I generally dislike long posts as I do not like reading walls of text, so I try to be to the point and hopefully help out some Steemians. I’ll try to do one a day. I am assuming you have read my previous post on the Steemit feed
Understanding your Wallet
There is a lot of information to understand in your wallet,
STEEM
STEEM is a cash-equivalent. It is a currency like dollars, euros. The difference being it is purely digital like bitcoin. You can spend STEEM on services like SteemBay and possibly sometime in future just like bitcoin. You can invest in Steem Power, cash out or transfer to other users.
STEEM POWER
Steem power represents every Steemian’s ownership of the Steemit ecosystem, like a stock. This number is converted for you, but Steemit actually runs on VESTS. The VESTS of every Steemian get converted to steem power. There is a complicated dynamic where VESTS deflate annually, but I will discuss this later.
STEEM DOLLARS
This represents how much SBD (Steem Backed Dollars) you have. The name already alludes to this being a dollar that is backed by Steem. It is an IOU. It means that 1 dollar worth of SBD is an IOU for 1 dollar worth of STEEM in the future.
Read carefully 1 dollar worth, this does not mean 1 SBD = 1 STEEM, which is the feed conversion I mention in my previous post.
SAVINGS
This is a account that will pay you a % interest on any SBD you have, but it has a withdrawal period of 3 days. The interest varies. If needed I can explain it more in-depth, but the interest is low and I have seen little use of this account
Estimated Account Value
Steemit displays an estimated account value, but that value is not linked to the market rates for STEEM. The conversion is not from STEEM to US dollars. It is your current Steem power * the value in the steem feed.
At the point of writing the actual US dollar of my account was double what was displayed in my wallet
Hope it was helpful,
Tinus
** Images courtesy of steemit.com and Frostburg State University
This platform is the way it works definitely takes more than one bit at a time @boontjie nice explanation for those starting out (wish I had this when I started) loads of research to try to understand.
Greetings from #teamsouthafrica
Thanks. I aim to help.
I am from South Africa too. Is there a page or a group or do I just need to start using the tag?
Yup, you in Cape Town... I am in Durban and Team South Africa Discord Server. I have sent a request for an invite to be forwarded onto you.
https://discord.gg/BZz3Jy
Well explained post.
Thanks. Appreciate the support