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There three kind of currency in steemit. They are SBD, Steem, Steem Power. Steem is of them. We can see steem in two ways. One is Liquid steem and the other one is illiquid steem which is called steem power.

Liquid steem is that you can transfer steem instant to any one or you can power up with liquid steem at anytime.

Water.......

Think they meant STEEM, not steam.

according to the online bible of investing

Liquidity describes the degree to which an asset or security can be quickly bought or sold in the market without affecting the asset's price.

https://www.investopedia.com/terms/l/liquidity.asp

A liquid asset is an asset that can be converted into cash quickly, with minimal impact to the price received in the open market.

https://www.investopedia.com/terms/l/liquidasset.asp

in steem terminology its the steem you havent used to power up that's sitting in your wallet doing nothing, like the money in your pocket

that's liquid

you'll have to excuse me if i dont spend six hours on it today i got stuff to fix in my scripts :)

The liquid STEEM is the remaining STEEM that has not been converted to Steem Power.
When STEEM is liquid, it can be easily sold and purchased. When STEEM is locked in SP, it is not liquid, It takes quite a long time to turn it back into a liquid form.