Steem

What is the token?

Steem (STEEM) operates as a blockchain-powered social media network that incentivizes users for contributing valuable content, engaging in content curation through upvotes, and supporting the network by holding its tokens. Its structure is crafted to offer financial rewards to participants according to their contribution's worth within the network. The Steem blockchain creates new STEEM tokens on a daily basis, allocating these as compensation to both content creators and curators. Through this approach, Steem seeks to redistribute value to its users, ensuring they receive cryptocurrency rewards for their contributions, as opposed to traditional models where only the platform's investors profit from the content produced by users.

Tokenomics

• Steem (STEEM)

• : The base liquid currency token that can be traded on exchanges and transferred between users.

• Steem Power (SP)

• : A vesting token that gives users more influence in the network and is earned by committing to a thirteen-week vesting schedule.

• Steem Dollars (SBD)

• : A stablecoin that aims to be pegged to the USD, providing stability in transactions.

• Distribution:

• The distribution of new STEEM tokens is as follows:

• 10% to block producers (witnesses) for validating transactions.

• 15% to STEEM Power (SP) holders is proportional to their stake.

• 75% to content creators and curators on the Steemit platform.

• Total Supply

• : 457,246,859 STEEM.

• Max Supply

• : Infinite (∞).

Market Data

As of today #{today’s date}, the price of Steem is ₹18.34 INR or 0.2096 USD, with a 24-hour trading volume of 28240179.08 USD. The market capitalisation for Steem is 100245691.2USD. The circulating supply is 476771232.48 Steem, with the total supply also being 476771232.48 Steem.

Token Pros and Cons

Pros:

• Rewarding Content Creation

• : Steem rewards users for creating and curating content, incentivizing quality contributions.

• Decentralization

• : As a blockchain-based platform, Steem offers a decentralized approach to social media.

• Fast and Free Transactions

• : Steem transactions are fast and free, making it practical for social media applications.

• Community Building

• : Steem focuses on community growth and offers a platform for users to build networks.

• Economic Empowerment

• : Users have the potential to earn from their content, which is not possible on most traditional social media platforms.

Cons:

• Market Volatility

• : As with all cryptocurrencies, STEEM is subject to market volatility which can affect rewards value.

• Complexity for New Users

• : The concept of earning cryptocurrency for content can be complex for new users to understand.

• Potential for Abuse

• : Any reward system can be gamed, and Steem is no exception, which could lead to trust issues.

• Dependence on Network Growth

• : The value of rewards partly depends on the growth and adoption of the Steem network.

• Regulatory Uncertainty

• : Cryptocurrencies face regulatory challenges that could impact Steem’s operation.

Why Should You Invest in the coin?

• Innovative Social Media Model

• : Steem’s model of rewarding users for content is a fresh approach that could gain traction as users seek value for their contributions.

• Established User Base

• : With over a million users, Steem has a significant community that could drive further growth.

• Diverse Applications

• : The Steem blockchain supports various applications beyond Steemit, increasing its utility.

• Continuous Development

• : Steem continuously evolves with updates and new features that could enhance its value.

• Potential for Appreciation

• : As the network grows, the value of STEEM could be appreciated, offering a good investment opportunity.

USP of the coin

• Content Monetization

• : Steem uniquely allows for direct monetization of online content and community engagement.

• Three Distinct Tokens

• : The Steem ecosystem includes STEEM, Steem Power, and Steem Dollars, each serving different purposes and offering various benefits.

• Smart Media Tokens

• : Steam’s proposed Smart Media Tokens (SMTs) could revolutionize web applications by integrating cryptocurrency incentives.

Problem the coin is solving

Steem addresses the issue of content creators not being fairly compensated for their contributions on social media platforms. It provides a decentralized solution where users can earn cryptocurrency rewards for their content, thus democratizing the value distribution on social networks.

Founder and team background

The Steem blockchain was co-founded by Ned Scott and blockchain developer Dan Larimer. The team behind Steem consists of individuals with experience in programming, blockchain technology, and entrepreneurship.

ICO Price

• STEEM was launched in April 2016 at a price of 77 cents. The initial distribution of STEEM tokens was done through a process called “ninjamining,” where the founders covertly mined 80% of the coins.

• This initial allocation became a subject of controversy, especially after the network was acquired by Justin Sun in 2020, which led to a hard fork and the creation of Hive.

• The STEEM token is inflationary, with new STEEM being issued at a rate of 9.5% a year in 2016, which decreases by 0.01% after every 250,000 blocks, or approximately 0.5% a year, until it reaches a rate of 0.95%.

Risks Associated in Investing in the Coin

• Market Risk

• : The value of STEEM can fluctuate widely with the cryptocurrency market.

• Adoption Risk

• : The success of Steem depends on the continued growth and adoption of its platform.

• Regulatory Risk

• : Changes in cryptocurrency regulations could negatively impact Steem.

• Platform Risk

• : Any technical issues or security breaches could undermine user trust and the value of STEEM.

• Competition Risk

• : Steem faces competition from other blockchain-based social media platforms and traditional social networks.

Whitepaper Insights

The Steem Whitepaper outlines the foundational principles, technical mechanisms, and economic models underpinning the Steem blockchain. It is a decentralized platform designed to support social media applications and reward users for their contributions. The document is structured to provide a comprehensive understanding of Steem’s innovative approach to content monetization, community engagement, and decentralized governance.

Introduction to Steem

The whitepaper begins by addressing the central problem that Steem aims to solve: the lack of direct compensation for content creators and curators on traditional social media platforms. It introduces Steem as a blockchain-based solution that enables users to earn cryptocurrency rewards for their contributions, including posting, curating, and commenting on content.

Economic Model and Tokenomics

A significant portion of the whitepaper is dedicated to explaining Steem's economic model, which is designed to incentivize user participation and ensure the long-term sustainability of the platform. The document details the three types of tokens within the Steem ecosystem:

• STEEM

• : The primary cryptocurrency token that can be traded on exchanges and converted into other Steem tokens.

• Steem Power (SP)

• : A vested form of STEEM that grants users more influence over content curation and governance decisions. SP is locked for a period, stabilizing the platform’s economy.

• Steem Dollars (SBD)

• : A stablecoin pegged to the US dollar, designed to provide a stable means of exchange and reward system within the platform.

The whitepaper elaborates on the mechanisms for distributing rewards among content creators, curators, and stakeholders, emphasizing the importance of a balanced and fair system.

Technical Architecture

The technical section of the whitepaper describes the Steem blockchain’s architecture, including its consensus mechanism, transaction processing, and security features. It highlights Delegated Proof of Stake (DPoS) as a governance model that allows token holders to vote for “witnesses” responsible for validating transactions and securing the network.

Social and Community Features

Steem’s whitepaper also explores the social aspects of the platform, detailing how it fosters community building, engagement, and collaboration among users. It discusses features such as upvoting, commenting, and community moderation tools that encourage high-quality content creation and curation.

Future Developments

The document concludes with discussing future developments and potential applications of the Steem blockchain beyond social media, including decentralized applications (dApps) and smart contracts. It outlines the vision for expanding the Steem ecosystem and enhancing its capabilities to support a wide range of decentralized services.

In summary, the Steem Whitepaper presents a detailed overview of a blockchain platform designed to revolutionize social media by empowering users through cryptocurrency rewards. It combines technical innovation with a strong focus on community engagement and economic sustainability, aiming to create a more equitable and decentralized digital content landscape.