Viewing a response to: @themanwithnoname/f36bsa2jq
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| author | shivohum2015 |
|---|---|
| permlink | pk9ep5njw |
| category | musing-threads |
| json_metadata | "{"app":"musing/1.1","appTags":["steem","steemit","sbd","price","rewards"],"appCategory":"steem","appTitle":"\"100% Powered Up\" or \"50/50\" to maximize rewards?","appBody":"<p> <strong>SBD is pegged to Steem, not to $1 .....That is incorrect</strong>. SBD is backed with a pool of STEEM but not pegged to steem it is theoretically still pegged to 1 usd. It is a separate thing that SBD is not being able to remain around 1 USD. But in pen & paper it is still pegged to 1 USD.</p>\n<p> <strong>Does that change the formula? ...No the formula has not changed</strong>.</p>\n<p>However the debt ratio is designed in such a way that whenever it hits 10%, the blockchain will stop minting new SBD. This has been done in order to limit the number of supply of SBD and whenever it hits 10%, the payout will be in STEEM and SP only. At 9% debt ratio also, the printing of SBD start reducing and reaches 0 at 10% debt ratio.</p>\n<p> <strong>Debt-Ratio</strong></p>\n<p>In steem ecosystem SBD works under the principle of short term debt or you may call it a short term resources to pay the authors or to make the operation in steemit sustainable and these short term resources are capped so as to avoid running out of liquidity. That is why there is a cap to the debt ratio.</p>\n<p><strong>If the debt level were to exceed 10%. If the amount of SBD debt ever exceeds 10% of the total STEEM market cap, the blockchain will automatically reduce the amount of STEEM generated through conversions to a maximum of 10% of the market cap. This ensures that the blockchain will never have higher than a 10% debt-to-ownership ratio.</strong></p>\n<p><em>Note-In steem ecosystem even though SBD is a currency, but its economy is not separate and it is always backed with steem.</em></p>\n<p>That means as long as it remains below 10% it keeps printing SBD to pay authors and content creators but if it touches the 10% mark, then it will stop printing SBD and the payout algorithm is constructed in the following ways:-</p>\n<ul>\n <li>If the Debt Ratio is below 9% then payout will be in SBD+SP</li>\n <li>If the Debt Ratio is 9%-10% then payout will be in SBD+STEEM+SP</li>\n <li>If the Debt Ratio is above 10% then payout will be in STEEM+SP</li>\n</ul>\n<p> <strong>How to calculate Debt Ratio</strong></p>\n<p>Simply go to coinmarketcap.com and check for currencies STEEM and SBD.</p>\n<p> Debt Ratio = Market cap of SBD/ Market Cap of STEEM </p>\n<p> <strong>\"100% Powered Up\" or \"50/50\" to maximize rewards?</strong> </p>\n<p>See as per the formula we have both will have equal yield if SBD price is stable at 1 usd. </p>\n<p><strong>If SBD price goes above 1 usd then 50/50 will always be profitable</strong>, that is because the 50% of the author reward is directly in SBD. So you can get more in case of 50/50 payout as compared to 100% power up.</p>\n<p><strong>If SBD price is below 1 usd, then 100% power up is more profitable.</strong></p>\n<p><br></p>\n<p>Thank you and Have a great day.</p>\n<p><br></p>\n<p><br></p>\n<p><br></p>","appDepth":2,"appParentPermlink":"f36bsa2jq","appParentAuthor":"themanwithnoname","musingAppId":"aU2p3C3a8N","musingAppVersion":"1.1","musingPostType":"answer"}" |
| created | 2018-12-22 06:19:24 |
| last_update | 2018-12-22 06:19:24 |
| depth | 2 |
| children | 1 |
| last_payout | 2018-12-29 06:19:24 |
| cashout_time | 1969-12-31 23:59:59 |
| total_payout_value | 0.526 HBD |
| curator_payout_value | 0.166 HBD |
| pending_payout_value | 0.000 HBD |
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| zapncrap | 0 | 1,399,689,167 | 2% | ||
| bulimbabitch | 0 | 277,045,706 | 2.69% | ||
| curx | 0 | 1,461,729,610 | 2% | ||
| fbook | 0 | 139,097,994 | 2.69% | ||
| reazuliqbal | 0 | 3,309,879,281 | 3% | ||
| photocircle | 0 | 992,659,717 | 2% | ||
| musing | 0 | 1,240,080,017,158 | 3% | ||
| mixr | 0 | 487,618,227 | 5% | ||
| mariita52 | 0 | 452,678,671 | 100% | ||
| pkushi | 0 | 0 | 5% | ||
| ajnin | 0 | 0 | 5% | ||
| puwelwol | 0 | 0 | 5% |
<p>That's a very detailed response, thank you! Although I was aware of most of it, many people aren't and you did a great job of explaining it. Hopefully that's something that can help others as well.</p><p>When I said SBD was pegged to Steem and not $1 anymore, I was referring to something that Smooth said in regards to why interest was not being paid on SBD. Previously when the price of SBD was below $1, interest was paid on it. However, now that the debt of SBD is more than 10% of Steem in circulation, he was saying that SBD was pegged to Steem, and not to $1. Maybe I misunderstood what he was trying to say.</p><p>Regardless, I was attempting to determine if this meant there was extra rewards to be earned by posting 50/50 even though SBD is priced below $1.00. </p><p>Thanks again for your response!</p>
| author | themanwithnoname |
|---|---|
| permlink | p33c65wyw |
| category | musing-threads |
| json_metadata | "{"app":"musing/1.1","appTags":["steem","steemit","sbd","price","rewards"],"appCategory":"steem","appBody":"<p>That's a very detailed response, thank you! Although I was aware of most of it, many people aren't and you did a great job of explaining it. Hopefully that's something that can help others as well.</p><p>When I said SBD was pegged to Steem and not $1 anymore, I was referring to something that Smooth said in regards to why interest was not being paid on SBD. Previously when the price of SBD was below $1, interest was paid on it. However, now that the debt of SBD is more than 10% of Steem in circulation, he was saying that SBD was pegged to Steem, and not to $1. Maybe I misunderstood what he was trying to say.</p><p>Regardless, I was attempting to determine if this meant there was extra rewards to be earned by posting 50/50 even though SBD is priced below $1.00. </p><p>Thanks again for your response!</p>","appDepth":3,"appParentPermlink":"pk9ep5njw","appParentAuthor":"shivohum2015","musingAppId":"aU2p3C3a8N","musingAppVersion":"1.1","musingPostType":"comment"}" |
| created | 2018-12-26 19:33:24 |
| last_update | 2018-12-26 19:33:24 |
| depth | 3 |
| children | 0 |
| last_payout | 2019-01-02 19:33:24 |
| cashout_time | 1969-12-31 23:59:59 |
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| promoted | 0.000 HBD |
| body_length | 816 |
| author_reputation | 27,720,428,062,795 |
| root_title | "Musing Posts" |
| beneficiaries | [] |
| max_accepted_payout | 1,000,000.000 HBD |
| percent_hbd | 10,000 |
| post_id | 77,419,680 |
| net_rshares | 0 |
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