Smart media tokens are going to be an incredible addition to the STEEM blockchain. It is going to be something that really adds value to what is taking place on here.
With the announcement of them going fully live in March 2019, we can start to plan ahead how they will interact.
Thus far, we have a few active applications that are slated to use the SMT protocol when it is released. They are first going to be released on using ERC20 before being converted over. Over the past couple months, using these applications has taught me the value of what is going to be introduced.
I often point to @steemhunt and @actifit as examples of what is going to be ahead of us. We need to take what we are seeing now and expand it out hundred-fold. That is how powerful this all can be.
Each application set up on the STEEM blockchain has the ability to pay out three different ways. Steemit uses STEEM, SP, and SBD. As we noticed over the last week or so, all payouts now are in STEEM and SP. SBD is not being created at the moment; it will resume once the blockchain determines the debt ratio is back in line.
The fact that applications can be paid out in three tokens is extremely important. This is what allows individuals, especially smaller accounts to leverage that activity on this blockchain.
To start, all application posts are on the blockchain. It matters none how one accesses it. Being on @steemhunt is the same as being on Steemit. All applications read the same data and post directly to the blockchain.
It is for this reason that one gets paid out in STEEM and SP for activity on those different sites. STEEM is the primary token on here and will always be paid out. The content/reward pool applies to all posting, commenting, and upvoting done, no matter which interface is used.
We must bear in mind that the essence of the Smart Media Token protocol is to allow entrepreneurs to create a mini-STEEM. All the features of this blockchain and the system that comes with it are available to those using this soon-to-be released technology.
Again, using the present applications as an example, people now have the ability to earn both Hunt and AFIT (the @actifit token) by interacting with the STEEM blockchain. Through the use of a self-created reward system, in addition to the one offered by STEEM, each application puts tokens in people's wallets. This is on top of any STEEM that is earned.
For example, on @steemhunt, one can upvote a post just like on STEEM. When using your voting power, it mirrors STEEM. A week later, whatever curation is due will be paid. The same is true if you leave a comment that gets upvoted.
The difference here is that upvoting a post on @steemhunt also gets one rewarded in Hunt. Over time, those who are active on this platform are able to accrue those tokens.
Another way to leverage these applications is to gain upvotes from the main account. Both @steemhunt and @actifit have delegation that makes their upvotes worth a lot more than the average vote. When a post or comment is upvoted by these accounts, the amount of STEEM earned (either in STEEM or SP) is compounded.
So as we can see, the opportunity to earn STEEM plus an application token increases our earnings. However, there is another factor that might come into play. Remember, there is the opportunity to earn three different tokens. If we choose to get paid all in SP (one of the options for our posts) and we get the application SMT, that leaves room for a third one.
The other day I mentioned @TOKENBB. This is a forum that is going to be created as a plug in for Wordpress sites. Hence, anyone with a site built on Wordpress (all 75M) could add a forum that is tied to STEEM.
This opens up the possibility for @TOKENBB to create a token for their forums. Anyone who posts content in that forum, regardless of the site, is going to interact with the STEEM blockchain. Like before, this will earn STEEM. If that site has a SMT, that could also payout. Finally, the third slot could be occupied by the @TOKENBB token which pays across all of the forums used.
By the Spring, the impact of posting through a site like Steemit is going to be reduced (unless they create another token which @ned hinted at). The reason for this is because people are going to earn two or three tokens for the same effort. It is not only going to be what one posts that is important. Where the posting is done is going to matter also.
We are already starting to see this. Those who are posting their daily walks done using the @actifit app are receiving upvotes based upon their performance. The last time I checked (about a week ago), this was worth about $.45 if one hit the 10K level.
STEEM is being called the blockchain of opportunity. Here is a prime example of the opportunity people have to increase their holding. It is crucial to remember that SMTs will all be paired with STEEM. That means that anyone can use those tokens to buy STEEM and power up. I write this only as an option since some of the SMT tokens are most likely going to be worth holding.
If one is serious about STEEM, he or she will get involved with an application. This is a major bonus at present since the ones that are now operating are paying a premium to people for being early adopters. This is something that I think all should seek to take advantage of. @steemhunt is a wonderful example of how quickly one can earn Hunt simply by doing what is normally done on STEEM. I also would keep my eye on @TOKENBB since forums are extremely popular. That plug in has great potential.
One final thought: With HF20 coming up, the application are going to have the ability to on-board their own users. This will be not only helpful to the blockchain, it will also enhance the value of the applications. Imagine if an application like @actifit was able to bring a couple hundred thousand people to this blockchain via their Android (and soon to be released IOS) app. With that many people earning the token, an entire ecosystem is going to form around it.
The rewards just keep multiplying on the STEEM blockchain.
If you found this article informative, please give it an upvote and resteem.
Images from Steemit.com.
Yes, the potential is enormous and it is great to see that we now have a clear roadmap ahead of us with actual dates. We have been waiting for a long while now and at least developers can move forward with confidence that the promises will turn into something tangible within the next 7-8 months.
As a side note, I notice you're 100% powering up this post. This shows great commitment and I suppose it makes sense now that there is no SBD at the moment and saves the hassle of powering up the 50% steem! I might follow your lead going forward.
Great post and good insight. Thanks~!
Why do you power up 100% @taskmaster4450? Given the fact that you are an amazing writer, you must have a good reason for it? A reason that I don't know of perhaps? :)
Right now, without SBD, you are receiving the same amount of steem either way, the option to power up is just a liquidity choice now.
No advantage to having SBD right now as a payout since I power all I receive up anyway.
Hodlers of SBD might be wise to get paid in it but if powering up anyway, take it in SP and STEEM. There is almost no premium payout right now on SBD.
Thanks I might be doing the same than!
Love Actifit. Super upvote daily. Following.
I am excited for this, just another evolution of steemit which continues to grow regardless of prices in the crypto-space.
Thanks for this great insight. I'll check them out. I see that you're also active with BitShares.