The price hike of SBD is generally beneficial to Steemit users. People earned more than 8 times than what they are supposed to earn on their SBDs. This is more than a Christmas and New Year's gift Steemit has given to us. We are thankful, almost all enjoyed this sudden phenomena. It was extremely helpful to me too, it helped me increase my financial stake in the real world.

Just a Quick Information to those New Users about SBD

Steem Backed Dollars, a.k.a SBD is a US - Pegged token only created when posts gets its payout. Since it is a US - Pegged token, its value should normally be worth approximately $1.00 each. Though its market value is playing around $9.00 now, Steemit always look SBD as a US Pegged Token = 1 dollar.

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So when our post gets its payout, knowing the user chose the 50 / 50 option *(50% is earned in SBD & 50% earned in STEEM), The 50% option for SBD will always be having $1.00 = 1 SBD. Only STEEM follows its market value.

For example, I have a exact $10 value post. Approximating Curation rewards as 25% of the total payout (75% is for Authors), author gets $7.50 for the payout. Since 50 / 50 was chosen, it means 50% of $7.50 will be paid in SBD and 50% of $7.50 will be paid via STEEM in a form of STEEM POWER. Since SBD is a US-Pegged token, 50% of $7.50 is equivalent to $3.75 right?

3.75 SBD will be received by the user and the remaining $3.75 (SP determined by its market value) via Steem Power. Knowing 1 SBD = approx. $8.00 each, that 3.75 SBD is actually a $30 in value, too far from the normal $3.75 right? This is the reason why Steemit users are earning huge now than they were. (Plus Post values are rising because of the rise of Steem's value)

Amazing to See right?

But this came on my thought

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I am afraid new users might have a wrong interpretation on reward distribution. I have a big feeling that SBD's price will not stay longer from its current value (at approx $9 each) and will go back to $1.00 each. This thing will generally be a big problem to those who do not understand the concept of rewards. There is a big probability that we will lose them, creating a false expectation to new users.

As a result, we might miss quality writers, aspiring travellers, great musicians, and most probably - STEEM INVESTOR. I find it scary, do you?

So this should be mentioned to people

As an older users, educating them, redirecting them to read the whitepaper, or giving them Steemit articles that explains the basic principle and terms of Steemit. I believe they should be aware regarding this matter.

Hope this helps

Any additional information are welcome and much appreciated for the benefit of all users. Thank you in advance!

Best regards