RE: Steem Price is being pushed down by 1 person! Speculation on why and where it may end up
@delicious and the correct answer to that is to buy and hold SBD since that is the literal equivalent of opening a short position on steem. What @dantheman is doing is exactly the correct move, it makes it easier for others to acquire steem and gain a voice and influence while the platform is still nascent.
@dantheman is in the unfortunate position of damned if he does and damned if he doesn't. However the sooner this is over with, the sooner the healing can begin. It's catharsis.
BTW @dantheman I'm a bit pissed I converted $100 USD worth of SBD a week ago and got back about $60 USD worth of steem today. Point of SBD is I'm supposed to be able to get about $1.00 worth of steem and all I need to do is have patience and wait a week. $0.60 does not qualify as "about". I hold SBD so I'm not assuming bagholder risk on steem. Can you please look into fixing it so that we use the current market price or the 24hr avg price? Otherwise the only smart move is to hold something else while we wait out the inflation if there is any chance we will need our money within a few weeks.
@delicious isn't complaining about the fact @steemit is selling STEEM, but the fact @dantheman downvoted the post. He is right that this looks really bad. The guy just reported the selling without interpreting it! In one hand Dan explains that it's all good and there is nothing wrong, and on the other hand he downvotes the post to dig the matter under the rug and doesn't even explain his downvote. I had no intention to upvote that post, but given the deliberate attempt to downplay the matter, Streisand it is.
Thanks for the explanation. For a newbie who hasn't even read a white paper yet it is confusing. Shelled out some $ into steem, because I believe it is going to become a new stronger non hijacked reddit we need so much in order fight against corruption these days.
@williambanks. With conversion you get (about) $1 expected value of STEEM. You do not get literally $1 worth of STEEM, since volatility during the conversion period can work in your favor or against you (I've literally experienced both so I can assure you it works both ways). I think maybe that needs to be communicated better (though mostly my opinion is that the conversion option is unsuitable for most users and should be removed from prominent placement in the UI and left to experts).
I think the point is that if it's a 7-day moving average against STEEM like it is now it will be systemically undervalued due to built in STEEM inflation
@nikolai Yes but only by a few percent (will be more like 1% in the future). That can be accounted for by slightly adjusting the feed rate. I have already been aware of this and would be suggesting to witnesses to make that adjustment if I thought it were relevant. At the current time SBD has been -25% and +50% from par, so these small tracker errors aren't that important.