Quote from: iamnotback on July 16, 2016, 03:16:25 AM

With Ned's university degree in Economics and Psychology (and no relevant career experience), he has created a braindead design which doesn't even understand well economics and which attempts to trick users into thinking they will earn $100s per blog post, by using a quadratic weighting function. But the reality is most users earn $0 and apparently abandon the site.

To better summarize the economic mistake they've made on their plan (first link in the quote above), money is not a walled garden. Specifically money's raison d'être is that it improves on bartering[1] by being a universal unit-of-exchange. This is what you are supposed to learn in Economics 101. I don't know if Ned was asleep when that was taught or he just forgot his major degree. I took Economics 101 33 years ago and I still am aware of that fundamental concept.

And to better summarize the psychology mistake made (second link in the quote above), bribing and fooling people has a backlash effect that people will never give you a second chance. I wonder if Ned is lying about his major degree on LinkedIn Huh

[1] Exchanging a chicken for strawberries is difficult.

Quote from: bacchist on July 15, 2016, 04:08:47 AM

Quote from: iamnotback on July 15, 2016, 03:08:04 AM

My point is that on one wants to willingly convert STEEM to SP. That is the salient point.

I made the point earlier in the thread that most people were converting their STEEM to SP. That's verifiable fact.

You're making things up out of whole cloth in order to make baseless accusations about it being a pyramid scheme, and impugning the character of a person who has 100% of their stake in Steem in the form of SP. He is invested for the long haul, and that is verifiable. It's on the blockchain. You can see the balance of his wallet.

The fact that the richest accounts have the vast majority of their stake invested in the platform tells you all you need to know. They are in it for the long haul.

If you actually believe that Dan and his team are evil geniuses who have created a pyramid scheme and produced a $350 million market cap out of thin air based on some kind of elaborate deception, you should at least give them credit for having a plan to walk away with something to show for it. You can't simultaneously present them as masterminds and unwitting dupes.

The simple fact is that Ned and Dan have more of a reason to want Steem to be viable long term than literally anybody. If things go south, they wouldn't even be able to react fast enough to cut and run. They're forced to do everything in their power to ensure Steemit's long term success, due to the realities of the platform's incentive structure. And so is every single other person who owns SP. At the end of the day, that's why it will succeed.

But please... don't pretend that Dan is trying to pull one over on anybody. He's not offering anybody a value proposition he hasn't already accepted himself. And he has as much or more to lose than anybody involved. That's not speculation.. it's right there on the blockchain for all to see.

The smart speculators will hold only STEEM and cash out at the peak of the bubble.

The fools will convert STEEM tokens to Steem Power (SP) tokens and be unable to sell when it peaks and then declines. SP tokens requires 104 weeks (2 years) delay to cash out. Two years is a long time in Altcoin land. Most pumps reach their peak within a few months. Also there could come another bear market for CC in general, which might drag all CCs done. In particular, it looks like 2017 or 2018, the entire world will collapse into a sovereign debt liquidity contagion crisis that will be much worse than 2008/9. Remember gold and silver dive bombed during that prior contagion.

Tying yourself to Steemit for 2 years should require that you have some roadmap from Dan, yet the only roadmap the business moded I deduced from their white paper, which I explained seems to be flawed. They have no income generation model. And SP tokens are not shares in a corporation. There is no obligation for the Steemit corporation to share any income stream it might earn in the future with the SP investors.

I encourage all fools to invest in SP tokens. I also dare any of the Steemit supporters to document in this thread the quantity of SP tokens they converted from STEEM tokens. If they really believe in their long-term investment, why not demonstrate it by documenting to us that you have converted STEEM to SP and in what approximate quantity? I'd like to know who I can laugh at later when they are bagholding and can't cash out because they are locked inside the jail for 2 years.

smooth, why don't your double your investment in SP from $5 million to $10 million and show us that you really believe in the long-term plan? Btw, what is the long-term plan Huh

Who ever invested in a company for the long-term and there isn't even a prospectus. Roll Eyes

magicalacademy, please stop thinking the creation of 9 SP for every 1 STEEM created is debasement (inflation) or dilution of the SP holders. It is not. The white paper explains that everybody who holds SP ends up with the same proportion of SP that they had before. For every 1 STEEM created, 9 SP are created and distributed proportionally to all SP holders. The reason for doing that is so that the STEEM tokens do not end up being more 10% of the money supply. They want to keep the investors locked into the SP jail, forcing them to wait 2 years to cash out and to force investors to become curators (as if investors have time to be employed in menial labor Roll Eyes

). The reverse stock split every ~3 years is a separate matter and it does not change anyone's proportion of the money supply. Its only purpose is to manually fix a "bug" that Dan purposely coded into the block chain in that he didn't reserve enough bytes for token balances to handle the range of precision that Bitcoin can. Dan did this because he thinks that removing a couple of bytes for each transaction will reduce block chain bloat. It is actually a stupid priority, but almost everything Dan designs is stupid, so just get used to it. I realized back in 2013 when I would point out flaws in Dan's designs, that he was (still is) a special case of "smart".

Quote from: bones261 on July 15, 2016, 03:57:03 AM

Quote from: iamnotback on July 15, 2016, 03:40:58 AM

Who would convert STEEM to SP willingly? They'd have to be a fool.

It would be a fool who wants to be a bagholder in hopes of earning 100% passive interest. or whatever it works out to be with the 9:1 ratio.

Afaik, the only passive interest for holding SP tokens, is that 9 SP are created for each 1 STEEM created. You may be thinking of the SMD tokens.

To maximize your ROI when holding Steem Power (SP) tokens, you as an investor must do daily or even hourly curation of content.

I have a rambling story which is some what relevant to this thread in a roundabout way.

I was explaining to my gf why Asia will also have a mini economic collapse from 2018 to 2020, but that Asia will bottom and start rising again from 2020, while the West will collapse into the abyss. And I told her it is because all the youth are here in Asia and the youth are hardworking. I explained that the white youth are spoiled and think they know everything and are a privileged class.

I explained that when I was in high school, not only did I have perfect A (4.0) grades, I was also running 10 - 20 kilometers in the afternoon after school, then reporting to my job as a cook at a pizza restaurant from 6pm to 10pm. And then on Saturday night at 2am after partying, I would go compile the sections of 1500 newspapers (Sunday edition was about 50cm thick) to be ready for the delivery boys to pick up by 6am.

At age 13, I was mowing the huge lawns we have in the suburbs of New Orleans in the tropical swelting heat and humidity during summer (nearly same as here in Philippines) where the push mower would stall out if I did elevate it at an angle due to the very tall and thick "crab" grass. The bugs would be flying up my nose, etc.. I would earn $10 for a half-day of hard labor (note $10 was worth more then).

I think this is relevant to these young guys who come in here with no experience and disrespect those of us who have experience and who worked very hard.

(CoinHoarder, I've been sick for the past 4+ years with a Multiple Sclerosis symptoms chronic disease. That was the reason no code was produced. Please I would not lie about my health. I don't say that to make a drama. It was extremely frustrating and you will never understand this until you actually suffer a chronic disease. Fortunately I am fighting and have some improvement. It is not an issue that I lost my hardworking ethic. It was a physical reality that I was trying my best to overcome)