A Beginner’s Guide to Earning Cryptocurrency on the Steemit

The blockchain and cryptocurrencies may change all of that. I’ve been earning money for my writing lately on the STEEM blockchain, on a social network called Steemit. You heard me talk to STEEM’s CEO, Ned Scott back on episode 71.

I recently cashed in over $1,000 in STEEM cryptocurrency. Today I’ll be giving a basic introduction to making money on Steemit. You’ll learn:

Where does the money come from? I cash in the STEEM Tokens I earn, but why are they worth anything?
What are the various forms of STEEM, and what are they for? I’ll talk about STEEM, STEEM Power, and STEEM Dollars.
Once you earn STEEM, how can you convert it to USD?

STEEM is a decentralized blockchain (here’s what that means)

The STEEM blockchain does not live on a server like, say, Facebook’s database. That would be what you’ve probably heard referred to as a “centralized” model. Facebook owns and controls the database, and could delete it all tomorrow if they felt like it.

Instead, computers around the world have copies of the STEEM database and compare it to each other to make sure it’s up-to-date. This is what you’ve probably heard referred to as a “decentralized” model. No one entity controls the information.

STEEM Power helps you earn more STEEMSTEEM Power helps you earn more STEEM

The first thing you can earn is STEEM Power, which increases your influence within Steemit. If you have a lot of STEEM Power, you earn more STEEM (in all forms) for your posts and upvotes. When you upvote a post, it also causes the author of that post – and everyone who upvoted it before you – to earn more money than otherwise, because an influential user (you) have upvoted the post.

STEEM Tokens are immediately spendable
The second thing you can earn is STEEM Tokens (which are generally referred to as simply “STEEM,” but remember, I’m currently using that term as a catch-all for all forms of STEEM). You can immediately spend STEEM Tokens. There aren’t many things I know of that you can buy directly with STEEM Tokens, but you can exchange them for other cryptocurrencies, such as Bitcoin (which you can then convert to U.S. Dollars or other currencies, which I’ll explain later).

STEEM Dollars (SBD) can be spent to promote posts

The third thing you can earn is STEEM Dollars, or SBD. Like STEEM Tokens, you can convert SBD to other cryptocurrencies (then to U.S. Dollars). You can also spend SBD to “promote” posts on Steemit, which gets them more exposure, in turn earning more STEEM. You can also hold SBD in savings – sometimes with interest – on your Steemit account.

Post articles according to tags

Content on Steemit is organized by tags. Since the main timeline is crowded with a variety of topics, many users will look for content on a particular tag, similar to how Reddit users hang out in a particular subreddit.

You can see a listing of exactly how many posts have been issued to the top tags, and exactly how much STEEM has been earned on said tags. For Learn More [Click Here](https://kadavy.net/blog/posts/steem-beginners-podcast/ "kadavy.net "Click Here")

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