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RE: How should Steemit Inc decentralize their stake?

in #steem7 years ago

I agree, divesting the stake will have a direct effect on the tokens available on the market and therefore on the price. Even if most of it is powered up it will effectively dilute everyone else (depending on how it is allocated). The real issue is the existence of that massive stake. To be honest I would prefer that Steemit burn their stake even if it means a short term reduction in the rewards pool.

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In Steem terms, yes. However, I'd wager there'll be a massive pump shortly following a burn (that's just how the crypto markets work). It'll stabilize somewhere, no one knows where, but I'm fairly confident it'll more than offset the drop in reward pool in Steem terms.