Where does the STEEM come from when you convert SBD to STEEM?
8 years ago by bacchist (69)
$40.77
- Past Payouts $40.77
- - Author $32.70
- - Curators $8.07
36 votes
- + pharesim: $39.025 (100%)
- + lukestokes: $0.858 (100%)
- + johnsmith: $0.379 (100%)
- + wongshiying: $0.145 (100%)
- + noisy: $0.116 (100%)
- + bacchist: $0.047 (100%)
- + tinyhomeliving: $0.044 (100%)
- + btotherest: $0.044 (100%)
- - somedude: $-0.035 (-100%)
- + stephencurry: $0.030 (100%)
- + criticalproof: $0.022 (100%)
- + honeythief: $0.019 (100%)
- + joshuanboles: $0.019 (100%)
- + dennygalindo: $0.018 (100%)
- + coinhoarder: $0.015 (100%)
- + jholmes91: $0.008 (100%)
- + jako: $0.004 (100%)
- + ethan-castle: $0.004 (100%)
- + eyass: $0.002 (100%)
- + lurker1: $0.001 (100%)
- … and 16 more
I'm guessing the Blockchain allows for a mathematical computation to assign "blocks" for the trades to maintain their value during conversion. The "shares" are probably held in some type of a ledger system to allow for exactly just that. Guessing completely...experts? Where you at?
Downvoting a post can decrease pending rewards and make it less visible. Common reasons:
Submit
Ledger system would have a mathematical "true-up" so everything is balanced at 1:1, when everyone goes home at 5 o'clock.
Downvoting a post can decrease pending rewards and make it less visible. Common reasons:
Submit
if mechanism is similar to Bitshares (and I believe it is... they have the same engine), then I think those STEEM Dollars are unlocked from collateraled position, but I would be glad to here the details about STEEM from someone more experienced.
Please correct me if I am wrong.
Maybe: @xeroc?
Downvoting a post can decrease pending rewards and make it less visible. Common reasons:
Submit
That would certainly make sense @noisy
Downvoting a post can decrease pending rewards and make it less visible. Common reasons:
Submit
but please don't take my words as granted.
Downvoting a post can decrease pending rewards and make it less visible. Common reasons:
Submit
That GIF. Dammit. I want that GIF.
Downvoting a post can decrease pending rewards and make it less visible. Common reasons:
Submit
Right click and save?
Downvoting a post can decrease pending rewards and make it less visible. Common reasons:
Submit
@pharesim said that there is a pool, represented by the virtual_supply identifier. The difference between the virtual_supply and current_supply is the amount of STEEM backing current_sbd_supply.
I did the math and it's very close to what you would expect given the current price feed.
Thanks!
Downvoting a post can decrease pending rewards and make it less visible. Common reasons:
Submit
I just got a question on Polish bitcoin forum: what will happen when all STEEM Dollars would like to be sold at the same time? Steem network would have to use more and more STEEM to give enought to be worth $1, and with price droping, that would require even more STEEM.
Is that will cause a hyperinflation, because network will create more and more STEEM?
Downvoting a post can decrease pending rewards and make it less visible. Common reasons:
Submit
The conversion takes place over a week, using the average price during those 7 days. If a person with SBD thinks the price of STEEM is dropping, it would be unwise to convert. It would be better to exchange on the market.
I can't tell you what would happen if there was a "run on the bank," but it seems like a highly improbable event. If you were concerned about market volatility, you'd want to be holding SBD, not STEEM. SBD is the stable currency.
Downvoting a post can decrease pending rewards and make it less visible. Common reasons:
Submit
How can we increase demand for sbd?
Downvoting a post can decrease pending rewards and make it less visible. Common reasons:
Submit
I actually just posted about that yesterday.
https://steemit.com/sbd/@bacchist/for-a-stronger-peg-thoughts-on-sbd
Downvoting a post can decrease pending rewards and make it less visible. Common reasons:
Submit