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RE: STEEM POWER LASTS FOREVER (90% Interest Rate + 104 Week Power Down = Growth)
So where's the benefit in building steem power? Just for better rewards in posts and citations?
So where's the benefit in building steem power? Just for better rewards in posts and citations?
Yes, indeed. But is is to be said, the value of your steempower decreases by about 5% yearly IF YOU DO NOT DO ANYTHING.
SO if over the course of the year you manage to gain an adittional 5 SP through contributing, through voting,... You will remain at break even, if you make more, you will rise to have even more steem power.
If I understand directly, this debasing effect takes into account that the total pool of steem = a fixed amount of dollars. if the value of the total steem pool rises by 5% a year (because people are willing to pay more for it) than you will see the value of your steem power go up.
There are other posts which explain this much more clearly than I can on steemit...