The rest of the new tokens are distributed as interest on existing balances.
RE: Error in Steemit Whitepaper?
You are viewing a single comment's thread from:
Error in Steemit Whitepaper?
Authors get paid when people like you upvote their post.
If you enjoyed what you read here, create your account today and start earning FREE STEEM!
If you enjoyed what you read here, create your account today and start earning FREE STEEM!
Yes, so if I have had 100 tokens at the beginning of a year, then I will have 190 tokes of 50% base value at the end of the year. Therefore, I "lost" 5%, that went to the contributors.
E.g. (assuming that only the amount of money influences the price)
If total tokens amount is equal to 1000, and value of each is $1, then the market cap is 1000$.
Let's assume that I have 100 tokens x 1$ = $100 of value on January. Then, after 12 months, there will be 2000 tokens with the same total value o 1000$, i.e. each costs $0.5. In that situation I, as a stakeholder, will end up having 190 tokens x $0.5 = $95 value. The missing 5$ of the value is what was redistributed to the content creators, curators, etc. $5 is 5% of my initial value, that went to support the system.
This is true for each and every stakeholder, 5% of this value goes to funding the Steem platform.
The fragment from Whitepaper document:
"90% of non-SMD inflation is distributed back to existing holders of STEEM proportional to the STEEM value of their SP balance, making inflation more of a “split”"
Right now, we are discussing the remaining 10% of the inflation (which I must assume is 5% of market cap value).
Downvoting a post can decrease pending rewards and make it less visible. Common reasons:
Submit