If you the Steem concept confused with its 3 currencies, then you will help to finally look through this short article.
STEEM
STEEM is Steemits freely tradable Coin (= virtual coin). So something like Bitconin (BTC), Ethercoin (ETH), etc. Your STEEM You can therefore on exchanges like Bittrex or Poloniex sale, or you can purchase additional there STEEM. The exchange rate of STEEM to BTC is not fixed and is due to supply and demand. Today you'd get about 190 STEEM for 1 BTC. STEEM are not intended to be a store of value because STEEM subject to a certain inflation.
STEEM POWER
STEEM POWER are frozen STEEM. This corresponds approximately to a fixed deposit with a bank.
Look in your wallet: 3.000 (three) STEEM POWER did you get paid when you register. Probably they are now a few more fractions. STEEM POWER you can generate by you convert your STEEM with the 'Power UP' said operation in STEEM POWER. In addition, you will receive STEEM POWER as a reward for your articles if other users corresponding votes.
But what use have your STEEM POWER to you?
Firstly, the incredibly high interest rates.
A bank pays you today hardly interest on your money. For your STEEM POWER you get 1% interest per day! This is a sensational rate. This is not illegal, a bubble or anything negative as some fear (and sometimes write). This high rate of interest is provided to:
- Inflation of STEEM more than offset
- It is part of Steemit Protocol, the way to produce new coins and fairly distribute among the users. Keeping STEEM POWER is therefore rewarded. This modern concept called 'Proof of Stake'.
Secondly STEEM POWER give you power or force because they make your voting effective. The more STEEM POWER You possess are as voting donors, the more STEEM DOLLAR gets credited the writer for his contribution. You will self-evident taken nothing. The reward comes from the system.
As will now be included in the fixed installation STEEM POWER again freely tradable STEEM?
From a STEEM POWER volume of about 30 pieces You can select and change back into 104 parts, over a period of 2 years, ie 1 part per week in STEEM in your wallet 'Power Down'. By that described above, while a rich gain is expected.
STEEM DOLLAR
As you know already, rewarded Steemit good content.
If your posts like other users you get votes - with correspondingly many and valuable votes you'll get next STEEM POWER also STEEM DOLLAR. Earned STEEM DOLLAR will be credited 24 hours after the cash votings your wallet. From there you can freely dispose of your STEEM DOLLAR.
A STEEM DOLLAR, shortcuts SBD (Steem backed dollars) or just SD corresponds worth one US dollar. There may be slight fluctuations, but basically its value is fixed.
STEEM DOLLAR can always converted at the current rate in STEEM or as traded at Bittrex or Poloniex and be converted into Bitcoin, US dollars or other currencies.
Estimated Value
This is simply the estimated value (sum) of 3 parts previously described.
in short:
1 STEEM DOLLAR = approximately 1 US dollar.
STEEM POWER = 1 fixed scale, well-interest STEEM, 2. Your effectiveness in votes.
STEEM = the freely tradable Coin. Its absolute value in $ or BTC is subject to market fluctuations.
Please Should still have questions, or if errors have crept, then use the comment function.
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