool, we let smaller accounts take a larger role in deciding how the rewards are split-up. This also allows passive investors (who do not want to use the utility of steem) to invest without penalty.
- The dividend pool is the equivalent of automatic 100% self-voting.
- Is a non-voting share that does not require a 3 month vesting period (no-vesting ensures passive investors are more interested in steem)
- Can not elect witnesses
Benefits for investors
- INVESTORS will want to BUY steem.
- Easy to hold, no need to actively use your steem to maximize your investment
- Liquidity for investors -- No 3 month lockout.
- Allows Passive Investors
Benefits for Whales
- Less research to direct a massive reward pool
- Let smaller fish decide trending content, don't get blamed for ruining steemit by promoting bad content.
Benefits for everyone else
- Better trending content
- Less Spam
- Votes are more impactful
- Still vested for 3 months
- More or less operated the same. Optionally increase the max vote from 2% to 100%.
Wouldn't this make the Reward pool smaller?
Probably. The reward pool will more closely match the quality of content.
Wouldn't everyone just elect to pay themselves?
No! You would have to assume that no one on steemit
- wants to support content
- wants to self-promote their own content
- wants to vote for witnesses
All good content has a picture