Steem: Where does the money come from? An example anyone can use.

I had a nice conversation with my dad today (He's a business owner for over 30 years).

I always try to convince him about Steem but it's hard.

Often it's a little bit abstract to him which I can understand (Where does the money come from is an often returning subject).

But thanks to Steem Monsters and all the talks I had with developers at Steemfest 3 I could use a new approach this time.

It's a simple approach really.

Here it is.

Steem monsters earns revenue by selling cards and by taking a cut from the marketplace.

People that buy cards can use fiat or crypto to pay for the cards. (This answers where does the money come from!)

Screenshot 2018-11-13 at 19.44.35.png

225,000 Beta packs sold at $2 a pop! (after 300,000 alpha packs had already sold)

Whatever the payment method is Steem Monsters turns a big part of the money into Steempower (this is key).

Now they can use this Steempower to frictionless reward their users/community members for adding value to Steem Monsters (over and over again!).

This allows them to grow their community and give them an incentive to do good or advertise for them and reward them with votes.

They never have to fear that their Steem power is taken away because it's their own (not delegated) and they don't have to fear about the price of Steem so much because it's not their main source of income.

This circle pulls liquid STEEM from the market and locks it up in Steempower.

The bigger their Steempower holdings the more they can use it to grow their community faster and faster.

In other words.

Steem power is not a business model to generated revenue.

It's a powerful tool to grow a community and should be used as such.

Right now they have powered up 339K STEEM into Steem power.

When they keep this growth up they will have a million Steem Power soon.

All earned and not bought and all the while they are still selling cards for revenue!

I saw a small light turn on inside my dad's mind after that :)

This is the territory which he is familiar with (selling a product).

He might not buy Steem straight away but when we see more businesses starting to apply business models with second revenue streams on the blockchain I bet he will be more interested.

The question is will STEEM still be 72 cents if that is the case.

When it's known that Steem is a money generating blockchain with working products it's going to be an easy sell to investors.

And then the amount of liquid STEEM out there will turn out to be not so much (only 82 million liquid STEEM).

I expect the price to go up when the word gets out.

Therefor I'm not going anywhere!