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RE: Where Does the Money in Steem Come From?
I could understand that if Steem price was supported by companies or ads therefore creating revenue in the form of Steem, sustaining creators and payouts. But as far as I know there's no plans for that in the near future. So you analogy doesn't make sense to me in the way it's currently laid out. You buy a stock based on the perceived company value and the chances for that stock and company to increase in the future.
I agree with this.
The payouts are too exaggerated, and not sustainable. The dollar payouts should be proportional to the amount of valued gained as a result of the viewership, and hence revenue from ads etc.
Not sure why you think companies won't purchase Steem for sponsorship or ads in the future. The ad model will be different than traditional online advertising, but imagine any company can buy $1 million worth of Steem, probably be able to payout a few hundred a day a day or $100k/yr in rewards as blogger sponsorship or to promote their own posts. That's valuable. We're also not even including the payments/commerce part of the ecosystem. That's valuable too as well as the network effect.
Yes that's more logical and I mentioned that. However, I don't see doing that myself if I was the head of marketing of a company, it's very risky to say the least. I wouldn't expose the company to downvotes from whales (1 million worth of Steem is a lot but a real whale can downvote your post in a second).
The only real option I see is integrating ads with a deal. Instead of paying with US dollars, they buy Steem (not SP) to keep the platform running.
I think the problem with many of us who are investors is a lack of direction in regards to monetization from the Owners. What you just mentioned sounds interesting but I have never seen an article or monetization plan from Ned and Dan. I would love to invest more but I can't just invest on a hope and a dream, we need to see the future vision to earn money. All we are seeing is how to give it away and dilute our investments thus far.
In fact, it is already happening. A week ago, I covered it in a piece - Demand for Steem is increasing among Online Advertisers.
You got it!!
Exactly, but there's not a single clear answer for this, it's just not sustainable, period. You buy Bitcoin because you think it will appreciate in the future, as with most other investments. If I could short sell Steem right now and cash out in 2017 I would be rich. We all know for sure it will dilute and therefore lose value. That's why projects with billions of coins/tokens maybe have a big market cap but a low price per unit.
Anyway most people don't even understand what's Steem, Steem Power, Steem Dollars, so they don't care and they think a blockchain creates "money out of thin air".
In the meantime the real questions go answered.