Incredible post, can you elaborate on:
As more people join this ecosystem, the amount of STEEM in the reward pool gets diluted. That means it is harder to earn the same amount of STEEM. Why???
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Incredible post, can you elaborate on:
As more people join this ecosystem, the amount of STEEM in the reward pool gets diluted. That means it is harder to earn the same amount of STEEM. Why???
I hadn’t seen your question, but I think my comment just after yours in this thread answers it.
Are you staying demand will increase, but supply will remain the same??? Do you know anything about over time something will happen to the inflation of the value of Steem?
Supply won’t remain the same, just increase at a slower rate than demand for it. Steem’s inflation rate is currently just over 8.89% per year and falling. As currently designed, the inflation rate drops by 0.5% per year.
So is there a finite amount of steem or does it the blockchain keep making more. How does the inflation rate help or not help the price of steem?
You response are much appreciated because I really trying to understand the ins and out of things.
Currently, something like 65,000 Steem are created every day. Specifically, new Steem is created every 3 seconds as a block is added to the blockchain.
The inflation rate helps the price of Steem in that its growth rate is significantly lower than the rate of growth in the demand for Steem, currently because the number of accounts is growing at a much higher rate. If Smart Media tokens are successfully launched and prove to be popular, demand for Steem could increase dramatically.
Edited to add this: I just checked. Currently, every three seconds, 2.26 Steem are being created (65,088 per day).