I've heard a lot of people complain in the past that steemit doesn't pay you in "real money."
They call SBD and STEEM fake. They call them Monopoly money. The complain that they are just not real...
Oh how I wish (for their sakes) that they could have understood. However, many of them are gone now never to return. But since you are still here, I want to make something very clear to you.
MY DOLLAR IS WORTH MORE THAN YOURS
As steemians, if we are not getting paid in 100% Power Up or declining a payout, we are using the 50/50 option. This means that half of our payout is in Steem Power and the other half of our payout is in SBD. SBD is the "Steem Dollar" which is pegged to be worth about $1.00 USD.
However, a little while back SBD jumped up to being traded at around $6.00 USD, and it never fully recovered. Since that day, it seems to be hovering between about $1.50 and $2.00 USD. Just this morning when I woke up SBD was trading at $2.05. This means that our dollar, the SBD, is currently worth twice as much as the USD. What a great time to be a steemian!
If you head over to https://bittrex.com/Market/Index?MarketName=BTC-SBD you will be able to see the exchange rate and monitor it.
I wanted to mention this in part because a long-time user that I was talking to the other night did not even realize that SBD was another coin that could be traded on the market.
WHAT ABOUT STEEM?
Just a few months back STEEM was valued at about 10 cents on the market... Last summer it spiked up over $4.00 USD each!
Now, we are seeing that the current value is holding strong at over $1.00 USD for the moment. All of that STEEM that I made when it was worth 10 cents is now worth more than 10X as much! Personally, when I consider the potential of steemit, I think that we have not even come close to seeing what it is capable of, or how valuable STEEM may be.
You can track the value of STEEM at https://bittrex.com/Market/Index?MarketName=BTC-STEEM
Now is a great time for all of us to be building our brand and following, and picking up STEEM. My mind is still completely blown every time that I see my wallet.
SO, WHAT'S THE WARNING?
The warning is be educated and ask questions if you do not understand. Don't just run from something because you do not understand it. I did not understand any of this months ago. If we can understand reality and not believe the ignorant naysayers, then we will see the potential and potentially be blessed. If we choose not to understand, we will miss a huge opportunity.
NOT REAL MONEY?
Now if someone says, "It's not real money," I fully agree! It's not "real money" it is way better than that! Real USD are worth $1 and they decrease in value due to inflation all the time. Both STEEM and SBD are already worth more than that, and unlike the USD, they have the potential to grow and increase in value!!
Who's the "monopoly money" now?
EDIT - This post is written from the poor, default setting that the USD is "real money" and therefore is what we should compare other "monies" to.
As always, I'm @papa-pepper and here's the proof:
proof-of-monopoly-money
Until next time…
Don’t waste your time online, invest it with steemit.com
Ya know I have been blogging about this Papa, but you have a much wider reach.
If everyone finds out this could hurt my SBD export bidness ....
Ok, I'm done. You can take over.
Follow @majes everyone!
That's not what I was trying to achieve my friend. My humor never come over at well as yours...
I apologize...
I was tongue in cheek on that one. Don't worry.
following you, on the advice of @clevercreator !
Very cool! Glad to hear it!
Even before reading your post I had the exact same conclusion as yours. It's not real money it's better than that!
Of course you did!
Because you understand my friend! Also, I'll be gone for work over about the next four days but when I return I'll be getting your shirts made, so I'll need a shipping address next week or so!
you gotta understand most americans could not tell you the difference between money and currency, our education system no longer teaches anything about finance,currency, stock market, you know there isnt even a class that teaches our children how to start a checking account, how to balance an account, and the value of saving. so people having an issue with crypto currency just dont understand that if you can change one of anyghing for another of anything they both have value, we look at the world through dollar eyes not currency eyes.
Very, very valid point. I used to be there myself. Thanks for chiming in.
Money mechanics should be a mandatory course for high schoolers. I know basic economics is mandatory but there needs to be more in depth course work. Young adults use the system everyday but are clueless as to who the Federal Reserve is...
Congratulations @papa-pepper!
Your post was mentioned in my hit parade in the following categories:
There are only two things that make anything a "money":
So basically anything can be money.
Also liquidity, very important in my opinion.
This is what I would call a goal, certainly not a requirement. Some assets are very illiquid.
Indeed,you are very right anything can and has been money,but I believe most people mainly here in the US forget that fact. I am new here and even i see the worth of this site,once I learn how it all works. But I'm old you see and it may take some time.....lol
i am old also, and it did take me a minute or two to sort of erase what i was taught about , stability, accountability the federal reserve and the full faith and credit of the United States gov, that all sounds really good until you start to delve a little deeper into what all that means, the fragility of our financial system (which is based pretty much on the old parent line "because is said so" ) is a little unicornian to me.
Well I am one of the youngins that is more than happy to help!
Thank you, if I run into anything I don't understand I will as you.....:)
I think you left of the most important part. The "Agreement" that said "Currency" is a medium of exchange without that nothing else matters. If we all agreed Blue Rocks where the new currency then that's what we would be using.
This is one of the axioms regarding money in the first place, yes.
And when the medium of exchange is sanctioned to allow the payment in taxes, it has then become the standard. Gold has been authorized as a medium to be used in contracts and payment of taxes in the state of Utah, so why not a crypto currency?
I'm not saying it can't only that there is more to it than Scarcity, Utility. In fact Scarcit it not even required and the utility is actually the function of money. It allows you to carry paper instead of goods to trade with. Now we have digital currency which is even easier to carry. Unless we ever get hit with a massive EMP and the digital world is wiped out. Then we will go back to heavy physical good most likely and real estate to determine wealth.
At least blue rocks would be voluntary if we agreed to it. Using STEEM is a choice, the USD is mandatory in the US.
Can you imagine what chaos we'd have if we didn't have the USD is mandatory in the US. Evey-thing would be ten time harder and take much longer, our days would be filled with negotiating and bartering.
Now with Cryptos we will see some flexibility but we still need the Dollar for now until there is a Defacto or Mandatory Standard which looks like it might be Bitcoin.
I have nothing against the Dollar. It serves a purpose for now but we will evolve past it sooner or later.
It does certainly serve a purpose, I agree.
i like the monopoly shot!
That is hilarious and sad all at the same time, while being so true.
Indeed. Great point.
Totally agree with this. With cryptocurrency, it's especially important to look at the longer-term potential value, as we've seen with the price increases you mentioned. I was kicking myself for exchanging some Steem on bittrex shortly before the huge spike. But I'm still really stoked about where this platform is headed!
At least we can "mine" more by posting.
Love the post.. Way better then the real money like you say.
Way better!
Great post! Steem is much better than $'s. Reminds me of when the ATMs were first on college campuses. My son thought these machines were manna from heaven with no understanding of how that money got there!
Lol.
Exactly.. It's curiousity that eventually makes you a great man one day..
Nice!
It is easier for me to argue that paper fiat currency is not real! It may be real paper, but it has no real value (other than the confidence people feel for it). Confidence is unstable.
Yeah, I like tangible goods myself, but it serves its purpose for now. Most people have no concept that the USD isn't real.
Or it could be the confidence that the IRS can take our hard earn money
Ha. Pretty much. A currency backed by force.
i like what you reported and thank you for the info
Thanks again!
Virtual money is up to the time of withdrawal in real, and in real life they are even palpable))
STEEM really bought me farm animals and gas, do there's not much it can't do.
Wow. Sweet. Do you mean you traded someone STEEM for their animals and gas or you converted to BTC or USD and then bought those things?
STEEM --> BTC --> USD --> Farm animals
Gotcha. That's what I figured. Once there are enough people on steemit, I imagine you'll be able to make the straight trade, STEEM ---> Farm animals.
Good luck with the animals!
That would be nice! Soon enough!
Nice piece! Also, i think many people make the mistake that dollars are "real money". In a sense, it has been monopoly money ever since we let go of the gold standard. So to me, dollars are equally real as SBD.
Right, both are currently fiat.
I love the "proof" picture. Rock on!
I thought that I would take advantage of the situation. Thanks!
I would have disagreed with you a year ago. Nice post
Thanks!
Love your closing line - "Don’t waste your time online, invest it with steemit.com". I wasted so much time on Facebook, wish I had known Steemit earlier. Now all my spare time goes to Steemit.
Me too, this is where invest my spare time.
All of my post latley have been at the 100%. I am still not very understanding of the cryptocurrency and how it works. You are right it is worth more than the dollar right now. I figure over time and dedication i will be able to figure out all the ends and outs of it. For now I'm all in. You really have nothing to loose, but alot to gain. Thanks for all the info that you provide, and patience to teach.
Keep steeming my friend!
That is a great option, just power up for now and gain. As a long-term investment, that's the way to go anyway, because more Steem Power = more curation rewards.
Thanks, I did not know that
nice analysis ....... thank you :)
Thank you too!
Well, frankly spoken, yes it is monopoly money. But so is the US$, or any other currency without a intrinsic, material value. Its only worth something as long as people believe its worth something. Thats a fact that we should - despite all deserved enthusiasm - keep in mind.
Right. Both are fiat.
Hehe... it reminds me of what we say in Germany about what FIAT (the car brand) stands for: "Fehlerhaft In Allen Teilen" - translated that means: faulty in all parts. :)
USD are debt. It took me years to grasp that. We get paid in debt. WHAT!!!!
Yes, an IOU.
and we have to pay interest on that debt to the federal reserve, although we didnt individually incur the debt? how s that for a scam.
How stupid are we as a society to accept debt for money that we pay to receive. It is so hard for me to write a sentence that makes sense on the subject. We receive debt that we don't want and pay interest on that debt that we never agreed too, so we can buy things. SMH.
No kidding.
You make great points @papa-pepper, but most of the people I know do not even know what cryptocurrency is. I wanted to see how many of my friends would know. So I asked 15 of my friends over the past week.
One person out of the 15 people had heard of Bitcoin and he didn't know it was called a cryptocurrency. I hope it continues to make headlines and continues to grow across the board. That's when more people will adopt the idea of this new money.
I agree @peacekeeper, I was just trying to explain it to my wife , she keeps saying " it just doesn't seem real! " Thank you @papa-pepper for your all your posts very informational. I regret not being more active on steemit sooner!
That is the same thing that my biological brothers say.
What an handy post !! the beginner I am do thank you very much ^_^
Good. I wanted to make sure that people understood.
Great post!
Thanks Captain.
Actually, I would say that Steem, within this context of course, is more real money than both USD and Bitcoin. Let's think about this:
Depending on how you think about these questions, Steem could very well be the answer to all four of them.
Fully agreed.
All we need now is a Steemit debit card w/zero fees! It would turn all non-believers into believers!
Steem debit card would be awesome! =)
That is a dream of mine.
good post: informative and straightforward
Thank you. Glad you enjoyed it.
You continue to lead, teach and inspire...You deserve every success!! I am very thankful for your attention to all of us smallfry, it really does help tremendously!
I was once small fry, and I had a lot of help. Just trying to do the same. Thank you.
All fiat money is mostly virtual "monopoly bucks". Virtual credits created on the Federal Reserve Banking terminals.
Love continuing to read and learn from you. Thx!
Glad to hear it!
Off-topic, but is there a reason you took your screenshots with a camera pointed at your monitor instead of the typical way?
Actually, I have yet to learn how to do a screen shot. I have learned a lot, but not that. Camera is my typical way, as I currently know no other.
There is a button on your keyboard (probably top right) Print Screen. Then open Paint or some image program and hit paste! Hope that helps.
great post :)
Thank you very much!
you're welcome :)
Someone famously said. Steem is a shitcoin.
But of course. If you're makingmoney...
If they don't want any, I'll gladly accept theirs.
Money only has value if people accept it as valuable. Acceptance usually comes from the function it has to exchange it for other goods or services. It does not matter if it's good ol paper money, gold or in this case crypto.
How do we cash in our SBD or Steem power? I still haven't figured that part out yet. As of right now I'm just investing so don't plan on cashing out anytime soon but just would like to know. If you can help me out I would appreciate it. Thanks and followed!
You can cash in by withdrawing sbd or Steem to an exchange. Your Steem power, which is Steem held by a smart contract can't be withdrawn right away. It takes 13 weeks before you can withdraw it fully. Which is good so not all is removed at once when the price goes up. It also serves as a protection against hackers. Since you plan to stay, keep your funds locked up as Steem power.
I created an account on Bittrex and sold some for Bitcoin, which I transferred to my coinbase account and spend on my shift card just like I would a debit card.
Thanks for the heads up Papa, I recently switched from 100% power up to 50/50 based on your feedback, THANKS!
Yeah, I didn't want to mention your name in the post, but this was partially based on our conversation.
It all makes sense now, glad I switched to the mighty SBD!
Ребята,Вы хоть понимаете блокчейн,??????....Steem не на долго,как многие альткоины,сейчас просто момент благодаря биткоину,но биткоин выстоит,в отличии от остальных,...а вот Steem врядли,монополия погубит...в будущем,кому в России нужен Голос ( лицензия Steem )...за копейки..)))))))))...трата времени..))
I remembered the time when STEEM was 5-6 USD in value, though I still have not idea what STEEM exactly is. At that time I began mining it at Eobot, then it suddenly dropped to 0.10 cents and I gave up.
Great post, thanks so much.
What if the US had this option a long time ago, would they still be in debt?
Lol, only by choice.
Good Post, Thanks!
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Awesome post @papa-pepper ! Interesting analysis you have there. Follow you!
Thank you.
rs and upvote for you....
Right on @papa-pepper the only thing I would add is the USD isn't money at all but the current currency we use in this country. Fiat currencies don't have a long shelf life either and change.
Nice post, good explanation.
Thank you.
Your welcome
I agree with everything you're saying here, but be cognisant that there could be an ugly ending here. Just be cognisant of risks involved.
Yes, there coud be, but if all someone is investing is time, the risk is low. There are very few places that you can get paid like this for your time.
My goal in this post was to encourage newer users to understand the reality of what our crypto is currently worth, rather than giving up because they did not understand, like I've seen so many do. Thanks.