The people making big bucks off of Steem don't want to fix the system. It's broken in their favor.
That is another lie. The developers, which are the biggest whales, are working hard to improve the ecosystem and platform.
Two changes in the past two days intended to help fix the ecosystem:
https://github.com/steemit/steem/issues/177https://github.com/steemit/steem/issues/178According to Github, there have been 21 releases and 599 commits since March. They are as dedicated as any other development team, probably much more so than a majority of other cryptocurrencies.
Furthermore, it is in their best interest to fix Steem and make it the best they can be because they can't dump (see below) and most of the value of their holdings is held in SP. If the value doesn't hold for 2 years, they are going to be much worse off than their paper balances look right now.
If whales are dumping, even if the fish are pumping, the price is not going to hold, and certainly won't appreciate 10x.
You do realize that whales can only dump in 104 weekly payments over the course of 2 years? Steem is pretty well protected from "whale dumps" as compared to any other cryptocurrency. In any other cryptocurrency the whales can dump whenever and however much they want to.
I find that for every brilliant insight Dan Larimer has, he balances it off with something awful/too complicated/possibly sleazy.
Like the liquidity algo has been solved for 100 years...
Just (a) pay every liquidity maker and (b) charge every liquidity taker. Or just do (a) on Steemit.
So there is industry standard practice, but Steemit does something extremely unorthodox. Why?
Well, for one thing the price of STEEM on the Steemit-Market is constantly suppressed...
Right now STEEM costs about $4.45 USD on Polo... but only $3.09 USD on Steemit-Market (30% discount).
But when a n00b uses the Deposit Function to "Buy STEEM" with BTC...
Steemit Inc is charging $4.69 right now... then can just buy it back for $3.09.
Steemit Inc could be making $100,000/day or whatever off n00bs because they have a monopoly on BTC for STEEM deposits...
But for this to work they need fake "liquidity provider" whales to keep the Steemit-Market price suppressed.
Personally, after about 300 trades I've sold STEEM on the Steemit-Market maybe 2-3 times (I'm always buying it there cheaper).
Call it a conspiracy theory, but I can't see any rational basis for the bizarre algos and market inefficiencies.