We really do need a reputation system. It will become a foundational part later-on when we can establish a more complete identity in Steemit. These capabilities will help those of us who want to earn a reputation for creating good content. I am ecstatic this has been implemented. Even in a basic form of it, is a serious step-up!
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I absolutely agree with you mrosenquist. Also, now there is incentive for profiles with a lower reputation to try and build up their reputation.