The fiat -> STEEM problem is definitely something that needs to be addressed. Unfortunately the regulations in the US are a nightmare. It would be interesting though if there were a front-end website that could charge for ads (under this new system) and handle the fiat->STEEM conversion in the background. I'm not a lawyer, but it seems like it might not be regulated the same way since the person paying in fiat is not really buying cryptocurrency - they are just paying for ads.
You are viewing a single comment's thread from:
Yeah personally I think there are a couple different ways that portion of it could be handled. Let's pretend a company like Steemit INC utilized some system like that and did a 50/50 revenue split on those kinds of ads. They could take 50% of it and buy STEEM and do distributions in STEEM Power to accounts that qualify under certain criteria utilizing some sort of engagement metrics....etc. That way it would create buy support for STEEM. Or just not have to dump as much of it which would have the same effect on the market. Then if everyone is getting SP distributions the money would be vested to begin with.
Yeah I don't think there would be any issue with US regulations if part of the money was used to buy STEEM and then distributed to users but then again it also could get interpreted as paying users commissions....etc and then suddenly the same laws could apply where if the person goes over like $500 they would possibly have to issue 1099's like affiliate commission sites or adsense does. That is a headache for sure. It seems to make it a lot less of a headache if there is a way to distribute out of the reward pool or give people more of an influence over the reward pool with delegations.
That could be one way around it. Have the "Ad fund account" and when people meet certain criteria they could get delegations which will give them more power for a period of time. I don't like that idea as much but it could reduce a lot of headaches.
Well one of the differences between the ideas you propose and mine is that mine is really 100% decentralized. Nothing would require a centralized party in order to use / make it work. Individual websites would offer front-end services on top of the protocol, but they would not be doing anything special that could not be replicated if they were to disappear.
Yeah that is a cool feature for sure. With Advertising I'm not entirely sure that a totally decentralized mechanism for doing it wouldn't get out of control . You addressed the NSFW stuff but I fear that ICO scams and ponzi schemers could go out of control. Kind of like on CoinMarketCap there was Bitconnect and LaserOnline ads all over the place.
I don't know what the right answer is on that stuff because I'm sure a lot of people got sucked into that stuff through the ads but how much did it really hurt the reputation of CoinMarketCap by allowing those? Ultimately I still go to CoinMarketCap so I can't say it destroyed their rep and they made a lot of money as a byproduct of those systems
i wonder if someone could work with coss- i think they plan on bringing fiat pairs to all crypto in the exchange
I'll pass the info on to Steemit's exchange team.