Dear @juanmolina
So let's make it clear, so I would be sure that I understood you well.
Everyday new tokens are being created and redistributed between those who were upvoted and need to be rewarded. Correct?
(do you know by any chance how much does end up redistributed between major bots vs rest of users?)
So on one hand we're having increasing amount of redistributed STEEM tokens (increasing supply) and on the other hand we have some demand.
So in order to maintain price of STEEM token - Steemit need to either constantly attract new demand for it's token. And at the same time encourage current token owners to HOLD and treat received rewards as an investment (to reduce selling pressure).
Is that correct so far?
That is, new tokens are still being created but they are not being distributed in the proper proportion.
What did you mean?
Keep in mind that all rewards issued in Steemit are in the form of SP and SBD but not in STEEM
Ehm. That's a good point. SP and STEEM is not the same thing ... I never thought about it. So I wonder what acutally does happen when we power up and STEEM is being turned into STEEM POWER. Isn't still STEEM token, but "locked"?
Seriously great and very informative read. thank you
Piotr
Hi dear @crypto.piotr, thanks for comment.
In fact, it is the token.
I do not think that "blocked" is the right term. When you have STEEM in your Stake, you are agreeing to participate in an investment plan of at least 13 weeks (this is the time it would take to recover all your investment if you decide to do POWER DOWN). This method allows you to increase your participation gains. Show your commitment and confidence in the platform.
75% of the daily created tokens go to the "Rewards Group". Now, according to the Bluepaper these are distributed among content creators and curators
Content creators receive their reward for the votes received. At the same time the curators receive a percentage of the payment that total of the publications that they themselves voted.
But I wonder: is the whole of that 75% always distributed in this way?
I think not. That is where I come to think that more tokens are being created than would be distributed daily.
For this reason I think about inflation, and this leads me to think about Devaluation.
Thank you for always being so responsive @juanmolina :)
Hi @juanmolina @crypto.piotr
I found this old post about how inflation works. This process has additional complexities like SBD conversion and printing rate :(
In short, the blue papers refers to "virtual inflation" but there are other factors that creates "real inflation". for example, the inflation could be higher than the % indicated in the blue paper.