What is Steem's attrition rate on new signups? Since no one is compiling this data accurately, we don't know if Steem is failing or not.

Also we run the danger with Steem of wasting the concept. We may only get one chance to get people to try something based on this concept, and if it a failure in the eyes of most of the users, then they may not try another which tries to improve the same concept.

This is why I am thinking we need to launch a competitor to Steem immediately. Cutting corners as necessary to get it launched pronto.

Steem has a problem apparently paying most blog posts nearly nothing (pennies) and overpaying $1000s (even $50,000) for some blog posts (becoming irrational herding mentality). The ability of users to find content related to their own interests is probably not good. You basically have to read all this same redundant crap about Steemit or about the travails of people such as their travels or how they were poor and Steem made them rich, etc.. Afaics, the development of social networking sub-communities within Steem is very poor thus far.

Imagine you actually discovered Steemit on Facebook and know nothing about Bitcoin (never even heard of it). Now what do you see at Steemit? You see some confusing shit you don't understand (STEEM, STEEM POWER, STEEM DOLLARS, transfers, power up, power down, Buy and Sell, etc), a blog post box that says to use Markdown (WTF is markdown!), and a site full of top-ranked crap you aren't interested in (unless you just want to emulate to earn money in which case the site is a monkey-see-monkey-do groupthink). Note I suspect most users are finding Steem as of now from other people who know about blockchain technology, so they have someone helping them to learn. But if you expect Steem to open new markets from hearing about, then that wouldn't be the case.

On the positive side, the outlandishness of Steem is likely generating publicity. And especially at this nascent stage, it is causing many people to change their perspective on blockchain technology. But we run the danger of burnout/flameout for the reasons I stated.

Also if investors are not motivated to buy in long-term, then the price will decline which may cause bloggers to start to power down, which would cause the price to spiral the toilet bowl because 67% of the market capitalization would come up for sale yearly (and again without investors coming in as buying demand).

A competitor launched which is more attractive to investors, could possibly suck the price of Steem down by displacing buying demand. (Or it might just generate more investment in the sector)