Steem represents the idea of combining social media and currency coding to create a new kind of platform. Anyone can create, share, or update content on the Steem network, earn tokens based on community interactive performance.
What is Steem?
Steem's main platform, called Steemit, is a social network built on Stech blockchain. Steemit is similar to social networking sites like Reddit and Medium, but it will reward users with currency coding as they join the network. Here's how it works:
- Essentially, content creators will get more money as their content approaches and gets more support from the community.
- Users will vote, creating a hierarchy of content. The more content gets upvotes, the more content the creator gets. The platform also allows for downvotes, allowing participants to be more flexible when evaluating content.
Difference between Steem and Bitcoin
Both Steem and Bitcoin are designed with individual features. Bitcoin was created with the goal of becoming a P2P digital currency, while Steem's goal is to become a broad media and social networking platform. Many social networking platforms use voting systems, such as "upvote", "likes", "share" to evaluate content. Steem combines these concepts into a single platform, paying for STEEM users based on their contributions to the evolution of the network.
Steem has three different crypto currency
Steem has three tokens that make up the Steemit ecosystem, including STEEM, Steem Power (SP) and Steem Dollars.
- STEEM: Steem is the basic coding currency of the Steemit network. STEEM can be converted to Bitcoin or other coded currencies through a number of major trading platforms. To vote for content on the network, you need to convert STEEM to Steem Power (SP). This process is called "powering up." You can also convert STEEM into Steem Dollars.
- Steem Power (SP). When you turn STEEM into Steen Power (SP), you will invest in this network. A unit of STEEM, called SP, is equivalent to one vote. The people with the most SP, the most influential for any content, the content will be put on top. Votes such as: Upvotes and downvotes, or "flags", from users who own large amounts of SP will be more valuable than users with less SP. In addition, about 90% of STEEM will be created for users with multiple SPs, creating motivations for them to reinvest their profits into the network. The rate limitation is set when the SP conversion becomes STEEM, which is called "powering down".
- Steem Dollars. Steem Dollars, worth 1: 1 against the USD. This is the unit used to represent a short-term debt. In Whitepaper, "keeping" the Steem Dollars is seen as a way to help grow the community.
How to invest in Steem?
There are two ways to own STEEM: buy or accumulate them. You can buy STEEM on some major exchanges such as Poloniex, Bittrex and ShapeShift. This is the fastest way to own it. STEEM accrual is made by joining the Steemit community, posting content, commenting, sharing on its network. The more valuable your contribution, the more STEEM you will receive.
Note: The information that Pinkblockchain gives about STEEM is not a recommendation for investment. Investments in the cryptocurrency market are complex and risky - they are volatile, susceptible to attack and sensitive to secondary activity. Before investing, you should carefully study the market and decide if the benefits and potential it offers are greater than the risk.
There are many opportunities to earn rewards by joining the Steem network. They will award prizes to all individuals who contribute to the community. However, it is rare for a new individual to earn a large amount of money with just one article.
Because Steemit uses a voting system to evaluate the quality of content, this will be a powerful incentive for people to improve the quality of their articles. Steem Power (SP) is another way to grow and earn more revenue on the Steem network. You invest more in this platform, it will greatly affect your profits, giving you more opportunities to earn rewards.
Things you should pay attention when investing in Steem
Currently, Steemit is Steem's main application, although other social networks can integrate Steem blockchain into their platforms.
Because users with more SP will have a greater impact on the community than those with less SP, being flagged by one of these users can have a serious impact on your profitability.
STEEM's supply is up 100% annually, making it a high-inflation currency.
How will Steem develop in the future?
- Steem blockchain developers recognize that Steemit is one of many potential applications that could benefit from the underlying software. Steem emphasizes the expansion of this technology with third parties. They will integrate a number of other services to help other companies easily apply Steem blockchain.
- Steem is deploying mobile applications on the iOS and Android platforms.
- The free image hosting is being integrated into the Steemit platform.
- Steem is also trying to improve the user experience, including the UI, Steemit's brand change, and simplifying the registration process.