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But that would decrease the hesitancy to downvote too. As it is, most users will pause before using more than 2 or 3 downvotes.

That is the intent. Currently users who fight abuse for the good of the platform are actually penalized financially.

No. Not unless they heavily self vote.

Their downvoting in JUST cases is positive for their real investment..THE STEEM that they have powered up.

If Downvoting is too easy....abuse will be worse because you can downvote everyone/anyone and not lose your Voting Power. The current system makes most people weigh the cost...and, in theory, only downvote to help protect their longterm investment.

They lose out on curation rewards.

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