Many people don’t understand the very differences between SP and VESTS. Both are two very important components of the STEEM Blockchain, so it is best to have a clear understanding of their very differences. I will try to make this as short and sweet as possible.

All the STEEM POWER that you hold is essentially just VESTS, which to keep simple, are basically defining “tokens” on the STEEM blockchain. I say “defining” because SP is how you “define” your influence. Well, actually the VESTS, but you get what I’m trying to say.

The more you hold, the more you earn from the reward pool. The recent hardforks were pretty beneficial for reward distribution being more evenly dispersed throughout the community. So, to better define these differences, VESTS are “tokens” just like the other two forms of payment on the platform: STEEM and SBD.

SP is simply just a means of representing the value of your total “VESTS” in terms of an equivalent in STEEM. We just tend to think in terms of SP because it’s easier to comprehend and it’s much more easily quantifiable than thinking in terms of VESTS.

Trust me, it took me until just recently to figure all this out. I have been on the platform for almost two years now and I am still learning everyday. It takes time, but just make sure you are staying active, engaged and persistent with your approach, especially now as the price of STEEM is so low.

It’s only going to get harder and harder to earn STEEM as we see the price become less and less favorable with time. But, by then, this will hopefully be a good thing for all of our wallets, especially if we are taking advantage now.

I hope this helped to clear up any previous confusion you may have had regarding SP and VESTS.

Until next time,

@conradsuperb

Posted using Partiko iOS