As everybody has noticed for the past week, the SteemDollar(SBD) has been going up like crazy. I am writing this because, until yesterday, I didn't fully realize what it truly meant for us steemians.
Bonus Blog: Because of this, I decided that I'm going to be extra generous to people who write thoughtful and intelligent comments. I hope you are excited about this topic as I am.
The Reality of The Steem Dollar Market
SteemDollars are relatively rare (3,639,983 SBD in circulation). They are only issued via the post rewards to authors. That means that only authors, like you and me, can earn them. We are the first recipients of those dollars in the market. From there, it makes it's way either on the internal market or an external market like bittrex.
There is been an incredible demand for them, nobody knows truly why to be honest, and for that reason the price has been acting like crazy. We don't know how long or how high it will go. It's all a mystery at this point.
What Does It Mean?
The display of rewards in $ under your post is not in US dollars...it's in SBDs. That means that the rewards are much larger that what is displayed to us...when you claim your SBD rewards, your SBD are worth 14X more than what they usely do!!!
What To Do?
I'll try to outline for you your options. It's really not easy to decide which way to go But here they are:
1. Buy STEEMPOWER
If you are relatively new, right now, you have an amazing deal on steem. Right now, on the internal market, you can purchase steem for as little as $0.14 each! It's a really good time to accumulate steem and power up big time with your authors rewards.
For that, you have to assume that eventually, the SBD bubble will pop and get back to what it as been trading for...around $1. I can of stand on that premise but I've been wrong so many times about market that I have taken a little bit of my steem and speculated that it will go up.(just in case I miss out on a massive bullrun)
2. Accummulate SBDs
Massive gains or massive loss. That's the only way I can explain that one. If you think SBD could go to $34, which is a possibility like @ew-and-patterns outlined today in his post, then you keep the SBD you earn and then sell them either on bittrex in exchange for bitcoins or on the internal market for Steem. That's if you are a betting man.
Conclusion
So what are you going to do with this massive rise in SBD? Tell us below.
I can only say three words: power-up, power-up and power-up.
I believe in the future, and the future means growing his/her account as much as possible. This SBD price is a good way to do it at a kind of reduced cost. And this is what I do at the moment. Powering-up any single SBD I get.
Of course, one can argue that getting immediate money is also attractive. But this is IMO a way too short-term vision :) The choice is between a '10 dollars now' and a 'maybe 100 dollars later'. Note that the 'maybe' is of course important. I like betting on the long-term future :)
PS: I deliberately ignore the "immediate money in a week" option that you mentioned in your post :)
I completely agree
Power up is the way to go!!!
Am slowly reaching the 15kSP threshold ^^
$34??? Thanks for linking up the other post. I thought the SBD was on its way down again...
I've considered the recent SBD price as a gift that we can all choose to accept for as long as it lasts. My thought was that it wouldn't last, because it's supposed to be pegged to the USD. But does the market know that? Apparently not :) I don't understand the workings of pegged currencies and how you make sure that a currency stays at a stable price - but apparently it didn't work for the SBD, LOL
So I'm just encouraging everyone to post their butts off at the moment, and hope the prices are still that high in 7 days, when they get paid out. I mean anything above $1 USD is a gift, really, isn't it?
...but $34?? Wow... I'm curious if we will indeed see that. I will make a sell order for that price just in case :) I've done that pretty much every day during the past week and always sold at the top :) Steemit has been VERY good to me this past week :)
Having said all that, I think it would be a great idea to display the post value in USD instead of SBD. For us to have a better idea of our earnings, but most importantly for marketing purposes for outsiders. If anyone comes to this site and sees the REAL value, maybe a LOT more people would be inspired to give Steemit a go...
I just gave you some additional SBD cent!
Apperantly not, lol!
Thanks @freiheit50 :) Good for us, that the market is ignorant ;)
Hi @connecteconomy,
You can see the conversion from SBD to US when using Steem Supply. I took the liberty to use your username in the link.
Oh, thank you @theleapingkoala! I didn't know this site.
I love the social insights! Will take some time to browse through it...
who knows. It's the market. It would make for an awesome Christmas gift wouldn't it?
Absolutely! When I first joined Steemit, I saw someone post about buying a new laptop from Steem and I thought, "Oh, I hope I will be able to do that one day!"
At $34... that would only be 44SBD... I can do that!! :D
I learned a lot from this comment knowing that I'm a newbie. Thanks!
Starting steemit as a newbie and seeing this development increases my vibes and thirst for the sbd, I was told that the sbd was around a $1 when I started and now increasing so fast every minute every second, I just wish I had some sbd in stick this would have changed so many things plus the celebration period there will be lots of cash to spend. But it is not too late I will do the little work I can do and earn some sbd and hope it still stays up.
I feel like the activity on Steemit has increased a lot in the last few days, so there are most likely many people like you who hope the price stays high for another week, so that we might be able to sell off any extra SBD for a good price :) It's a big win-win where the blockchain and community grows, and the users get rewarded with more money!
I was shocked when I saw the price of sbd at around 13$ because I thought the sbd was capped at around $1, Till now nobody knows why they are really manipulating the currency, Maybe some whales are behind no one knows, But all I can say now is people that have this sbd in stocks will make good money as you said * 14 of one's fortune. The increase came at the right time as we are all preparing for the forthcoming Christmas celebration, There will be enough funds to go through the festive period. I just hope it can stay up for sometime, though it went down drastically today as people where actually scared and sold immediately, But if one can take risk, One can keep them till the sbd rises beyond expectations again.
The thing about the SBD is that there's no really good reason to invest in it; the witnesses can decide to print more of it to prevent the high value increase, so it's a huge gamble to hold on to it. It might just fall down to $1 again and stay there.
nice post my friend, well i believe that SBD's are pegged with us dollar and the peoples who are buying SBD's right now on exchanges might not know that SBD is just an internal currency peg with dollar and steem is far better coin then SBD's with no limits and i think once peoples gain awareness about steem coin then i am sure that buying momentum will be shifted back on steem coin, so right now 1SBD worth almost 7 to 8steem coin, i think it is more profitable if we just buy steem coin from SBD's through internal markets and either hold them or convert them to steempower.
You can be right. SBD's were worth 20$, and maybe in a week SBD will cost 1$, as always. Maybe now is better to invest them somewhere else.
This is what I am doing during this SBD price run up. I thought about converting to Bitcoin and make my investment back that I made at the start. However, I am playing the long game and the funds I put into the STEEM platform for SP was not more than I could afford to loose. Maybe in the future I'll cash out to BTC but at the moment it seems more benificial to keep the value in STEEM and power up when needed.
Steem Power is a really good investment if you plan on staying active on the blockchain, and not just have a passive investment. Being able to reward your readers is very good for keeping them around to comment and read your posts ;)
Exactly! This is my goal for my blog at this point in time.
That's good! I think it is the best long-term investment by far ;)
I completely agree with you! The best thing right now is to sell all SBD for Steem, and Power it up ;)
With the massive rise in SBD alot of authors have really earned alot trading their coins for steem or other fiat currencies.
As for me the rise in SBD is a great opportunity for me to increase my steem power because right now 1SBD equals to over 5 Steem. With 20 dollar or more I can rent 1000 steem power or more, so I will be able to curate authors with little or no upvotes on their post, as long as it's original and unique. In turn I earn curation rewards and my Steem power will increase.
Yes man. Make the best of that SBD while it's up in price. Power it up!
Yeah @cryptoctopus. How long do you think the SBD is going to continue pumping? Also, will it ever go back to its normal price $1.
No one knows that, not even @cryptoctopus.
This whole high price of Steem Dollar is indeed a mystery especially to me a newbie..!!
What i am doing right now is making more posts though they are not getting upvotes hahahaha...!
I also plan on Powering Up when i get my small rewards, i even made a post where by i had only 1.814 SBD converted to a massive 12.387 Steem...guess what i did,i Powered Up.
I have also just written post an hour ago stating my regret for not being active on Steemit the last week....
If anyone is reading this,do these 3 things
*Hodl Your SBDs
Smart move! :-) Here is a 2.28 upvote for ya.
I just hope the price of SBD keeps moving, just this comment rewards of 2.28 $ can buy a few christmas Presents for me who is a Ugnadan.....Steemit is a blessing to Africa.
Thanks for the info. A newer newbie is learning here!
I noticed the same in my account and from browsing the platform, there was something up, it took me a while to get it lol. I see where one could get good sp for that, on the flip side of the coin, it may continue to be in high demand in the future due to the limited creation of it. The overall public at large reaction of various cryptos including sbd is a total unknown, with the various government economic failures happening around the world... who knows what someone may value to flee a failling currency. I'm in it for the long run, I may miss the boat...I may get lucky and they go up some more. Regardless of the recent price swings steemit has a bright future, if we are seeing this early it could be a good sign for a few years down the road.
Just converted my SBD to steem. Since SBD are meant to be equivalent to $1, they might come down soon.
make sure you do it via the internal market!
@Cryptoctopus You mean here?; https://steemit.com/market
Why internal market? If it takes 3 days? I prefer Bittrex real time
I am investing right back into Steemit, considering more people are not just hearing about steemit but also hearing about how this market is jumping in value more are wanting in on the ground floor.
I spend my time here because of the people here so Yes here is where I am investing!
Smart move!
It is the people who make steemit great!
Honestly, I do not write and earn here on steemit to trade my money because I honestly need money. I needed some amount to enroll myself to get professional education units.
For now, I work at home through writing alone, so for me and to some are just like me, we take this opportunity as a bonus. This would not just help us alone but also our families.
Well, it is not just earning here right? I also aim to convert some SBD to Steem so that I could increase my Steem Power. I also wish to help my fellow Filipinos and fellow artists in curating their posts because I know my 0.04$ is not enough.
make sure you trade your sbd for steem on the internal market. That's where you'll get the best price! https://www.steemit.com/market
Yes, and there is no third party taking profit from your trade. We steeminas are in OUR market!
i will steem power with it and add value to steem....
bam! Way to go man.
I try this month take out just 100 steem... and the rest I but in my steem power . I hope all get something here.
If this so go more we see steem soon 8 $... but what SteemDollar(SBD) make ... I not know :))) this is so far WOW :)))
Awesome man! Happy for you.
Thank you!! :)
Thanks for this post. I am new here and still trying to learn the intricacies of steem, Steempower and SBD’s. I found this really helpful. Are there any other good resources or posts that you or another reader would suggest for new steemians?
I have created a series for minnows if you are interested:
https://steemit.com/minnow/@cryptoctopus/if-i-was-a-minnow-on-steemit-i-would-part-1
https://steemit.com/minnow/@cryptoctopus/if-i-was-a-minnow-on-steemit-i-would-part-2
https://steemit.com/minnow/@cryptoctopus/if-i-was-a-minnow-on-steemit-i-would-part-3
I was a little too excited then the SBD originally begun to rise in price, so I sold most of mine off at $2 per! However, this still gave me a 100 % profit compared to what I had expected, so I still think I made some profit on it ;) Looking back I do realize that I should have waited longer, but $2 seemed like a really good price at the time!
Anyway, I still made around $150 from it, so just like any responsible adult, I "invested" it in ETH and traded it for digital kitties. I got 10 cute cryptokitties now, so at least I had some fun with the profits from the SBD.
Hopefully the price will stay high for a few more days so I can get some extra money from my pending author rewards! And those are not going to spend spend on any more kitties; no, they are designated for SP!
We have to be grateful for what's we got. It's easy to say "shoulda woulda coulda"
Yes, that is true! That is why I view my 2x profit as a nice thing, despite the fact that it could have been 20x. It is still double as much money as I had expected to get ;)
I think the key to remember is that the amount of SBD in circulation is so low. It doesn't take as many investors to start buying it for the price to start jumping. It is a simple lack of supply. When investors see it jump in price and more of them jump on the bandwagen, then the price just keeps rising.
I feel that the non steemit investors will want to sell of for profit at some point. This could cause the price to crash rather quickly.
You best bet is to either Steem up! by converting through the internal system or sell soon and buy a more stable coin... then by back your SBD on the dip.
I sold most of mine earlier this week for about $6 usd. I am not a risk taker so I was happy with that. Hoping to convert to steem when the prices level out (if they ever do)
Darryl (@dadview) resides in Canada. He is an active member of steemparents and teamcanada
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I chose income over capital appreciation a long time ago. Steem Power is where it's at man. :-)
Do you mean having a future constant stream of variable cash flow as opposed to have inmediate FIAT on my bank? Would you please, expand on your comment "I choose income over capital appreciation", Thanks
I've been accumulating Steem and btc. I wish btc was still less than a thousand because I'd have my first bitcoin by now me thinks.
Happy for you mate!
I think the chance to get Bitcoin for less than a thousand dollars has passed forever.
I concur, but one can always dream.
Interesting, I've never actually used the "market" feature before. Wow, 100 SP for $14 SBD. I think I'll be needing to cash in a little SBD on my next pay out! I'm honestly tempted to play the buy low sell high game with some SBD since it's swinging around so wildly, but I'm afraid as soon as I do the party will be over, and it'll dump on me back to $1. LOL
it's a game of musical chair :-)
I make my family life that little more comfortable with my SBD, a tad boring I know.
Its a wild time though. Incredible to imagine it could go higher. Waht I love most about this is that minnnows should see some massive boosts to profit either of the routes you have mentioned. Even if you only earna dollar from a post it can be ten!
I never thought of it that way either, that the only people who can mine SBD as it were are us... the authors! Wayhay!!
i think in november is the best moment of SBD price, but so unebelievable like a hard pump of SBD price. so , Will Steem be better next time like SBD?
who knows?
I only estimate the price of steam and steam dollars, because this has something to do with the future of steemit. I hope for a better future for steemit. so as to attract more enthusiastic people. that is my personal argument.
if you do not mind and take a minute to see my blog about my story related to steemit activity.
https://steemit.com/steemit/@jonas160/i-m-trying-to-prove-that-steemit-can-be-categorized-as-a-permanent-job
I also really hope about your support. thanks you @cryptoctopus
Converted it all to STEEM and powered up :)
BAM! Way to go man
wonderful assesment. you say that what we do for sbd. according to my opinion my half of SBD i will hold on and the other convert to steem.
I do not have big incomes for Stemit at the moment, I think that I will save up on the power of voice, in the future it will help me increase the income. I read that such a jump was already half a year ago and I think that we will soon return again to $ 1. It is necessary not to miss such a chance...
Well 14x as much is a little exaggerated, as only about half of your payout is in SBD. So it would be more like 7x in that case, but that would mean you still have to sell SBD for 14 dollar each. Still, love this pump! ^.^
Maybe I overdid it with the clickbait?
Just a little ;)
I so like this time it is necessary to use the case, we all have to make a profit, I think the SBD will return to $ 1.
Thank you very much @cryptoctopus for your wonderful helping post. Yes, I am a new here. So, I will try to power up steem. Thank you again.
I think I am going to split the strategy. I have invested in steem previously so with this recent pump depending on price I will sell (SBD) maybe half or a little less now and sit on some to see if it goes up a little higher. It would seem the price should come back down, so I want to make sure to profit a little while it is up :) If I had not bought in I would probably power some up as well, maybe a 1/3 1/3 1/3 strategy.
Could the rise in SBD be directly based on the upcoming SMT release. If you need Steem and or SBD's, to invest in the SMT's, people are most likely positioning themselves to get in early.
I was a dolphin and cashed out to trade for other assets, but now am building to dolphin again. Once thatis accomplished I will be making my posts 50/50 again to accumulate more.
And on that topic, I am so happy that our replies can now be 50/50 to accumulate SBD and Steem as I 100% my regular postings. No doubt about it Steemit is a unique entity!
PS to answer more directly, I will be trading some other assets for SBD as well.
It's really difficult to say why. But it's awesome while it last.
Someone is pumping SBD I have no clue why they are pumping it but they want to pump, I will gain some profits from it and laugh all the way to the bank. But if you look at long term predictions for 2022 these are low numbers for both. I am in it for long term even after 2022..
I hope the effects of this bubble is that it creates a stronger middle class at steemit. I will be investing about a third of my earnings into other crypto since I was too poor to do that before, I just invested my first $50 usd into btc and dash, hope to get some litecoin and eos asap. But the rest of it I'll be putting into steem and steem power cause why the hell not! I don't plan on leaving any time soon. I'm glad I came back from my writing break just in time for all this!
in my opinion, at a skyrocketing sbd price, the thing I'm doing right now is to collect steam that can reach up to six times more with a sbd price. so, because the price of the delegate sp is raw, it's certainly very lucky for me a small fish to do this. at the time the price sbd up to eight times the price of steam, then I plan to buy direct sp delegation with my sbd. but, when I check in @blocktrades, the delegate is not available until now. and I continue to take the initiative to buy steam. this is the thing I'm doing right now. thanks so much. by, @boyasyie
I don't hope a lot of the ladies will call me in 5 years when SBD is $1000.. Hi rival how are you.. lol
It's fascinating how she was short sighted and sent another text after 6 years ..She might have seen the price at 15k......
I also made a post of folks who have texted me wanting me to reexplain Steemit to them.
Thank for this information. I already noticed it a few days ago. There is a third option to deal with the SBD: Buy Bitcoin or DASH. At the moment I prefer buying DASH because of the gorgeous transmission fees of BTC.
In general, we all can be very happy about this situation.
it's demand got hit by the problem in usdt tether coin as per my update and at initially sbd worked same like usdt coin close to $1
very possible.
I did not know SBD was only available to authors to earn firsthand! That is such a neat concept because it really encourages Steemians to be active bloggers and community members which will help the Steemit site grow. Thanks for sharing that information -really helpful for a newbie to crypto! I only had a a little SBD, so I've been converting it on the internal market to power up Steem so far. If I can manage to save a bit more maybe I will convert out and gamble a bit with BTC as well :P Do you think you need a bigger amount (and what number) to convert out to make it worth while??
Bittrex.com change SBD to Steem in real time. Internal market takes 3 days.
oh... I thought it pops up in the wallet pretty quickly after selling in the market, is it not actually available?
NEVER USE THE "CONVERT TO STEEM" BUTTON! ALWAYS ALWAYS GO ON THE INTERNAL MARKET: https://steemit.com/market
Explain why? I am confused. Your Input is appreciated. Enlight me, Please.
I am very new here and still very excited to actually earn money by writing a blog.
I have ~15 SBD incoming in some hours from my first blog post, and I think I will not be able to resist a payout of 100 €.^^
read my last article. Don't use the "convert to steem" button!
What I am doing with my SBD is sending them to bittrex.com. When I see Bitcoin at good price range I buy chunks of it. Wait until prices reach 17.000, then buy Steem and Power Up again.
soo true its amazing what is happening right now! not sure how long the bubble will last tbh :) but steem is a great thing to power up now!
agreed! Thanks for passing by @allasyummyfood :-)
I have been selling them for litecoins for real cash out money. I will probably convert some just steem as I want to have liquid steem it's always been a luxury I spent it all on steempower. I have decent payout coming hoping the high prices continue.
I did not realize the rewards display was not in US dollars. I'm new to this and misunderstood, thanks for enlightening me.
I will buy steem or Litecoin :) litecoin and steem cheap than other coins...
Being new in steemit and knowing the value of SBD brings a lot of excitement to me. I joined last November and almost on my 1st month and already earned about 4usd. I will hold on to my sbd for a while until it reaches the estimated $34 exchange.. How amazing is that happen in the near future.
dont take my word for it, this is a highly speculative move
converting it to steem will be a good idea to use this opportunity in a more wisely manner for a great benefit in future :)
For those who are in this league from the start and have hodl and impatiently been writing without expecting much could now see its fruitful fruits grown up time can change so fast without any expectations
exactly
$34 is not impossible, with the way the cryptomarket is acting up. Let's make more post, upvote, comment and resteem.
Thank you for sharing this @cryptoctopus !
upvoted!
I convert everything that I got to SP, even when i got like 0.1SBD cause my long term goal is to have enough SP
good way to go
sbd pumped up due to the huge investment last two week i saw that and after that it is on the rise
can you post a screenshot of what you are talking about?
now i'm making money in steemit. now i'm actually feeling it ;) @cryptoctopus
@resteemia
reteemed & upvoted & commented & followed
i am selling anything which i have right now its time to invest wisely its massive rise is an opportunity for all of us :)
Make the best of it!