You are viewing a single comment's thread from:

RE: STEEM Dilution Rate - MUCH higher than you might think…

in #steemit8 years ago

That's good to know. The information on $USD in the White Paper was very useful too. For anyone that missed it;

(Extract from page 36) https://steem.io/SteemWhitePaper.pdf

From August 2008 through January 2009 the U.S. money supply17 grew from $871B to $1,737B, a rate of over 100% per year and then continued to grow at about 20% per year for the next 6 years. All told the money supply in the U.S. has grown by 4.59x over less than 7 years. During that same time, the value of the dollar relative to goods and services has fallen less than 10% according to the government's price index18. This real-world example demonstrates that supply is only one component of price.

Sort:  

i have a very small account but I have watched a $62,000.00 dollar SP account go down to $44,000.00.

I was thinking it was mainly because of the seven (7) day price reduction and average . I thought it would level off after the seven days, because the price was holding in a range. Now, if I am understanding correctly, what your saying is that this will basically continue to drop based on the dilution over the next year.

Sorry, I am a hard learner and there may be a few others....... Lol

Based on the extract from the White Paper on USD, not necessarily (Dollar fell 10% on 459% Dillution). If demand outstrips Dillution, the price could in fact rise...

Lots of if's and but's ;)

Thanks ... Still attempting to understand the dilution. Thanks for your time and response. :)