Witnesses only decide the price of SBD, they are paid in STEEM. But Steem is waaay different from Bitcoin. I might just confused you with that reference:) Let me try to clear it this time:
A witness PC runs a node, which collects the transactions (posts, comments, votes, etc) broadcasted by interfaces like steemit.com, busy.org, esteem App, etc. and puts them into the next block.
Steem is being managed trough Delegated Proof of Stake (DPoS) mechanism. But not every stakeholders taking part in the validation of transactions (you and me are also stakeholders), only elected witnesses securing the blockchain, managing the transactions, and getting consensus. They are doing the hard part:)
When new STEEM is created, witnesses receive 10% of new coins, 15% used to pay interest on Steem Power for everybody (vesting fund), the remaining 75% goes to the reward fund and distributed to authors and curators.
So in a way, every user on Steem is a miner but we have to write posts, comments and vote to receive coins.
Witnesses only decide the price of SBD, they are paid in STEEM. But Steem is waaay different from Bitcoin. I might just confused you with that reference:) Let me try to clear it this time:
A witness PC runs a node, which collects the transactions (posts, comments, votes, etc) broadcasted by interfaces like steemit.com, busy.org, esteem App, etc. and puts them into the next block.
Steem is being managed trough Delegated Proof of Stake (DPoS) mechanism. But not every stakeholders taking part in the validation of transactions (you and me are also stakeholders), only elected witnesses securing the blockchain, managing the transactions, and getting consensus. They are doing the hard part:)
When new STEEM is created, witnesses receive 10% of new coins, 15% used to pay interest on Steem Power for everybody (vesting fund), the remaining 75% goes to the reward fund and distributed to authors and curators.
So in a way, every user on Steem is a miner but we have to write posts, comments and vote to receive coins.