Question about Steem Power

in steem •  7 years ago  (edited)

Hello everyone! I have a question about Steem Power that I cannot quite understand. Forgive me I'm new to Steemit although I am enjoying my experience so far! I looked at some videos, but still did not fully understand an aspect regarding Steem Power.

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Say right now Steem (the token) is worth about 5 dollars. I decide to purchase 20 Steem Tokens x 5 tokens for about 100 dollars.

Now let's say I "power up" and convert all 20 tokens into Steem Power.

1 month later (cross fingers) Steem, the token, doubles to 10 dollars (happy days!). Does my Steem Power also double in value so the 100 dollars turns into 200 dollars? Or does it stay the same?

I assume it's the former rather than the later but if someone can point me in the right direction I would highly appreciate it.

If I made zero sense, also let me know in the comments. And thank you Steemit Community.

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My understanding is that it doubles as well. I see Steem Power as just a locked away form of Steem tokens, i.e. each steem power 'token' is equal in value to a steem token, the only difference between the two being their mobility. Steem can be sold off straight away whereas steem power requires the 13 week conversion to steem.

Thank you for the quick answer! I was hoping that's the case. I noticed a lot of people I follow have everything in Steem Power which is the course I'm taking.

Same, i'm a believer in the value of Steem (the coin) and will be holding it long term. If were to store my Steem on a ledger wallet or exchange i'd get the capital growth of the coin, but by converting to steem power i can gain more steem in addition. It just makes sense to me to park on here as steem power.

Thank you for the insight. That seems like the common sense move.

Glad to be useful!