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RE: Selling pressure and why I'm still positive
All cryptos have a distribution model.
LTC and BTC are mined, and yes they have sell pressure. I laugh when I hear this being described like this. All tokens have a model of distribution, ours happens to be via votes. What Starkz says applies to all tokens. If no one owns the thing it holds no value.
What we need to do is create demand.
This whole line of thinking is relevant to every token.
Mining, via computer equipment or votes creates sell pressure. You have to match that with demand.
No disagreement from me there... it's how we distribute. But, I guess if I had to sum up my post here... its precisely that... how we ought to think of demand.
Absolutely. Supply is taken care of. Demand is critical.
Why should someone buy STEEM?
More specifically, why should someone buy more STEEM than the minimum needed to transact on the blockchain?
Every choice has an opportunity cost. If you are buying STEEM, that means you are not buying everything else in the world, including PAL, LEO, BTC, EOS, and whatever else that can be considered competitors within the asset class.
I'm not sure how you mean that.
I own all of the above. I don't need to choose. I pick a few and hope some do well and understand most will not.
The reason I stopped buying Steem is it is still too expensive. If I buy Steem I know my investment will be wasted on SteemIt, Inc's powerdowns, Haejin and traf's abuse. KevinWong, and the bidbots. My Steem can hold no value as long as we are allowing the level of abuse and waste.
The distribution isn't the problem. It is not using the inflation to add value.
If there is too much sell pressure we need to either reduce inflation or increase demand. We also have to plug the holes... :)
Ah, this makes me think. Thank you!