The virtual currency called Steem is part of the decentralized Steemit shell, which demonstrates a social network filled with unique content. Users of this network can earn on the material being laid, so the higher its quality, the more reward the right holder receives.
Blockchain technology, aimed at addressing the issues of monetization of social content and the development of the information market, implemented In Steemit. Another advantage of the new platform will be the ability to extract Steem cryptocurrency, depending on the amount of content produced, comments and work with the functionality of the network.
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In fact, Steemit is a new level in the promotion of Internet content for ordinary users who, unlike large media holdings, do not have enough funds to advertise their material. To date, most platforms can monetize your content by exclusively selling ads from existing online resources. According to the developers of Steemit, their child solves this problem, giving content creators an effective tool for implementing creative potential.
Over the past two years, the number of users who block advertising on their devices has significantly increased in the world, this in turn has reduced the interest in content from consumers. The exchange of information in the Steemit network helps the development of the platform and, as a result, increases the profit from the implementation of unique content.
Steemit can be considered as an ordinary company, issuing shares to raise capital and working capital. The created ecosystem works as a trading platform for unique content and largely depends on attracting new users.
In the use of Steemit, there are three different tokens: the basic Steem, the advanced Steem Power and the functional Steem Dollars, each of which is responsible for certain actions. So, Steem is open for purchases and sales on trading Internet sites, and Steem Power is somewhat similar to a long-term contract, under the condition that you can sell the token only 13 weeks after the purchase. From the name of the third currency you can guess that it is tied to the classic dollar and allows you to convert cryptocurrency into fiat money. Working in Steemit, users should understand that their investments are long-term and will only bring profit if the platform is widely distributed.
Many experts say that Steemit thought of as a competitor to the portal called Reddit, but, unlike the latter, widely uses block chains using Blockchain technology. The addresses of users receive feedback and reputation, so there are practically no "trolls" on the platform. Confirmation of operations in the Steemit network occurs on the principle of "evidence of participation", that is, consensus is achieved based on the uniqueness of the content. Generation of tokens is distributed in such a way that 75% of the authors receive content, 15% goes to the owners of Steem Power coins, and the remaining 10% goes to support the network.
Undoubtedly Steemit has the potential for growth, but as we said earlier, it will not happen in one day. In the first quarter of 2018, Steem's capitalization is about $ 900 million.
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The Steem cryptocurrency is fundamentally different from most other coins on the market, because its value lies in creating information material, rather than confirming the usual currency exchange transactions. At the same time, Steem can be exchanged for any cryptocurrency, using online exchanges.
Editor: Yuliya Soroka