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Why account values (and a few other things) are messed up by smooth

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· @smooth · (edited)
$31.40
Why account values (and a few other things) are messed up
Over the past several months the price of STEEM has dropped dramatically and that has introduced some issues for SBD, which is a stable value coin (aka stablecoin) backed by about $1 worth of STEEM. As part of the implementation of SBD, there is a rule which gradually reduces the backing of SBD below $1 when STEEM's value becomes too small to support all of the SBD in circulation at the full $1 value (in addition there are mechanisms to reduce the amount of SBD, but that is not relevant to this post). The way this is done is by adjusting the price feed provided by witnesses so that the system assumes STEEM is worth a bit more than it is when performing internal calculations.

The price feed adjustment is normally reasonably small and, while this would introduce an inaccuracy in values on UIs (including steemit.com) which rely on the price feed for their estimate of the price of STEEM (such as steemit.com), the inaccuracy would be quite small (similar to other such inaccuracies in displayed values due to factors such as changing market prices, changes in the size of the reward pools, etc.). However, due to a bug in the popular steem-js library, steemit.com and another of other UIs (including steempeak and steemworld) have experienced a dramatic inaccuracy as well as various other malfunctions (such as post payout detail being incorrect).  I [reported this bug](https://github.com/steemit/steem-js/issues/418) several hours ago upon identifying it, but it has not yet been fixed. EDIT: @eonwarped also found and fixed some [additional issues](https://github.com/steemit/condenser/pull/3104) in condenser itself.

Some of the other UIs have introduced their own work-arounds for the problem but currently steemit.com is not yet fixed.

After some quick investigation in cooperation with @timcliff, as far as I know the problem occurs only in the UI (display) layer and does not affect any blockchain calculations.

_Rewards will be donated to @burnpost_
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vote details (332)
@an0nkn0wledge ·
$0.02
You mean by Steem account isn't worth $296,564,412,029.54? Rats... lol.
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vote details (2)
@brianphobos ·
$0.03
If the debt ratio stays below 10% would it be a plausible strategy to buy SBD on Bittrex and then use the conversion method to convert to STEEM effectively ending up with more STEEM than would be earned if the same amount of fiat money was directly used to purchase more STEEM?   Or is the pricing and everything in too much flux that it would be too risky to attempt this?
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vote details (1)
@smooth ·
It can end up being more or less depending on market conditions and various system rules. It can certainly pay off, however, If you want to attempt this, I would suggest making sure you fully understand the process in detail, and also that you are prepared for the inherent risks.
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@svamiva · (edited)
$0.03
I did a few conversions recently, and yes, generally speaking, If your goal is to power up it makes sense to buy SBD and convert rather then to buy Steem. Here's one example :

100 Steem => 54 SBD =>convertion=>125 Steem

However right now I can only buy 52 SBD for 125 Steem, so in SBD terms it was a loss.
![2018-11-23 13.30.22.png](https://cdn.steemitimages.com/DQmX6kTEaXgvVUrNqK3KoCvSMEYr3h4oLbnugRzZw6Vyhz2/2018-11-23%2013.30.22.png)![2018-11-23 13.32.22.png](https://cdn.steemitimages.com/DQmaRhgj7jrVEQqpYivpocv9Grx7L754Ng1t7VWsyyZJ4mY/2018-11-23%2013.32.22.png)
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vote details (1)
@buggedout ·
$0.16
> The way this is done is by adjusting the price feed provided by witnesses so that the system assumes STEEM is worth a bit more than it is when performing internal calculations.

Is this actually being done?  I thought you were against the idea of doing this?
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vote details (3)
@smooth · (edited)
Not adjusted by witnesses, but adjusted internally by the system (code) to maintain the 10% SBD cap.
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vote details (1)
@buggedout ·
Ok, thanks for clarifying.
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vote details (1)
@crypto.piotr ·
Hi @smooth

I've been following you for quite sometime already and I just checked your profile to see if you posted lately anything interesting related to crypto (as we seem to share similar passion towards blockchain etc). Just to realize that you didnt publish anything in a long time.

Hope you didn't abandon Steemit as many others did recently? :(

Yours
Piotr
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@d-pend ·
$0.12
Thanks for filling in some details about this strange *(though fortunately mostly harmless)* occurrence.
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vote details (13)
@freebornangel ·
Thanks for letting us know,...
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@friendly-fenix ·
Nice, Im happy to hear the issue is being adressed or at least taken note of, thanks @smooth and @eonwarped and @timcliff, hope you can fix it...
/FF
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vote details (1)
@igormuba ·
Hi, I have noticed you are voting for the witness @klye that has been inactive for over 1 month, maybe could you consider changing the vote for me, @igormuba,  as I am a new and active witness? Thank you, hope you can support my campaign
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@ir3k ·
$0.02
Thank you very much for your explanation.
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vote details (2)
@isacoin ·
the price of SBD has in the past changed much more of a % in a shorter time
why did this only happen now?
![](https://cdn.steemitimages.com/DQmVZpjqq6GebKZknpXd99A8f7QWKcYyjuHHs1ynAVjY3mf/image.png)
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@smooth ·
The price of SBD isn't the issue here, it is the price of STEEM. And while I can't really say when the percentage drops have been the highest since I haven't studied that question carefully, I can say that the other day had a very large one day drop of 20%+, and also (and more significantly), the cumulative drop is the more important issue. STEEM has dropped so much that it no longer serves as sufficient for full backing for SBD. That is what triggered this issue, although most of the visible symptoms are caused by software bugs as discussed in the post.
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vote details (1)
@isacoin ·
SBD or STEEM both have increased more than 20% in a day why didn't it trigger then?

you can see from chart above and below 1 day candles displaying price movement in a day multiple times being over 20% with the highest recent movement being a 70% change on the 2nd of january  from $4.8->$6.90

would it be the rising of the debt % with HF20 that would have caused this? as far as i know the system wasn't originally designed for this wouldn't that be a more logical reason

![](https://cdn.steemitimages.com/DQmWhwwVdhhnssvsKAALkUMtSDS9HLkgC4CuxoMSgMrPCcw/image.png)
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@joalvarez ·
Thanks for clearing that up.
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@julieabbi2 ·
Thanks for the information. I sure am hoping all these bugs get taken care of soon. I have faith in the steemit fixers. 
Love
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vote details (1)
@kenmelendez ·
I was wondering what was happening so thank you for clearing things up 👍🏻

Posted using [Partiko iOS](https://steemit.com/@partiko-ios)
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@nieuscarin ·
Buenos día amigo , me encanta tu blog. saludos
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@nokodemion · (edited)
Smooth, the median is used in some calculations. So that's not really true.

Example, to calculate the Debt Ratio, the median is used.

We have a Debt Ratio of 10% now, what does this mean?

Will the median price flip/flop from the old median based on exchange rates to the new median based on market cap? Back and forth?
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@smooth · (edited)
The median is being calculated correctly, so the calculations are fine. It is just being handled incorrect by steem-js (a client-side library) and the results are _displayed_ incorrectly by some UIs.

> We have a Debt Ratio of 10% now, what does this mean?

The debt ratio is 10% because that is the cap. At 10% the system starts reducing the backing of SBD to maintain 10%, until the fully-backed ratio drops below 10%. Right now backing on SBD is reduced to about 88c since the 'true' debt ratio is slightly above 10%.

> Will the median price flip/flop from the old median based on exchange rates to the new median based on market cap? Back and forth?

I don't understand what you mean by flip/flop here.
👍  
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vote details (1)
@nokodemion · (edited)
Sometimes the debt ratio goes below 10%.

Before when it was lower as 10% it used the median price / 1 for the median price. After hitting the 10% it uses marketcap / supply.

Flip Flopping means, 10% or higher and 1 hour later below 10%.

Wil it change the median price calculation between the 2 above?

Because it makes a difference and every time it goes below 10% again, conversions would be possible because it restores also the 1 USD peg.

Or once we hit the 10% it's done? we lose the 1 USD peg and change the way the median price is calculated and thats it.

If thats the case, we have a serious problem.
👍  
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vote details (1)
@paulag ·
$0.10
resteemed so I dont have to keep explaining to people, thanks!
👍  
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vote details (1)
@phoenixwren ·
$0.04
I'm enjoying calling myself a #cryptobillionaire! ;)
👍  , ,
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vote details (3)
@programmingvalue ·
$0.05
The system wasn't designed with such a fast drop in price in mind, I guess.
👍  ,
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vote details (2)
@smooth ·
Proof of donation

0.119 SBD, 29.043 STEEM and 29.337 STEEM POWER for smooth/why-account-values-and-a-few-other-things-are-messed-up

https://steemd.com/b/28153347#56dbfee38f83e235ab50913cf7c6528e2b482c8c
https://steemd.com/b/28153357#544bed97c74201a5fe894942bf836762e65af204
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@sparkesy43 ·
$0.02
So I don't really have 20 billion dollars coming?  *sigh* back to work then
👍  , , , ,
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vote details (5)
@starapple ·
I thought I won some kind of Steemit or PCH Lottery...Bummer...

Back to posting/commenting then ...
👍  
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vote details (1)
@steemitboard ·
Congratulations @smooth! You have completed the following achievement on the Steem blockchain and have been rewarded with new badge(s) :

<table><tr><td>https://steemitimages.com/60x70/http://steemitboard.com/@smooth/commented.png?201811300707</td><td>You got more than 7500 replies. Your next target is to reach 7750 replies.</td></tr>
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@steemitboard ·
Congratulations @smooth! You have completed the following achievement on the Steem blockchain and have been rewarded with new badge(s) :

<table><tr><td>https://steemitimages.com/60x70/http://steemitboard.com/@smooth/commented.png?201812061157</td><td>You got more than 7750 replies. Your next target is to reach 8000 replies.</td></tr>
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**Do not miss the last post from @steemitboard:**
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properties (22)
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@steemitboard ·
Congratulations @smooth! You have completed the following achievement on the Steem blockchain and have been rewarded with new badge(s) :

<table><tr><td>https://steemitimages.com/60x70/http://steemitboard.com/@smooth/comments.png?201812131706</td><td>You made more than 4500 comments. Your next target is to reach 5000 comments.</td></tr>
</table>

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> Support [SteemitBoard's project](https://steemit.com/@steemitboard)! **[Vote for its witness](https://v2.steemconnect.com/sign/account-witness-vote?witness=steemitboard&approve=1)** and **get one more award**!
properties (22)
authorsteemitboard
permlinksteemitboard-notify-smooth-20181213t174302000z
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@steemitboard ·
Congratulations @smooth! You have completed the following achievement on the Steem blockchain and have been rewarded with new badge(s) :

<table><tr><td>https://steemitimages.com/60x70/http://steemitboard.com/@smooth/commented.png?201812210416</td><td>You got more than 8000 replies. Your next target is to reach 8250 replies.</td></tr>
</table>

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> Support [SteemitBoard's project](https://steemit.com/@steemitboard)! **[Vote for its witness](https://v2.steemconnect.com/sign/account-witness-vote?witness=steemitboard&approve=1)** and **get one more award**!
properties (22)
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@steveperzia ·
thanks for the update.
👍  , ,
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vote details (3)
@thelowestprice ·
║◆ Subscribe ► https://www.youtube.com/channel/UCgHs4CYwkbFKknxT455Ug6A

 Waiting for your comments, help channel (Top 10 For You)
 with a like, comment, share, subscribe. Thanks for watching and we expect a new video !!!
properties (22)
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@tntdabomb ·
Are you saying that I can't get a Lambo? smh...lies....LIES!!!
![](https://cdn.steemitimages.com/DQmaXnYvhPUt5Kj95HHi8YkZBwfymDD8C6r7SgZe3jZvcNk/image.png)
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@tonygreene113 ·
Thanks for the explanation.

Posted using [Partiko Android](https://steemit.com/@partiko-android)
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@trezmala ·
Says my account value in US dollars is like 100 billion, haha. Cash me out baby!!! Lol.
👍  
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author_reputation542,635,414,419
root_title"Why account values (and a few other things) are messed up"
beneficiaries[]
max_accepted_payout1,000,000.000 HBD
percent_hbd10,000
post_id75,765,860
net_rshares2,154,267,401
author_curate_reward""
vote details (1)
@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/smooth__why-account-values-and-a-few-other-things-are-messed-up.mp3)
Brought to you by [@tts](https://steemit.com/tts/@tts/introduction). If you find it useful please consider upvoting this reply.
👎  
properties (23)
authortts
permlinkre-why-account-values-and-a-few-other-things-are-messed-up-20181123t014111
categorysteem
json_metadata""
created2018-11-23 01:41:12
last_update2018-11-23 01:41:12
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cashout_time1969-12-31 23:59:59
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author_reputation-4,535,154,553,995
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vote details (1)
@void · (edited)
__steem_keychain_requires_title__
Yeah, also had it messed up on Steeve. Fixed by

```
const estimate = new BigNumber(vote.rshares)
  .dividedBy(recentClaims)
- .toNumber() * rewardBalance * sbdMedianPrice;
+ .toNumber() * rewardBalance * priceSbdBase / priceSteemQuote;
```

where `priceSbdBase` is actually `sbdMedianPrice` renamed.

Posted using [Steeve](https://www.steeve.app/@steeveapp)
properties (22)
authorvoid
permlinkre-smooth-why-account-values-and-a-few-other-things-are-messed-up-20181127t021124822z
categorysteem
json_metadata{"tags":["steem"],"links":["https://www.steeve.app/@steeveapp"],"format":"markdown","app":"steeve/0.1"}
created2018-11-27 02:11:27
last_update2018-11-27 02:13:12
depth1
children0
last_payout2018-12-04 02:11:27
cashout_time1969-12-31 23:59:59
total_payout_value0.000 HBD
curator_payout_value0.000 HBD
pending_payout_value0.000 HBD
promoted0.000 HBD
body_length358
author_reputation32,603,999,249,802
root_title"Why account values (and a few other things) are messed up"
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max_accepted_payout1,000,000.000 HBD
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net_rshares0
@weetreebonsai ·
Thank You @smooth for the clarification, seeing $58,708,518,209.36 in my wallet after not being on much sorta stopped my heart, I knew there was a mistake ;-)
👍  , ,
properties (23)
authorweetreebonsai
permlinkre-smooth-why-account-values-and-a-few-other-things-are-messed-up-20181123t162334025z
categorysteem
json_metadata{"tags":["steem"],"users":["smooth"],"app":"steemit/0.1"}
created2018-11-23 16:23:33
last_update2018-11-23 16:23:33
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cashout_time1969-12-31 23:59:59
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beneficiaries[]
max_accepted_payout1,000,000.000 HBD
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post_id75,793,516
net_rshares1,143,828,624
author_curate_reward""
vote details (3)
@whitelightxpress ·
Appreciate the update. For a moment (given the large numbers) I thought maybe this was part of a UI design change to show our available resource credits, but those numbers didn't add up, either.
properties (22)
authorwhitelightxpress
permlinkre-smooth-why-account-values-and-a-few-other-things-are-messed-up-20181123t024118251z
categorysteem
json_metadata{"tags":["steem"],"community":"steempeak","app":"steempeak"}
created2018-11-23 02:41:21
last_update2018-11-23 02:41:21
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