Ladies and Gentlemen,
Steem has been a fun ride. Like a rollercoaster. But in reverse.
Fast as hell going up. Slow, slow, slow as Aunt Jemima's toe jam coming down.
It's engineered as if we live in an alternate universe with different laws of physics. And guess what - it didn't prove anything - it just reinforced the reality that value can viewed through the lens of physics. And yes, perspective is a manifestation of physics. Now, the physics of reality are working against us. And they will continue to do so because the laws of physics do not change.
As I pointed out yesterday (https://steemit.com/saving/@bobsunday/price-will-continue-downward-unless-we-make-a-simple-change), the only way to fix STEEM is to re-engineer the emission (inflation rates).
There are going to be some challenges in this. One is status quo. One is political, meaning ego and incentives from the large voices in STEEM. One is selecting the best alternatives (new inflation algorithms). The latter here is the most important. We as a community can come to the solution. We can put pressure on Dan and Ned to make the changes. Hell - they may even be relieved if we tell them the better alternative. I'm wiling to bet they are going to be very tired of schlepping for a coin with backwards economics that scare investors off at every turn. If this coin had simple economics, imagine the market makers and investors that would have already been attracted here.
Bottom line - we need to suggest the better alternatives and get Dan and Ned to implement.
Dan and Ned are going to be very hesitant to suggest changes because of the blowback they anticipate from community members who flip out whenever ideas of change are proposed. They can fork the code and go elsewhere. So we need to ask them for what we need from them.
So the only solution is for the suggestions to come from us - the community.
Here's my proposal.
1. Witness rewards are paid as STEEM at a rate that covers costs. (Kill the payout in SP).
2. Kill the Power Down contract of two years. Change it to 4 power down payments over four weeks. Also if powering down - then no voting power for that stake.
3. Those in SP get the opportunity to earn from accurate CURATION. AND 5%.
This proposal kills the long term spillage of STEEM POWER. STEEM POWER as it is today will suffocate the system. There will be slow and long seepage that never ever again allows the price to go back up. No matter how much ad revenue steemit or whoever generate to create buy pressure. The seepage will not be overcome. No matter how many speculators are doofed into buying Steem - the price will not sustain upwards.
Therefore Steem Power in this system needs to change. Payments in Steem Power need to change.
If we change it, we have a bright future ahead. No other crypto has so many people and talent so well organized. It wont take much to go get STEEM into the hands of those Wall St. traders if there isn't asinine 110% inflation.
Now. I want to hear from you. Your comments. your suggestions about how to dial these knobs differently. AND WHY.
@everyone @smooth @steemed @recursive @roadscape
@ned @dan @luminati
It's not hard. Use simple economics. Kill the Steem Power contract. Upgrade the code. Move on. Grow this thing to the MOON.