Beside the complicated situation, I still believe, that SBD is pumped by Steemit Inc.
It's easy for them to do so with these small trading volumes, and they have all the reasons for it. First, no one will cash in a debt if the prices are this high on the markets and second, it's the best marketing to use the blockchain, when people get more payout value through keeping SBD high. 

i like this post,thank you for shareing

Great explanation. I have heard so many people say that the higher sbd price is a bad thing. I agree with you that it is not a bad thing but a great opportunity to get more SP with every post.  Thanks for sharing your thoughts. Keep them coming.

I still think that people will occasionally pump SBD simply because it will allow them to cheaply buy steem if the have previously accumulated SBD. Of course this will happen once steem explodes in price. So in my mind the days were SBD will be stable around the dollar mark arre far away, of course it can go down to that value but I won't think it will remain there for long periods.
P.S I haven't received my manna :(

What is mannabase... i found it in your footer.

I just don't know how an increase in value could be a bad thing... I realize that it is designed to be pegged to the USD, but dang. Don't look a gift horse in the mouth (this time).

Thanks for the mention @taskmaster4450! Is there any specific reason why you linked to a post on the steemit platform, and not the one that is sitting on the hive platform? Something like this: https://peakd.com/steemit/@dragosroua/are-you-really-playing-the-steem-long-game

It works out perfect for us! I still don't see why people want it to  make it worth more than $1. Oh well....

Thanks @taskmaster4450. Your posts are always thought provoking.

___
First, I have a request:
Can you please do a post on powering up and powering down and the technicalities involved. I bet many would benefit from how simple you explain these things.

___
Second, I have a couple of questions:
1. When is the best time to do a 50/50 split for curation rewards?
2. How much is a fair amount to invest in the system to considerably put you in good stead on the platform?
3. Are you saying holding Steem is way more beneficial to holding SBD?

I will stop here for now. Thanks so much

waoo!!thank You for sharing..

For those of us who are new to the platform and looking to grow within it, the higher SBD helps us also. I will be converting any SBD I create here into Steem and powering up. This lets me buy at a discount and grow my SP faster. At least this is the way I look at it :)

Can i get money on my bank account by blockchain?

I did notice that the payouts for 50/50 were disproportionately higher than what the blockchain reported.  I really like this, and it has really helped me grow my account fast.  If the SBD is pegged at one dollar, do you think it's possible to use it to back the price of Steem instead of BTC?

I do like using small amounts of SBD’s for things like donations and micropayments to other Steemians but can’t understand why anyone would sit on any significant amount of it. 50/50 and daily power ups seems to be a no-brainer.

That's the clearest explanation I've seen since seeing on Steemit.  Thank you!

Thanks for this cryptocurrency news providing...
I appreciate your post.keep it up dear friend

Thanks for taking the time to write this.  I plan to read carefully through it later today.  Resteemed :)

Thanks for share this important news.
Great to share your post.

Never looked on SBD as debts before, but anyway agree with you that a high SBD is beneficial to the platform. It is helping distribution and is maybe the market's way of telling us that content creators are worth more than 75% of the reward pool.

Dangit you did it again! Demystified the SBD. I learned something again. Thanks!

So you’re recommending I get SP with my SBD, taskmaster?

Finally someone comes up with a different opinion. I have been saying this but it seemed like no one was ready to listen. I have always said that sbd going up is good for the system. The reason we have a large number of steem users today is coz of the high price of sbd...I wonder what happnes if it falls so much.

I wonder, how do you think this will effect those making an income off of SBD? I figure you could also power down a little and make money that way if need be, but I am not technically minded enough to understand this all haha.

I have less faith in the market than some. They are driven by greed, not altruism. A stable SBD is good as it means people will use it to buy stuff. I want to be able to buy and sell goods and services for it. I don't mind if my posts make me less.

Amazing observation man... really impressive.👍

You mention an important point that the market will figure out, but history is witness to the fact that the market often takes a long time to find out, and when it does it often comes crashing down.

Eventually as and when SBD comes crashing down, you mention this

>A crash in the price will cause those who trade on the open market to lose money. Yet Steemians will be protected unless they are sitting on SBDs. 

My question is, will this also not impact Steem price also because to the outside investors, trading on exchanges, its another currency from the same blockchain, so if goes down, they may panic sale the other.

At the same time, I want to power up as much as possible before something like this happens.

Yes, one of my concerns with holding SBD right now is that the price is going to drop. Powering up is the best way to protect against that. The analysis of the price and the fact that SBD is *debt* is good to know. I might have heard it before, but I forgot. I had wondered why no interest was paid. Now I know it's because SBD is above $1. 

In the early days i used to power up but now i have put the process on hold for some time. I want SBD's to accumulate in my account for some time now  so that i can figure out what to do with them.

I perceive steem and sbd's in a little different way. Steempower is like holding stake in the blockchain. The more steempower one has the more it benefits the owner but i don't consider this as an earning because in order for it to become money one has to power down which takes 13 weeks. This also means that one will lose his stake on the blockchain.
 
On the other hand i consider SBD's as real earnings because in its original state one just has hold on his earning when ever he wants and however he wants. Powering up or using sbd's for other purposes is the owners choice. I know people look at the picture in the long run. They perceive STEEM as investment for future and thus power up with their sbd's thinking that they will power down when the price goes to their desired number But me, i consider steem as permanent investment. I would never power down as long as this blockchain exists thus it is important right now for me to keep sbd's as sbd's only and allow it to accumulate.

Also, if the price gets to parity with the $1, people will opt for the 100% payout in SP, thus reducing the number of SBDs created.

Is it possible to be paid in just Steem Power, or were you making a suggestion mate?

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/taskmaster4450__why-worry-the-increasing-sbd-is-great-for-the-blockchain.mp3)
Brought to you by [@tts](https://steemit.com/tts/@tts/introduction). If you find it useful please consider upvote this reply.

Thank you for the very clear breakdown of SBD/Steem. <3

I try to power up as much as possible, but I'm thinking about running some type of contest to give away @steembasicincome to newbies. Maybe that will help them grow. @f3nix has a cool contest right now, where a player finishes a #freewrite started by @f3nix the winner gets a share of SBI. 
Upvote, Comment, Create quality content, Resteem, Power up, and most of all enjoy the Steem ride. Thanks Task. 😎

I see no direct way to power up SBD inside of Steemit once received.  I understand the 50/50 payout is beneficial now because SBD is supposed to be pegged at $1.00.  However if you use the transfer function to convert SBD to Steem or Steem power, you can expect a $20 fee in the transfer (as I found out once using Blocktrades).  Do you know a better method of powering up SBD to Steem Power?

Here's a current snapshot of the SBD to Steem ratio:

![Screen Shot 2018-03-06 at 7.18.14 PM.png](https://steemitimages.com/DQmW85FFe3cXJ36u4pCs5Y6fhLuoZct71P8GHo19DAafmJX/Screen%20Shot%202018-03-06%20at%207.18.14%20PM.png)

The actual price of SBD on CoinMarketCap.com is 3.51, but Steem is at 3.25.  That ratio works out to about 92.6%  But the blocktrades ratio of 1.028 to 1.0 works out to 97.3.  The difference is about 4.7% which represents the fee.  That's very steep.