But that means that every week 1% of the SP is liquid for selling. If no one is converting to SP, then eventually it will all become STEEM which is debased 100% per annum and the curation will be dominated by the few remaining with SP.
It also appears to be a constant selling pressure juxtaposed against any speculation demand for STEEM. Analogous to miners divest BTC.
I see your point that the amount of STEEM available is only 10% of marketcap right now. So that can be another factor for price moving up so much.
Dan planned out the math of this pyramid scheme well. It is a front loaded pump with a long-tail die off.
I'm not saying you don't know what you're talking about, but none of what you just said has any basis in reality.
9 SP are created for every 1 Steem created.Please do your homework before making outlandish claims about pyramid schemes.
Indeed on the bolded. Did you not read what I wrote:
Dan planned out the math of this pyramid scheme well. It is a front loaded pump with a long-tail die off.
You bolded the fact that disproves the premise of your post...
You don't understand my post. Just try to explain what you think was disproven, then I will explain your myopia.
SP is created alongside STEEM at a ratio of 9:1.
You said if nobody is converting to SP, it will all be STEEM.
90% is bigger than 10%.
90% of the money supply is created as SP. 10% is created as STEEM.
More SP is created than STEEM.
Get it?
SP tokens are locked steem tokens, why do you say that they are seperately created? The 9 extra SP comes from the 100% steem token inflation, there is only one token that is being created which is steem. They are distributed in SP form so they can't be spent asap but they are steem tokens.