Its spelled out in the white paper, but it's there in the name.
1 steem backed dollar is 1 dollars worth of steem.
If steem is at 10c, then its 10 steem.
If steem is at $5 then its 0.2 steem.
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Its spelled out in the white paper, but it's there in the name.
1 steem backed dollar is 1 dollars worth of steem.
If steem is at 10c, then its 10 steem.
If steem is at $5 then its 0.2 steem.
So it isn't actually stated in the case the market price is higher
No. It just states the steemit price, which is where you sold it.
That's why if the SBD price is higher than 1$ the wallet's converter will give you a bad deal.
Well, I learned my lesson.
I have been here long enough to know the difference, and I made your same mistake...22 SBD for 13 STEEM, OUCH!!! I feel your pain brother.
@mattclarke wtf is the point of the 3.5 day waiting period if the conversion is going to sit around 1:1 regardless of the market price? I thought the time delay was to account for people trying to dump SBD 'on the spot' at the current rate?
That is a really nasty pitfall to avoid. I did get lucky in leaning the lesson while very young. This week Im just trading every wee bit of SBD I can earn...as opposed to two weeks ago where I was converting :(
I woke a few others up to it as well, being the big mouth I am
I believe it's there to stop day trading and panic runs.