RE: Steemit's Only Problem: Whales (And Others) Acting Like Banksters

[techwizardry]

"The problem with this practice is that, no matter how you dress it up, it is still banking 101."

I believe the difference between SP delegation and what central banks do is that the SP being leased out was earned in some way, so collection of interest on assets that you earned is very different from receiving interest on money that one conjures out of thin air, which is precisely what the banker overlords are doing right now.

Comments

[taskmaster4450]

I am not sure that is correct.

Not only did some accounts get early access to large amounts of steem, followed by some of the earliest accounts having access to mining which has added up to at least 10 Million Steem to a handful of accounts, but then arguably worse than all of that we had Stake Weighted Inflation set at a ridiculous percent. So, all that early access Steem grew at least 2X and possibly larger simply because we had an absurd inflation on the platform. Instead of it being dolled out in post rewards to active users it went to the people who ALREADY had the most Steem on the platform. Essentially the Steem holders grew their stake by a massive margin and it drove the price down to seven cents.

This is from an article written by @aggroed who seems to have his finger on the pulse of what is going on with this site.

https://steemit.com/steemit/@aggroed/steem-works-a-funding-mechanism-for-a-worker-proposal-system

Take that for what it is worth.

[robert-call]

I bought 90% of my STEEM @ $0.90 to $1.10 and my Bitcoin at $250. It's true that early miners benefited from the access to knowledge and the high inflation rate. Similar to how Satoshi did with Bitcoin, but the market will get over it just the same. The technology is just that useful and valuable. Several top coins have selfish or suspicious beginnings. DASH for example. With the launch of SMT's the early mega whales will have less impact on the average user experience going forward. Only if the SMT's are fairly distributed.

[taskmaster4450]

I agree with you @robert-call about the steemit system leveling things out. I do not agree with changing the curation system...it actually works well from what I can see. The % of holding of the top 1% decreased in the last year. This trend should continue as more people enter the mix.

Congrats on the BTC purchase and the STEEM too. I am in at between .85 and $1.35 for the most part. SMTs are a game changer....

I do not follow on the comment about fairly distributed...what do you mean?

[robert-call]

I think a hybrid ICO/Airdrop solution might be a start for any future SMT's.

I really like this idea from Furion several months ago.

https://steemit.com/token/@furion/giveaway-as-a-token-distribution-strategy

Airdrop a percentage of the SMT to STEEM Power holders and limit the max amount per account to 50k SP. This would hopefully limit the inequality in the distribution.

[taskmaster4450]

Thanks for that...very informative article.

It is a great idea.

What is the present system or plan for token distribution under SMT? Is there one?

[robert-call]

I would imagine every dapp will launch their own SMT to bootstrap development and create a unique smt-community. I could see several dozen legitimate SMT's in the first few months of the SMT HardFork.

In the SMT whitepaper under "Votability and Rewardability" You can asign several votable assets to a post/comment. So you could see every dapp have its native token supported along side STEEM and maybe a third party dapp token.

In the future a post might get rewarded with $10 of TUBE Tokens, $5 of STEEM and $25 of STEEMIT token... and this could be recreated with any of the dozen or so dapps being built at this time.

[taskmaster4450]

LOL holy crap....this could get absolutely enormous very quickly.

People will be getting paid from all kinds of places at the same time. And each token will have a value...with some appreciating more than others....although with Wall Street coming around, it will most likely push all upwards.

[robert-call]

Depends on the dapp developers. Steemit, dTube, dLive, dMania, and many others will be able to fully customize the distribution, inflation, and curation/rewards of each individual SMT. Hopefully they will launch Clean ICOs/Airdrops to silence the critics of the initial STEEM distribution. I'm looking forward to it.

[taskmaster4450]

I heard that DTube is going to issue a token...are the others going to also?

It would make sense if they do...I just didnt think about that.

[rodent]

Im still trying understand what I'm missing about SMTs. It feels like the only goal is to shrink the value of steem while creating and hosting competitors. I know I'm missing something, but I can't understand why everyone is excited.

[taskmaster4450]

LOL holy crap....this could get absolutely enormous very quickly.

People will be getting paid from all kinds of places at the same time. And each token will have a value...with some appreciating more than others....although with Wall Street coming around, it will most likely push all upwards.