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RE: STEEM: Would it be worth considering in the future ditching the SBD and purely rewarding Blogs/Comments in STEEM ONLY?

in #steemit8 years ago

SDB was supposed to be the stable value component of the STEEM cryptocurrencies. This way the SDB could be used by retailers who want a stable crypto somewhat pegged to $1 USD.

A change was instituted when the price of SDB was too low that, as you said, payouts were only in SP.

There should be a change where rewards go fully to SDB only. This would increase the supply of SDB and drive selling of SDB into the market which should decrease the price of SDB.

Another problem with SDB is that interest is paid on SDB. Just like the USD, SDB represents debt. The interest on SDB should go to zero when the price of SDB goes too high. This would also drive selling of SDB into the market as the reason to hold large amounts of SDB would be eliminated (no interest payments).

Having a stable crypto for retail is desirable in a period of high volatility in cryptocurrencies.

If the long term plan of a stable SDB is no longer in the cards, then SDB should be dropped from the STEEM cryptocurrency universe.

Just my opinion,
Steem on,
Mike

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Well you nailed the economics.
Either the witnesses need to push for some changes to SBD or if there is no long term commitment - kill it off now.

Cheers Mike. I always value your opinion. For me depegging STEEM and allowing it to free float I think would be a MASSIVE PLUS for STEEM as it will hold up on its own. Stephen