In general I think this could end up being a good thing.
One of the main problems of Steemit is the initial distribution of power. More power downs means less super powerful entities and, in the long run, better distribution of rewards.
The potential wide proliferation of SMT's makes it so that the current price of Steem is mostly irrelevant. That is the genius behind SMT's. Whatever people will be making with SMT's as far as their participation will be more than they made before: nothing. This means that Steem-backed tokens will be distributed far and wide.
And a tipping point of distribution nothing else will mater. If 100 million people have Steem, this will inherently create demand for mainstream acceptance and pave the way for a tide of new investors that will likely be clamoring to join at a far faster rate than those who leave.
If these people want to go - let them. They may well be making the rest of us first and second year early adopters filthy rich.
If someone has 10M steem and powers down to 5M steem, they are STILL a whale and got their cake and get to eat it too!
I doubt these whales will be GETTING OUT. They take the cream off the top and then go for the next round.
Fair point. There's a great chance a great many of these whales are adopting that strategy.
fully agreed the the initial distribution needs changing