Word is starting to filter throughout the mainstream crypto media about Sun freezing a number of large STEEM stakeholders.
Yesterday, an article appeared on Coindesk and, today, Cointelegraph picked up on the news. Now that these two outlets posted about it, we can expect others to cycle the story through. That is how it usually works.
There were a total of 17.6 million STEEM frozen by Sun's actions. It is questioned as to why he did it. Is he being vindictive and looking to deliver some payback? Or is he seeking to hold up the dumping of STEEM so he can push a pump through? Perhaps it is a bit of both.
At the same time, we saw the price of HIVE crash. It dropped down to 12 cents in a quick period of time. Was that because someone was dumping HIVE tokens? A lot of games being played right now it seems.
In the Coindesk article, @theycallmedan had this to say:
Dan Hensley has been a large holder of steem who now supports Hive. "I think Steemit Inc.'s 'community witnesses' ... are panicking because the price is lower than Hive," Hensley told CoinDesk in an email. "So now they are stopping the largest accounts from powering down."
Ironic how a day after the article posted, this is no longer the case.
With such low trading volumes, it is not difficult to manipulate these markets. Sun certainly appears to have enough money to do that. Limiting the sell side on STEEM while also pushing a dump on HIVE could do that. It is unknown how many tokens Sun received in the HIVE airdrop. It is very possible he loaded up on STEEM just before the airdrop to be able to get his foot in the door there.
The question many have is this harming one or both ecosystems?
I would say Sun's actions are not being well received within the broader crypto community. What he is doing tends to go against the tenets that most have. That said, it is evident he could care less. Tron never had the best reputation yet that did not stop his activity. In short, he seems to feel he is above it all.
As for Hive, at this point, any publicity is good publicity. The crypto community looked like it was behind the community members who forked Steem. With Sun, it gave everyone a common enemy.
Hive benefits by having its name out there. While this is all taking place, Hive is going to keep getting mentioned. This means that the door is opened to put our offerings on the table at some point. Unlike Steem, who many thought was dead for the last few years, Hive is letting everyone know there is a dedicated community behind it.
The last few weeks saw most of the developers focusing upon the conversion. This will likely keep taking place. However, we are starting to see some Hive-based applications emerge. The first one to go live will likely be EXODE. This game went through its pre-sale over the weekend and is set to launch in Alpha very soon.
It was a project that was going to be on Steem but, with all that took place, made the decision to shift over.
In my view, we are looking at expanding at just the right time. The present economic system is going through a major collapse. This is going to harm billions around the world as the fallout from all of it unfolds. It is here where opportunity is presented.
When people get desperate, they become open to new ideas. For much of the world, the developed part at least, things were fairly comfortable the last half decade. As long as someone could upgrade their IPhone every few years or the latest episode of the Kardashians was on, all was well.
Now, with things collapsing at a historic pace, many believe the recovery will be very slow. Economies that are in free fall tend not to reverse quickly.
Crypto-economics offers a much different solution. One of the things that was lacking was the network effect. In short, people were not getting involved on a large enough scale. That could be changing. As the desperation grows, our story becomes more compelling.
Hive already made some noise in its first two weeks. It is something that we need to keep doing.
In every catastrophe, there is opportunity.
Here are the links to the two articles mentioned:
https://cointelegraph.com/news/steem-soft-forks-to-freeze-176m-tokens-held-by-former-witnesses
https://www.coindesk.com/steem-witnesses-freeze-3-2m-in-latest-tit-for-tat-with-hard-fork-insurgents
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I think the coindesk article title, talking about "Steem Witnesses" that freeze funds for some accounts is highly misleading. All Steem witnesses that were against this move, have been unvoted as witness by dev365, the account controlled by Justin/Tron.
And as this title is misrepresenting facts, it also reflects poorly on DPOS as an consensus model.
Personally I think that the birth of Hive after the sybil attack by Justin is testament of the true power of DPOS. You cannot buy a community.
I agree. I think what took place is a validation for it although we do need to make some alterations to the governance model.
But the community, in the end, asserted its will by forking and Sun is obviously asserting his.
There perhaps more dump to come and hive price will floor to 0.01 each. That is what I am waiting for. My $1000 USD is patiently waiting for that buy buy buy moment. Don't be sad be happy instead you had the capability to fill your bags with more hive.
$1000 put into HIVE at .01 would get you in a very nice position.
A strong ORCA on that purchase only.
Yes, instant Orca at JS madness. I started to like JS now... To be honest when bitcoin hit an around $3000 floor I am waiting steem at 0.01 but didn't happened.
I hope HIVE drops even further so that many of us can get a lot of cheap HIVE in the right/strong hands. We probably have 3-4 months of HIVE dumping before us. When the steemians are done selling their stack, we will see the price explode.
I would agree @ew-andpatterns.
To me, it is always good when a currency ends up in stronger hands to start. Clear out those who are not really interested or going to flee with every bump in the road.
I have no idea on the time frame but I cant argue with the 3-4 months of dumping.
It will be interesting when you have enough on a chart to apply EW to HIVE.
It's probably going to be a big corrective pattern before the first impulse starts.
That's very common for altcoins. Basically the chart is irrelevant before the correction is done. That just means I will buy the expected dips, especially when Steem is 2x HIVE like it was this morning (in Europe).
Amongst a few (or many) other people I also decided to power down on the Steem blockchain. Recently, with a few (or many) other people, I started to buy Steem Monsters/Splinterlands cards with my liquid Steem. I do not know what the majority of the users are doing with their liquid Steem nowadays, but Steem Monsters/Splinterlands is a very good and enjoyable game, and it looks like a good investment too. To be honest, it became my favorite blockchain based game. If you also choose Steem Monsters/Splinterlands, then good luck and have fun. All the best.
Thanks to Justin's shenanigans, I was able to 3x the size of my account this week. Great time to buy Hive! With Steem and with fiat. And with what's going on with corona, all my friends are really interested in connecting with new people online, so i am pushing really hard to help grow this community now. I am all in.
Awesome post, I loved this part and totally agree with you; In every catastrophe, there is opportunity.🐝😃👍 Upped 💯
I actually saw this coming and I didd mention it one of the early days of hive fork in the Telegram chat. Immediately, the hive witnesses lost their witnesses position on steem, it was a great risk to their investment.
In my opinion, they would have maintained their witnesses on steem (though that would have been very costly) until about 50% of their stakes have powered down. That would have been a way to even boost hive the more.
In any case, it's time to move forward with hive development that waste time thinking of spilled milk.
its sad on how he managed to destroyed what others took years to built in the matter of weeks.