We all know the drill. Steem’s inflation rate is constantly falling. It’s now below 9% per year. We hear this again and again.
14 days ago, I did a post about us passing the 300,000,000 Steem mark and included a screenshot from steemd.com:
https://steemit.com/partiko/@preparedwombat/300000000-steem-hy8he42f
Okay, it’s early today. I haven’t had even one cup of coffee. I’m too lazy to figure out the current inflation rate (something like 8.7%) so let’s go with that 9% number, ignore day-to day compounding and do some ballparkish math.
14 days ago we were at 300,274,105 Steem. Multiply that by the 9% yearly inflation rate and divide by 365 to get a ballpark number for Steem created daily. The result is 74,040 which sounds about right in that a year ago the number was 68,000-ish. So over a period of 14 days, we should have added about a million Steem. But a screenshot taken today from steemd.com shows a very different outcome:
14 days later and we’re up by 16 million Steem? Okay, the current (virtual) supply includes SBD’s that could be converted into Steem, the price of Steem has been in the dumps, SBD’s aren’t being created now that liquid payments are in the form of Steem. Maybe there’s some math there that I just don’t grok. But it sure seems like Steem is being created at a rate much higher than its inflation rate.
What am I missing?
Edited: Three weeks after this was initially posted, 