Q: How is the Steem Coin supposed to get value?

in #cryptocurrency8 years ago (edited)

Hey Steemers!

I´m pretty new here, and I´m still trying to understand the whole construct Steem with all it´s facets.
Actually I forgot who initially brought me here, I think it was someone on cryptocompare.com who said that steem is the next big thing! So I gave it a try and here I am. I understand that it´s still the beta and the Kindergarten time of Steem. Even though it´s so young it radiates self-confidence.

However @jerrybanfield pointed out in a post of his, that the steem coin will go up to 10 dollars in ten month.
Maybe yes, maybe no.
Personally I don´t know how this should happen?!
Because if I have a look at the eSteem app, and click on "market" i get this

Unbenannt.png

Most of the Steem Coins are being sold by their owners right? Everyone wants to cash out. Few to little are holding it. Even fewer people are buying Steem Coins with "cash" aka BTC. Am I right or is this Chart totally wrong?
Are users actually using the steem coin by sending it between one another?

Where is Steemit getting it´s market capitalization from?

Please help me understand, thanks a lot.

Clear skies!

Sort:  

That is internal market. For real market data you should go on Poloniex.com.

Thanks for clarifying! So what do I understand as internal market? Where goes the sell, where does the buy coming from?

At this time there are much more people who want to buy STEEM. Today volume is almost 6 millions USD.
http://coinmarketcap.com/currencies/steem/
Firefox_Screenshot_2017-06-05T16-28-08.132Z.png

As you know users are getting SBD and Steem power for their posts, votes... In internal market you can buy STEEM with SBD (Steem dollar). I must admit that I don't know why is SBD so precious. But for now that is a good thing. You can sell SBD on Poloniex for much more than a USD.
By design SBD should be tied, pegged to USD.

Aha! That´s the internal market .. the trade between Steem Coins and Steem Dollars. As I haven´t received my first payout I don´t know how exactly the trading works ...
You´re saying that I can sell SBD AND Steem Coins/Tokens on Poloniex? I thought I can only buy/sell the Steem Coin ...
I´ll look into it more closely soonish ..
Thx for the reply my friend

I just sent you 1 SBD for luck and to try internal market. Enjoy.
Serbus.

Thx man, I received it :)
good karma!
@fminerten1

The mania (yes folks, it's a mania) in bitcoin and euthereum is being driven from within. I doubt that any of the cryptos will gain worldwide acceptance simply because most people who don't yet already own any understand that there is a possiblity that this is in fact a mania. That leaves price to be driven solely by people who are already in, believers in other words. It' like asking a fan of any particular sports team why another team is better. You would be poling from a study group that is "highly" biased. The fate and price direction of ALL crytos "likely" depends on teh direction of Bitcoin and eutherium. And teh fate of both likely depend on the fate of the epicenter of this Wall St induced bubble >>> Silly Con Valley, Cali. So when you see FB, GOOGL, AMZN, TSLA, PCLN, etc stock prices dropping 30% in a matter of a few trading days, don't be surprised by an accelerated drop in the price of Bitcoin and eutehreum.

Seems to me that STEEM's main value is based on what people are prepared to pay for it at any given time :-)

I know it seems like an obvious answer but if you consider that STEEM's main strength is as a way in to sites that use it such as STEEMIT.com, it will attract people who want to use those sites and earn on those sites.

So you will have people from every other social media platform (hopefully) having a presence on STEEMIT in the hope of increased revenue.
Then as more people gravitate towards STEEMIT, you may have companies and advertisers buying up STEEM to increase their influence and presence however they will hopefully be careful not to over do it as too much influence and over promoting their own services will turn people off...STEEMIT will only work if everyone is given a chance to prosper.

So in summary ..I believe the value of STEEM is derived from people's desire to be part of whatever ecosystem is powered by STEEM. Right now it's STEEMIT, in the future who knows what else might spring up.

Correct me if I'm wrong but from what I gather, the value of STEEM isn't necessarily connected with the success of Steemit. The Steemit platform could be wildly successful and yet the value of the coin could stay relatively stable. This is in contrast to other coins like ETH or EOS where a rise in adoption would see a similar rise in it's value.

As you know I'm the new steem's mate so I 'm following to this post :) And I voted :)

Just voted your reply

man, so much voting :p Thanks guys! What I really want is an answer to my question :D :D :D

Welcome, I'm a new Steemer too and will be following your post, as I would like to know too!

Interesting question.

gosh it seems very complicated to me
does it really matter ? can we not just enjoy chatting about different things and if people vote things/posts they like then any currency/steemcoin/ etc are a bonus

Sure let's do it 😀 you start 👍

Enjoyable thread Interesting to see I'm not the only one that is thinking about this. The decision to buy a coin should be based on real analysis of the coin. I found that people keep buying coins without have any knowledge of them. This is considered high risk. I found this great website: https://www.coincheckup.com This site gives you a complete in depth investment analysis on every crypto in the market.

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