Steem blockchain is based on graphene technology and is much more advanced than first generation blockchain that powers Bitcoin.
It can do more than what Bitcoin blockchain is capable of.
For example steemit.com could not have been built with Bitcoin.
Bitcoin is simply too slow and expensive for that.
But this is not the only difference, fundamentally Steem blockchain has better potential to succeed because it is much cheaper to operate and charges no transaction fees.
Bitcoin transactions are prohibitively expensive and slow.
(3 second transactions in Steem, 10 minutes transactions in Bitcoin)
Here is a chart that clearly demonstrates why first generation blockchain Bitcoin can not compete long term against much more advanced blockchains like Steem and will eventually lose out.
As you can see simple Bitcoin transfer transactions on Bitcoin blockchain cost about $30 each when costs of mining are taken into consideration making Bitcoin a very expensive way to send money.
Currently these transaction fees are hidden from Bitcoin users because miners get paid off from new Bitcoins being issued, but there will be less and less new Bitcoins created over time and miners will charge higher transaction fees to pay for all the electricity they are burning and to pay back their investments into mining hardware.
What this means is that Bitcoin transaction fees are likely to increase overtime and become even higher than they are today making Bitcoin blockchain un-competitive vs fast and low cost blockchains like Steem that do no mining.
Bitcoin will likely be around for a long time, but it will never become a global payment system. Bitcoin's blockchain can not handle required load and transactions are too expensive.
Fee free and fast blockchains like Steem have much higher chance to become adopted as means of value transfer.
Steem is only a little over 1 year old and its being adopted very fast by people who would never get into crypto otherwise.
I see bright future for Steem!
Nice post.
But keep in mind that bitcoin and steem serve complletely different purposes and aren't competitors for each other.
Both Bitcoin and Steem can do basic money transfer and while Steem can do much more they are in fact direct competitors for people who consider how to send money or pay for products or services. Steem is new and does not have as wide acceptance by merchants and payment processors, but it will likely change with time. Don't forget Steem is only a little over 1 year old.
I just sent about $50 worth of bitcoin to exchange and it cost me about $5 for the transfer.
Steem charges no fees for the same action, I think many people will prefer to use it over expensive Bitcoin.
I really doubt that STEEM will someday get acceptance as a monetery system even though it do have such features.
It has a token of value which you can tranfer or sell, or hodl. But noone in PoS environment will accept a token which main purpose is managing posts and likes.
To say they are competitors is like saing that ExxonMobil and Google are competitors because they both have publicly traded shares.
"noone in PoS environment will accept a token which main purpose is managing posts and likes."
Why is that? Steem is currently used mostly for posts and likes, but it will likely be used for much more as more people adopt it.
Steem is better at money transfer and that is what matters for payment processors. Once enough people use Steem, which is likely as stemit.com grows payment processors like bitpay and others will integrate it making just another, but cheaper option to pay for anything.
Give it another year, likely less and Steem will be used to buy and sell products and services online and offline.
Good post, I agree with this.
Bitcoin does have its downsides and will not be able to keep scaling upwards in the same way the market will require in the future. This is why we see different coins gain traction and also get adopted on currency purchasing sites like.
We are currently at the beginning of a very interesting and exciting road which can recreate so many things in our every day lives.
Another upside I see to Steem is that content creators are not bound to corporate policies and many people who distrust current social media providers such, will eventually search for different platforms and Steem could very well be the platform they choose.
All in all I agree with you in that I see a big future for Steem.
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I enjoyed reading your post and I also believe Bitcoin will be Around for a long time . So continue writing and posting and ho so continue writing and posting & voting @mannyfig
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