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HF 21 - Some Thoughts on the Changes to Come by paulag

View this thread on: hive.blogpeakd.comecency.com
· @paulag ·
$10.03
HF 21 - Some Thoughts on the Changes to Come
<html>
<p>HF21 is on the way, almost a year after HF20. &nbsp;I’m really glad now I am no longer a witness. &nbsp;I remember the stress HF20 cause me last year. &nbsp;No longer being a witness means this year I can look at things with a different hat on and so much less stress. &nbsp;I do hope the witnesses don't end up working day and night to quickly fix bugs and roll out a load of new released within the weeks that follow. &nbsp;&nbsp;I hope it goes smooth and the testing has been done!</p>
<p><img src="https://cdn.shopify.com/s/files/1/0250/5686/products/IMG_0913_1024x1024.JPG?v=1472522190" width="1024" height="768"/></p>
<p>The changes coming are rather big. &nbsp;First, the rewards pool will no longer be split 3 ways, &nbsp;but 4. &nbsp;Added to the mix will be a proposal fund and anyone can submit a proposal to access some of that fund. That means there is less available to content creators and curators.</p>
<p>Next, is the split between authors and curators. &nbsp;This will change from 75/50 to 50/50, on a reduced rewards pool.</p>
<p>Then we have a change in the payments to authors away from a linear curve.</p>
<p>Finally, we will also have some free downvotes.</p>
<p>I ran some math when this was all announced. &nbsp;I took a weeks’ worth of posts, reduced the pool by 10% and then recalculated the rewards based on the new curve and the new 50/50 split. &nbsp;As an author I wanted to see where I stand. &nbsp;Frist, I thought I must have done something very wrong in the workings. &nbsp;But now looking back, I’m not so sure I made that big of a mistake.</p>
<p>What I would say is that with the new downvotes, it’s too hard to know what will really happen. &nbsp;Taking a week worth of posts and revaluing them without factoring in some sort of downvotes that was not there before is not the right approach. &nbsp;But knowing how people are going to use these is way beyond the capabilities of my crystal ball.</p>
<p>However, when the HF is rolled out, from what I understand and please do correct me if I am wrong, posts for the previous 7 days will be revalued and paid out under the new system. &nbsp;That’s a week of no flags and I think my workings truly reflect that week. &nbsp;Hold on to your hats, its going to be an interesting time. &nbsp;People that have not done their research are in for a big surprise.</p>
<p>I still don’t want to share my workings and I am still hoping I am wrong. If the testing has been done, then I am for sure not the only one to have revalued the posts and tested the impact. &nbsp;But as I am not a witness I don't feel responsible and don't feel like I have to share. &nbsp;However it looks to me like <em><strong>if we don’t all change our voting and flagging behaviour, like big big time, the rich are about to get richer and the higher SP holders stand to gain</strong></em>. &nbsp;I think we will see a massive clear out of steem users. &nbsp;Users that were previously able to earn up to a dollar per post. The same users, holding low SP won’t see much benefit from increased curation rewards either because their votes is worth nothing anyway.</p>
<p>I was hoping some measures would reduce the downwards pressure on the selling of steem. 50% curation rewards mean more SP gets powered up and has to go thought the 13-week power down. &nbsp;However, my fear is that the proposal pool will exert downwards pressure and we won’t see the benefit of additional steem power being locked into the system. &nbsp;</p>
<p>Steemit inc funds by selling steem</p>
<p>Mostly likely the proposal pool will fund by selling steem</p>
<p>Misterdelegation (although being revised) funds by projects delegatees powering down and selling steem</p>
<p>Authors and curators are expected to power up for reduced rewards to fund?????</p>
<p>It will be the new year before the dust settles on this one!</p>
<p>I think on that note, I will end the post.</p>
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vote details (334)
@abitcoinskeptic ·
$0.05
I guess most users are going to see a drop in steem rewards of 30 to 60 % from the simulations I've done and that cannot account for downvotes. However because of tribes and tokens, this can be offset provided some of the bigger ones continue to thrive.

I agree things won't get good until after the new years and thats if SMTs are delivered on svhedule. These could increase confodemce in tribes even more.

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👍  ,
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vote details (2)
@paulag ·
I have heard many people say tribes is the answer

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@shadowspub ·
tribes had better be the answer and those tokens need to start acquiring some value which is going to be hard to do with a downward pressure on Steem. Your results are pretty much what @dreemsteem figured some time ago. 


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@allseeingewe ·
$0.10
This sounds.... well, not good. It sounds not at all good.
https://media.giphy.com/media/Hqtw4vzrni8cU/giphy.gif
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vote details (6)
@dreemsteem ·
EXACTLY right.
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@paulag ·
How much have you looked into it @allseeingewe, my advice is to do some research because there are a lot of changes

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@allseeingewe ·
I have looked roughly 0% into it, give or take. Maybe I should try to do a little better than that, yeah. 
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@carlgnash · (edited)
I have looked into it a LOT.  And it has been giving me anxiety.  I have a mostly finished analysis post that I just don't want to finish and post, as if maybe that will make it not true.  I think unfortunately the answer is, there is no possible way the flag pool can even come close to making up the gap.  Your quick analysis is correct - the rich / big SP holders / bid bot users will grow richer.  The non whale / non bid bot users will lose out, big time.  There just simply isn't enough SP held by users who might downvote bid-bot posts and downvote whale self-upvoted posts to make up the difference even if a really high % of the free flags are used for that purpose.  And I think it is a vanishingly slim possibility that a high % of the free flags will be used for that purpose.  Most people don't like to flag, because flagging leads to retaliation and flag wars.  For the stated purpose of the HF being to encourage manual curation and discourage self voting and vote buying, I honestly think these changes are actually perverse incentives that actually will encourage even more users to buy votes to push their posts up the curve, and will concentrate even more SP in the largest bid bots and whales.
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@ammonite ·
Things have become stagnant so I am all for change, any change to buck this place up. There is always Hf22 if things go pear shaped

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@apostle-thomas ·
$0.04
Thanks for the heads up @paulag.  I had my suspicions all along.  

What can be accomplished in the long-term after HF21?  

When you run the numbers to factor in human behavior and the disgruntled off-chain chatter in the social media platform blogging space, HF21 is a self-inflicted fatal error! 

I suspect there is another agenda that doesn't serve all the users of the STEEM blockchain... I that's the case, too bad!

The prospects of lower Steem rewards that are harder than ever to earn is the worst combination in this space right now.  I am glad I made the moves that I did when I did because I smelt a real funky fish fry about to take place.  @exyle has made a number of posts about the HF21.  Now, you have all but, confirmed my best guesstimates of what is going to happen.

Thanks for everything @paulag, continue to be the best at what you do ~ Steem On!
👍  ,
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vote details (2)
@paulag ·
most have an idea of how this is going to play out, we also have to wait and see if the witnesses will accept or reject the changes :-)
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@apostle-thomas ·
Good point... Sounds like that's not going to left up to your wise sayings!  We will see.
👍  
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vote details (1)
@apostle-thomas ·
Somebody got spooked by the number of words in this blog posting ~ 666 words!  Is this an omen @paulag?
👍  
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vote details (1)
@arcange ·
Congratulations @paulag!
Your post was mentioned in the [Steem Hit Parade](/hit-parade/@arcange/daily-hit-parade-20190805) in the following category:

* Comments - Ranked 1 with 80 comments
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@bashadow ·
$0.07
During HF20, I could see the promise of free account creation for what it was, an empty promise. I got my second standby account for the 3 steem prior to HF20, and that 3 steem went to the account. I urged all my friends that if they thought they might want/need a second account in the future they should get their account prior to the HF. 

On this HF, (HF21), I do not see what I can do or should do to prepare for it. With the advent of all the new tribes I really wish I would have purchased/made even more accounts before HF20. 

So any one with ideas on what I should do to prepare for or change habit wise before HF21 they would certainly be appreciated.
👍  ,
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vote details (2)
@dreemsteem ·
Sadly - here is the only thing you can change.

1. invest and become a large stakeholder.
2.  upvote anything you want, because you are now making 50% curation rewards.  There is actually NO motivation for you to curate quality content.  It's actually in your benefit to curate poor quality content that no one else is voting on - then you get ALL the curation rewards and not have to share it with anyone!

See how this hard fork doesn't actually motivate large accounts to curate quality content??? They actually get MORE for curating something that no one else curates.  (which would be POOR content.)

@shadowspub
@paulag
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@bashadow ·
I can see some of that taking place, it is that way already in some cases. Some more people may choose to also take up that attitude. The ones here only for the money, do not really care as long as they make a higher ROI. They will keep steem block chain on the fringes of alt coins with that attitude in my opinion.

There is some change and progress being made toward a more social environment, but those changes are not in the interest of the ROI seekers, so they will be stomped on. I see no way forward for steem block chain with the mentality of the current so called investors.
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@carlgnash ·
except for the actuality is, 1. invest and become a large stakeholder.  2. self upvote, because that is *still going to be TWICE as profitable as curating under HF21*
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@shadowspub ·
sit down in a comfortable chair 
bend over 
kiss butt 
hold on tight
properties (22)
authorshadowspub
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@bil.prag ·
$0.04
> However it looks to me like if we don’t all change our voting and flagging behaviour, like big big time, the rich are about to get richer and the higher SP holders stand to gain.  I think we will see a massive clear out of steem users.  Users that were previously able to earn up to a dollar per post. The same users, holding low SP won’t see much benefit from increased curation rewards either because their votes is worth nothing anyway.

this is something i was talking from the first time they mentioned it. One thing that could maybe push it a bit to the better side is heavy downvoting of big stakes that are selfupvoting shitposts and bitbots. 
now we can just wait and see.
👍  
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vote details (1)
@paulag ·
Yep, wait and see what cards we are handed

Posted using [Partiko Android](https://partiko.app/referral/paulag)
properties (22)
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@bluefinstudios ·
$0.07
i screamed loudly when the HF20 was proposed about how it would affect little accounts. AND ultimately, Steemit.

HF21 is going to be another hard hit

At some point, investors will avoid Steem because too many users lost, and not enough new members. At some point the reputation of Steem will scare investors away
👍  , ,
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vote details (3)
@apostle-thomas ·
Great points of comprehensive analysis.  I see the very same rationale playing out in the minds of investors, especially new investors with new money.  Why waste the money on STEEM when they have Publish0x, Honest.Cash, etc. growing in leaps and bounds with Steemians defecting from a broken HF21?

The tribes are the only real bright spot, but the jury is still out... Long-term will tell the story!
👍  
properties (23)
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vote details (1)
@hf20 ·
> At some point, investors will avoid Steem

You don't think that point is in the rearview mirror? How's the coinmarketcap ranking again?
properties (22)
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@apostle-thomas ·
My thought exactly... All the factors being considered will have them look elsewhere to invest.  The tribes are the only thing to really look at, but it's still early...  Steem-engine and the tribes are the future of the STEEM blockchain!
👍  
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vote details (1)
@bluefinstudios ·
oh, it is FAR in the rear view mirror.
I believe there is a huge problem attracting investors to the platform.
I dont have a good answer for how to... not yet, anyway.
👍  
properties (23)
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vote details (1)
@bluerobo ·
$0.04
It's a change in favour of the big guys. That's for sure.

Posted using [Partiko Android](https://partiko.app/referral/bluerobo)
👍  , , ,
👎  ,
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vote details (6)
@paulag ·
That really depends on how the new flags are used

Posted using [Partiko Android](https://partiko.app/referral/paulag)
properties (22)
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@bluerobo ·
$0.06
Irresponsibly

Posted using [Partiko Android](https://partiko.app/referral/bluerobo)
👍  , ,
👎  ,
properties (23)
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vote details (5)
@whatsup ·
Unless they are also doing a personality transplant...  :)  We know how that goes.
properties (22)
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@cicisaja ·
$0.03
Where the hell steemit road map direct to😯 is this going to be another Lion's club?
👍  
properties (23)
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vote details (1)
@paulag ·
It may very well be @cicisaja 🙄

Posted using [Partiko Android](https://partiko.app/referral/paulag)
properties (22)
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@creativetruth ·
Look at it from _their_ point of view. After this hard fork, the strong and powerful will accumulate more power to ensure future hard forks work for their benefit first.

Okay, now you can slap me.
properties (22)
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@dreemsteem ·
$0.03
It's been that way for a while. 

No slaps needed 😉

HF20 paved the way for HF21
 AND... Funny how they reached consensus faster than any other hard fork 

Wait. Wait just a second!!!!

Do you mean that they voted for a hard fork where they themselves benefitted financially???

Noooooooo! What! Stop it! I .... I ... I refuse to believe it!

😒
👍  
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vote details (1)
@creativetruth ·
Yes, frowny face indeed.
properties (22)
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@julescape ·
Good bye steemit, the host killed by the parasitic board.
properties (22)
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@crypto.piotr ·
$0.06
Dear @paulag

Thank you for sharing your view on that particular issue with us. HF21 is surely bringing even more emotions that HF20 did. At least that's my impression so far.

> Next, is the split between authors and curators.  This will change from 75/50 to 50/50, on a reduced rewards pool.

I'm wondering what do you think about this split? I've been monitoring PAL and LEO tokens (since both introduced 50/50 already) and selling pressure seem to be very high. Which really worries me.

> Then we have a change in the payments to authors away from a linear curve.

This seem to be the most important change for those who like to upvote valuable comments. Correct me if I'm wrong but right now it will be way more "expensive" to give someone small 0.03$ upvote than it has been in the past, right?

I'm really worried that culture of upvoting comments will die down.

Just like you said: it will be an interesting time. It's hard not to agree with your words: "I think we will see a massive clear out of steem users.". I'm really worried about this HF21 and its future consequences.

Yours
Piotr
👍  , ,
properties (23)
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vote details (3)
@paulag ·
$0.03
you can see from the comments, people are concerned and passionate about this.
Selling pressure is massive - hence the loss of value all of the time.  There are a few ways to look at this.  the new changes are more favorable to investors that power up. investors is good.  however, it is at the risk of the existing small steem user, which is most of the current steem population.

Voting on comments concerns me a lot.  My entire business model from my brand and steem rely on me voting for comments.  When I started steem was worth more and my vote was worth more.  Under the new system there is a good chance, my vote on comments wont be enough for a payout, not if i am the only one voting on them.  I echo your concern on upvoting comments.
👍  ,
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vote details (2)
@crypto.piotr ·
Thank you for your kind comment.

Indeed, people are passionate about HF21 @paulag

I expected that in a short and middle-term price of STEEM will drop even futher. Those who are unhappy with changes are probably selling whatever they can. At the same time those who have hopes and are powering up do not have enough funds to slow down selling pressure. 

Plus it's going to take some time to get more investors and curators on board. Replacing those who we're losing now will take some time.

I would expect that STEEM will really hit the all time low very soon. Great time for those who are here for long.

> Voting on comments concerns me a lot. My entire business model from my brand and steem rely on me voting for comments. 

Would you mind telling me more about your business model? I found it very interesting. 

Yours
Piotr
properties (22)
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@davedickeyyall ·
$0.03
I can't upvote due to low VP.. !tip instead... 

I'm already looking forward to HF22..
👍  
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vote details (1)
@paulag ·
Thanks for the tip 😉

Posted using [Partiko Android](https://partiko.app/referral/paulag)
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@erikah ·
$0.03
>However, when the HF is rolled out, from what I understand and please do correct me if I am wrong, posts for the previous 7 days will be revalued and paid out under the new system.

😲
👍  
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vote details (1)
@gadrian ·
Seems most likely what will happen, because by the time they reach payout, HF21 will be in effect, with the economic changes. Any predictions of pending payout prior to that will be wrong, because they assume HF20 rules will continue to work for the payout.
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@erikah ·
It makes sense.
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@paulag ·
One to keep an eye out for 😉

Posted using [Partiko Android](https://partiko.app/referral/paulag)
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@erikah ·
Exactly! This is very important and I hope someone is going to clarify it!
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@ew-and-patterns ·
$0.80
I also think the big SP holders will profit from this a lot. But I am not sure if this is going to be a bad thing in the long run.

If the big money guys get the hint that they are highly favored when investing big, I think we might be in for a surprise.

If we are able to get new money from big investors, let's say 40million steem powered up by them over the next 2 years... this would easily stop the downward pressure. Maybe then the time for mass adoption will come.

Don't forget that 10million USD will give you 15-20 million STEEM at this point in time if you buy it smart over several exchanges and months. 
The next guy investing 10 million USD will probably not get half of what the first one got. And 10 million is not a terribly big amount for some of the hedge fund guys and big investors...

Time will tell.
👍  , , ,
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vote details (4)
@flaxz ·
Thanks for a great post @paulag, and I have also read some of the comments, and what strikes me is that this discussion is very focused on Steem specifically, of course HF21 is a Steem specific change, but also some comments are only seeing the tribes as an offset to compensate for lower earnings in Steem.

Allow me to elaborate but I don't think that is the whole picture, now tribes are of course very early in their development and it will take some time to see which ones will be a success, but give it a bit more time and the tribes will be where most new and small Steemians will have the majority of their earnings and rewards.

And in my opinion this development will be accelerated with HF21, since new and small Steemians are not getting much reward in Steem, they will only power up to the point where they don't have to worry about RC, and just leave it at that, Steem will then just be the token that takes care of running the blockchain and as the trading pair in Steem-engine.

This of course also means that having a big stake in Steem is less relevant, because that does not automatically mean that you also have a big stake in the tribes, and the small Steem stakeholders will mainly just care about stake in the tribes, which they are also more likely to earn really big in to the point that they can become way bigger in the tribes than the whales in Steem are, thereby the stake that those Steem whales have is not relevant to their earnings in the tribes, even with free downvotes since those downvotes might not have more than a marginal effect on their earnings from the tribes.

And as to myself, I am a minnow in Steem, and I have been playing around a bit with some tribes, but last week CTPtalk launched, and this is a tribe which I really beleive in and am very interested in, to the point I have bought quite a bit of their tokens by selling Steem, and I plan on continue that route, I am already a minnow there and in less than two weeks from now I plan on being a dolphin in that tribe.

My stake in Steem will of course also continue to grow from the rewards in Steempower, but I have no plans of powering up any Steem going forward, and I will not participate in any SPUD, I will invest most of my liquid earnings in the tribes, since that is where I see myself having a big chance to earn from the very start of them.

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@gadrian ·
$0.03
> if we don’t all change our voting and flagging behaviour, like big big time, the rich are about to get richer and the higher SP holders stand to gain

"if we don’t all change our voting and flagging behaviour" -- will this help to reverse the rule "the rich are about to get richer"? :)
👍  
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vote details (1)
@dreemsteem ·
$0.03
nope.  they will still get richer.  and really?  who minds the rich getting richer???  really?  not me!!!

the problem is the rich get richer as they are TOPPLING the balance and sliding the scale COMPLETELY in their favor - making it hard for the POOR to get richer too!

THAT'S the problem.  if everyone wins - it's a good thing!!!   but this system is SET UP to favor ONE class.  the rich.  (and the rest of Steem can work harder for less - and be thankful for the opportunity)

reminds me when Oliver Twist holds up his bowl for a second helping of gruel  LOL   "Please sir, May I have some more!"

sad sad sad
👍  , ,
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vote details (3)
@gadrian · (edited)
Well, I warned this will happen ever since I found out about EIP. But I got tired, and the changes will happen. Why do you think Steemit chose to make public an internal date for SMT MVP which is only a few weeks after HF21? They know HF21 will not be well received, once effects will be seen by everyone. They need to counter that with the good news of SMT coming almost immediately after these changes.
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@jaynie ·
yeah  - very mixed thoughts moving forward... it sure is going to be an interesting ride.
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@johnhtims ·
> the rich are about to get richer and the higher SP holders stand to gain.  I think we will see a massive clear out of steem users.  Users that were previously able to earn up to a dollar per post. The same users, holding low SP won’t see much benefit from increased curation rewards either because their votes is worth nothing anyway.

THIS.  Convergent linear is going to hurt the redfish, minnows, and maybe even dolphins BIG TIME.  A lot of them don't realize it yet though.
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@julescape · (edited)
Thanks @paulagI appreciate your candor. Now as a new account, this is devastating news HF21. Here is my opinion to the originators of the HF21:

Steemit will die. Good bye steemit, fail!!!
What a joke. Who runs this farce of a platform? You are killing yourself you parasite of a steemit board who introduces HF21. Kleptocratic crony capitalism just like the rest of the world in the criminal fiat system. You guys suck...the life out of your own platform. Only fools and horses and you Steemit board members.
👍  
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vote details (1)
@maxwellmarcusart ·
My hands are wide open to receive any change. I am prepared for. But one thing is for sure - the rich will get richer.

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@minismallholding ·
Do you know what amount of SP upvote it will take to tip the scale to get past that first part of the curve? The only example I've seen had it at 100,000 SP, which would knock most authors out of the running. I wonder how it will affect initiatives like SBI.

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@olivia08 ·
I hope every thing will be gonna right. I love steemit and now it makes me feel something bad.

Posted using [Partiko Android](https://partiko.app/referral/olivia08)
👍  
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vote details (1)
@partiko ·
Thank you so much for participating in the Partiko Delegation Plan Round 1! We really appreciate your support! As part of the delegation benefits, we just gave you a 3.00% upvote! Together, let’s change the world!
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@shanibeer ·
What changes in our voting and flagging behaviour do you think will be helpful?

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@paulag ·
People will need to use their flags to redistribute the rewards from the large post payouts to the smaller posts

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@alucian ·
Realy? This is behind, the free Downvotes?
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@hf20 ·
$0.04
Average users will magically be emboldened to risk retaliation and downvote the whales with the largest payouts?
👍  , , ,
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vote details (4)
@skramatters · (edited)
The upside of 20 cent steem is both big and small will feel forced to stick it out and work together to raise the price through burns or something who knows.. ...i know even I'm not willing to part with my lil steem until something gives, if it's 10 cents it's not really any different than now. Both dime and quarter steem are basically worthless to everyone here and below 10 you're looking at imminent death.. So it's time to shit or get off the pot is all I'm saying.. Forks aren't going to do jack for our not even top 80 chain..
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@ddrfr33k ·
On the other hand, one could surmise that it's a great time to buy steem for as cheap as it is.   The only hard part is finding an exchange to purchase it on.  That's been the one reason why I haven't purchased any.  The exchanges that allow people to purchase for fiat don't serve Americans or require $500 or more to make a purchase.  I would drop $10-$50 at a time if I could!
properties (22)
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@skramatters ·
Yea it worked well for the few that bought in at 7 cents, they’re still doing alright... I’m just really trying to brain what would cause steem price to rise and stay around at least a dollar ? 

Posted using [Partiko iOS](https://partiko.app/referral/skramatters)
👍  
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vote details (1)
@steem-ua ·
#### Hi @paulag!

Your post was upvoted by @steem-ua, new Steem dApp, using UserAuthority for algorithmic post curation!
Your **UA** account score is currently 6.816 which ranks you at **#115** across all Steem accounts.
Your rank has improved 1 places in the last three days (old rank 116).

In our last Algorithmic Curation Round, consisting of 189 contributions, your post is ranked at **#19**.
##### Evaluation of your UA score:

* You've built up a nice network.
* The readers appreciate your great work!
* Try to work on user engagement: the more people that interact with you via the comments, the higher your UA score!


**Feel free to join our [@steem-ua Discord server](https://discord.gg/KpBNYGz)**
properties (22)
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@tipu ·
&#127873; Hi @paulag! You have received 0.1 STEEM tip from @davedickeyyall!<br><p><strong>@davedickeyyall wrote lately about: <a href=https://www.steemit.com/@davedickeyyall/wake-and-bake-on-themorningbowl rel="noopener"> Wake And Bake On #Themorningbowl </a></strong> Feel free to follow @davedickeyyall if you like it :)</p><p><a href="https://steemit.com/steemit/@tipu/tipu-tips-guide" rel="noopener">Sending tips with @tipU - how to guide :)</a></p>
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@toofasteddie ·
$0.04
If at least they would start putting some efforts on the marketing side...
👍  
properties (23)
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vote details (1)
@haikubot ·
<em>If at least they would 
Start putting some efforts on 
The marketing side... 
</em>
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<sup>- toofasteddie</sup>

---
<sup><sup><em>I'm a bot. I detect haiku.</em></sup></sup>
properties (22)
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@tts ·
To listen to the audio version of this article click on the play image.
[![](https://s18.postimg.org/51o0kpijd/play200x46.png)](http://ec2-52-72-169-104.compute-1.amazonaws.com/paulag__hf-21-some-thoughts-on-the-changes-to-come.mp3)
Brought to you by [@tts](https://steemit.com/tts/@tts/introduction). If you find it useful please consider upvoting this reply.
👎  
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vote details (1)
@valued-customer ·
$0.09
I also wish you were wrong, but sadly you are quite in agreement with the math, and my own assessment.

The downvote pool is based on SP, and adds 25% of extant SP worth of flags to the power of the account.  Almost all SP is presently in the hands of whales, and by using the exponential increase in value of their SP, they capture almost all rewards, ~90% of rewards now go to whales, and this is while rewards are linear.  The demonetization of posts by downvoting returns the Steem upvotes have assigned to the post to the rewards pool, where whales can again have a chance to extract it via their stake weight.

EIP is essentially demonetization of non-whales.  It will be catastrophic for social media.  

Thanks!
👍  , ,
properties (23)
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vote details (3)
@dreemsteem ·
BINGO!   Anyone who has looked at the math can see it's disaster.  But they keep saying <em>"no don't look at the math!  let's look at the hope of humanity to change and make this place better!"</em>

but you're taking away author rewards from everyone (but targets small accounts more than any other account) and giving a MASSIVE increase to the ALREADY large accounts.

<em>no no... you're looking at it the wrong way.  Look at it this way... math, bad.  hope, good.  </em>

ummmmmm.  wut.
👍  ,
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vote details (2)
@apostle-thomas ·
Sounds like you didn't drink the "Koolie-steem-aid" neither!
👍  
properties (23)
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vote details (1)