Steemit is an autonomous user-owned platform, the hard cash comes from liquidity-providers, investors and traders on exchanges.
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Steemit is an autonomous user-owned platform, the hard cash comes from liquidity-providers, investors and traders on exchanges.
I like that it's eloquently and succinctly stated, but I don't know if I like that answer.
Yes, it is where the value of Steem comes from, but it's not where the Steem Dollars and Steem Power are coming from.
like all cryptocurrencies, its value is attached to its price on the market (haven't mastered out yet the vest concept... which is probably like gas in ethereum)
I get that it's where the market value comes from. But it doesn't answer how the value is transferred to the user. I think there needs to be something added to the answer: "That is where the value of Steem comes from. New Steem currency is always being created and some of the newly-created currency is then transferred to users who add value to steemit."
Steem gets value by grabbing attention of many people and selling that attention to those who buy it or earn it. (The answer above is pretty good too)
The answer needs to reduce to a lease on transaction bandwidth to be complete. Anyone who isn't a top poster or curator is effectively paying a membership fee to avoid individual vote/post fees. This can be hidden if there is growth or inflation, but when there isn't the platform will shrink/die unless there are people with recurring buys set up