STEEM has been pumping recently, in pure price terms it's outperformed HIVE.
However if we factor in STEEM's MASSIVE 27% SBD debt ratio we need to reduce any current price by that amount, so it's performance is rather LIMP.
Any increase in the STEEM price is STEEM/ SBD whales playing a chicken and egg game playing the two currencies off against each other.
STEEM is basically a toxic bubble waiting to burst (although when it bursts depends on Justin Sun's exit-strategy timeline, which may be months or even years down the line).
Prices below taken from 16.00 GMT 25th Oct 2023.
The current FAKE STEEM price NOT factoring in SBDS...
According to Coin Market Cap the current total supply of STEEM is 446 Million with the latest speculative PUMP giving Steem a Total Market Cap of $140 million.
HOWEVER, this total supply and TMC do not take into account the amount of Steem Backed Dollars in circulation, these are listed separately, despite being INTIMATELY tied into the potential STEEM price. (There's a hint in the 'backed').
There is a total supply of 12.5 million SBDs and with a current price of $2.97 that gives SBDs a TMC of around $37 Million.
But these SBDs are really just $1 worth of STEEM, any value higher than $1 is a fictional nonsense created by probably whales playing a speculative chicken and egg game with SDB and STEEM: whoever chickens out last by converting their SBDs to STEEM looses out the most as SBD eventually plummets back to its peg.
NB this could happen at any moment - the current STEEM-SBD debt ratio is 27%, on a chain that no one gives a shit about other than something to extract value from.
In short, STEEM is a bubble full of shit waiting to burst.
The true value of STEEM factoring in the SBD debt
I wanted to compare the actual TMC and value of STEEM on the same terms as HIVE (See further below), where SBD is included at $1 into the total equation.
I'm not actually sure how to work this out, but I think I've got the range right:
Higher real value of STEEM = $0.29 (STILL A FICTIONAL PRICE)
I got this by taking the current SBD supply of 12.5 Million and multiplying it by SBD at $1.00. This gives us the BEST case scenario for the STEEM PRICE.
This gives us $152 worth of more STEEM which means we add on 36.6M STEEM (dividing $152M by the current STEEM price of $0.34) which gives us a Total REAL circulating supply of 482M STEEM.
Divide this number by the current price and we have a REAL STEEM PRICE OF $0.29.
NB This method assumes that there are enough mugs out there to actually soak up that HBD at the current inflated price.
REAL CURRENT MARKET PRICE FOR STEEM = $0.25
Probably more realistic is to take SBD at face value. If we do that then we're looking at creating 125M more STEEM to bring the Total Supply up to an astronomical 571M STEEM, which divided by the current TMC gives us a much more REALISTIC STEEM PRICE of $0.25.
Back to that STEEM DEBT RATIO:
$0.34 (STEEM PRICE) * 27% (STEEM TO SBD DEBT RATIO) = $0.09 cents, which = $0.25.
So that's it, STEEM = $0.25.
PERIOD.
(Note, again prices worked out at around 16.00 GMT 25 OCT.)
HIVE: RELIABLE PRICE DATA FACTORING IN HBDs!
According to CoinMarketCap data the current total supply of Hive is 500 Million. And at the current price of $0.34 that gives Hive a Total Market Cap of $170M
NOTE, that unlike the unbelievable crock of shit that is STEEM, the above HIVE figures INCLUDES ALL THE HBDS!!!
That's with HBD valued at where it's supposed to be valued, at its $1.00 peg.
NB we know this thanks to @arcange's daily financial stats:
With the current HBD supply and at a debt ratio of 8% the above chart shows us there are 400M Hive and another 100M Hive 'owed' to the HBDs pegged at $1.00.
So with HIVE....
- we have a functioning pegged stable coin on Hive (or at least stable-ish stable coin), UNLIKE STEEM.
- We have a sustainable debt ratio of 8%.
- We also have a T20 witness that produces these very clear stats for us.
- AND someone (no idea who btw) whose bothered to talk to CMC to make sure the data is accurate for any potential investors!
But with STEEM...
- We have a rogue stable coin that's used probably by whales as a source of speculation.
- We have, as far as I know, no developers producing financial data, just a whole lot of posting and milking.
- And at some point in the future 80% of the value is probably going to get sucked out by Justin Sun when he decides to pull his exit-scam.
Final Thoughts...
In short, don't believe a word about the STEEM price. I would say don't believe a word about what's being developed on STEEM, but I don't need to because there is no development so there is no word!
NB this doesn't mean the market value of STEEM/ SBD won't go higher in the future - with such chicken and egg games, whales may go long, and the biggest Whale in the game - JUSTIN SUN - Well he's got a $6 BN exit-game planned over on TRON, so he's got PLENTY MONEY to pump the shit out of STEEM - he could easily take SBD to $10 on his own and not bat an eyelid.
HOWEVER, as we all know, the real value of STEEM is $0.01, I'll be kind, it'll always have some value for the legacy and lolz.
I'm now going to go and wash my hands, I feel dirty talking about this shitcoin!
POSTSCRIPT: VINDICATED...
Turns out that literally within 30 minutes of me taking the $0.34 STEEM price above there was a massive sell-off of Steem taking the price to, drum roll please.....
$0.21 CENTS!
What a crock of shit~!
Posted Using InLeo Alpha
Posted Using InLeo Alpha
Posted Using InLeo Alpha
