The launch of PalNet.io was the big news this week.
What is interesting is this development changes everything while also changing nothing.
For those who do not know about this yet, PalNet is a new interface that was released. It is a fork of Steemit.com (not a fork of the blockchain) enabling people to interact with the blockchain in the same way they are accustomed to.
The team issued out a token, the PAL, which is claimdropped on those with Steem Power. There are a few stipulations like there are no drops on accounts below 10 SP. At the same time, they capped the number of tokens for larger accounts. Finally, it is a claimdrop meaning people have to physically opt in to get the tokens.
We see the goal of trying to target those who are active on the blockchain while looking for the long term growth. Those who sit back and passively collect STEEM are going to miss out on this one.
There are a couple of immediate changes. The first is the idea of promotion. PalNet still does allow for people to promote their content if it is desire. This is mixed in to the trending page instead of just ending up under the promotion tab. This is similar to how Reddit does it.
The other change is that this interface uses the 50/50 breakdown of the rewards between authors and curators. We are seeing this idea proposed as part of the next hard fork.
While this is taking place, nothing was changed. This is a layer two solution. Nothing was altered at the blockchain level and those who are using Steemit.com or any other Steem interface will see no difference. What the PalNet team did is make the changes on top of the existing structure.
That said, this changes a lot of what is discussed. In addition to the difference in reward splits, the distribution of the tokens is spread out a lot more. By capping the upper end, we are not seeing the Whales with an overwhelming amount of power. This is done in an effort to give smaller accounts more of a "voice". It will be interesting to watch and see how the results are.
We also see a bonus payout. By using the PalNet platform, one receives the PAL on top of everything else that is earned. As I said, this is a layer two solution. Nothing at the base layer was affected. Therefore, whatever SP/SBD is earned for a post is paid out the same. Each individual still have the same voting power as before as denoted on a site such as Steemnow. The difference is that voting power also has a value in PAL.
Another benefit is that the people who are participating in PalNet are akin to being on Steem in July of 2016. Most of us missed the very early stages. From what I hear, it was a time of great uncertainty yet was extremely profitable for those involved. Since there is a compounding nature to all this, the earlier one is involved and active, the larger an account can grow.
I know for me, I look at accounts who were here 9 months before me and how much more they benefited. I also recognize how much further ahead I am from those who joined a year after me.
PalNet, since it rewards activity, most likely will end up the same way. Those who participate in the claimdrop will obviously have a base of PAL tokens to start from. The time to stake them is now to gain the influence. We will see a time when, maybe a year or two down the road, people will be complaining about how "lucky" we were to get involved early.
Some things do not change.
One aspect to all this that I am really excited about is another step in the decentralization of the ecosystem. Having another interface can only help us. For those who prefer to keep things how they were, it is there. One can go onto Steemit.com, the same as always. However, for those who feel some change is in order, PalNet could be the solution.
I am looking forward to seeing the rankings when PalNet does get onto a site like State of the DApps. My guess is the usage on this interface grows quickly.
One final point that I feel must be highlighted is the fact that a group of Steemians got together to create something they felt could fix some of the problems that exist. This was not done by Steemit Inc along with the Witnesses although there are a number of Witnesses involved in this project. Instead, it was a group of people who were interacting for a long time who hashed things out in a way that arrived at a solution. They created a platform that, in their estimation, better serves the community by promoting the values they hold dear.
Peace, Abundance, and Liberty for all.
Let us all help to make this come true.
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