Steemit price falling as a result of a deficient system
I believe my title says it all.
How ever you want to look at steemit, there is no way you can believe that steemit alone without any kind of outside income sources is going to keep being successful.
How do you expect these big cashouts to be sustained by the market if there is not a single source of revenue within steemit. The solution is pretty simple and I have mentionned it already, start advertising and take advantage of the heavy website traffic right now!
We are talking about tens of thousands in revenue every single day from potential advertising income. Even if steemit stated since the very start that they are not going to publish advertisement, there is no way the system can keep on sustainning all these cashouts.
While whales are cashing out and still earning 200+ steempower a day, how can we expect to not see the price keep on falling . I am personnaly enjoying the fall of the price since I know I will be able to buy some coins at a very cheap price but right now at .4$ a steem is still overpriced knowing there is nothing to stop this heavy drops.
Take a listen to Let's Talk Bitcoin Interview with Ned from Sunday. Outside investors should be coming in along with the peerhub store that is allowing for a craigslist, etsy and ebay like store with 0 fees. That only makes steem dollars more valuable.
They are quite smart. I'm sure they have ideas on bootstrapping the value of Steem. Advertising revenue need not be only method. If not, people will buy in at some (much lower) value to increase stake to make their respect higher. I think true userbase is big enough at this point that Steem will continue to grow.
You make a good point. But would it become like Facebook with ad revenue? Facebook is corrupted because they are slaves to their big advertisers.
I'm uninterested in having Steemit be sullied like the rest of the web. Slowdown from ad trackers opening hundreds of unwanted connections. On principle I'm happy they haven't had advertising at all. That way it's clear that what we earn in payouts is from equity in the platform and not some signed advertising deal. Steemit has a stance on privacy and anonymity as well so ad serving would prove antithetical to that end. Let's monetize some other way or not at all.
exactly right. One of the things I like best about Steemit is NO DAMN ADS...if someone wants ads so bad....the whole rest of the internet is infected with them.
So it will be you who is going to buy all the Steem to pay for the content party?
I agree, but ad (banner) must stay very decent (small, not moving, not flashing) and premium only. Also promoted article could be mixed among other articles in all views (but marked with some different background and only one selected promoted article per page). Ads must be minimal and not disturbing as possible. Otherwise it will definitely kill Steem.
What about promoted posts?