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RE: Steem Experiment: @whatsup Burn Steem Post #1

in #steem7 years ago (edited)

'Burning money' in an algorithmically controlled money supply doesn't work the same way as burning money in general (where 'the Fed' will just print more). In a system like STEEM, buying and burning contributes directly to an increase in value to all stakeholders. It is quite similar to paying dividends.

When there are a surplus of most excellent contributions adding value to Steem then I'll be more than happy to see the rewards going there. But when the rewards are largely being redirected to bidbots and other vote-purchasing schemes, cookie cutter garbage pushed to Trending by purchased votes, etc. then I'd say paying 'dividends' to the entire population of stakeholders (which includes YOU, even if you don't run a bidbot or sell your vote) is better. Along with other benefits of @burnpost such as helping strengthen the SBD peg as well as fighting spam, of course.

I'll reiterate (as I've stated in some of my other comments and posts) that I don't mean to imply there aren't some, even many most excellent contributions being posted. However, I strongly believe that even with a good amount of burning, voters can decide to reward those contributions, though they may need to exercise a bit more selectivity and care in their voting to do so (which would be good).