Basics of Steem (Part 29) : Example of Author and Curation Reward Distribution
INTRO
INTROThe Tron Fan Club is a specialized community working on some specific topics. As a moderator of the community, I am regularly sharing several tutorials to help newbies. In this series of tutorials, I am trying to share the basic issues of Steem blockchain.
If you understand any topic with examples, you can understand the depth of that topic. Therefore, we always give priority to explaining a subject with examples in the field of teaching and learning. Since in these five episodes we will discuss the issues of reward distribution, so in this continuous discussion, in today's post, I will try to explain the issue of curation and author reward distribution to you through examples. Let's understand the matter from an example.
Assume
- Total payout: 100 SBD
- Author's share: 50%
- Curator's share: 50%
- Authors will receive rewards in both Steem Power (SP) and SBD.
- Curators will receive rewards only in Steem Power (SP).
- SBD to SP conversion rate: 1 SBD = 5 SP
Author's Reward Distribution:
50% of the total payout (50 SBD) goes to the author of the post. The author's reward is further divided between Steem Power (SP) and SBD, with a certain percentage allocated to each. The exact allocation may vary based on the author's preferences and the platform's settings.
Curator's Reward Distribution:
50% of the total payout (50 SBD) goes to the curators who upvoted the post. Curators receive rewards only in Steem Power (SP) for their contributions to the platform's content discovery and curation.
Example Calculation:
- Author's share: 50 SBD
- Curator's share: 50 SBD
In this scenario, let's assume the normal situation where author to receive 50% of their rewards in Steem Power (SP) and the remaining 50% in SBD. Additionally, curators will receive rewards solely in Steem Power (SP).
Author's Reward Distribution:
Author's reward in SBD: 50 SBD * 50% = 25 SBD
Author's reward in Steem Power (SP): 25 SBD * 5 SP/SBD = 125 SP
Curator's Reward Distribution:
Curator's reward in Steem Power (SP): 50 SBD (entire curator's share) distributed among curators based on their voting weights. Total 50 SBD * 5 SP/SBD = 250 SP
In this example, the author of the post receives 25 SBD and 125 SP as their share of the rewards. Curators who upvoted the post receive rewards in 250 SP with the exact distribution based on their individual voting weights.
This adjusted reward distribution model accounts for the SBD to SP conversion rate of the internal market. The price of SBD is determined by witnesses. Sometimes we can see SBD payout is stopped. Then the SBD value converted to liquid Steem to benefit the 50% of the author reward. This depends on the ratio of Steem and SBD price. I shall discuss it later hopefully.
DISCLAIMER |
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I have already shared similar tutorial in Bengali language in আমার বাংলা ব্লগ community. This post is not shared under Self Plagiarism but shared on this platform for educational purpose to maintain tutorial archive. Basically, Steem tutorial series posts are for the newbies in the Tron Fan Club community those who want to know about Steem Blockchain. Hopefully, they will find Steem basic tutorials sequentially at a single place. You can find here the post already shared in another language.
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Your tutorial is informative and important. Thank you for sharing regular tutorials.
Its a fantastic tutorial and I hope more users to go through this. Re-steem done for more attention. Thank you.
You gave a very nice explanation about Basics of Steem. We have a lot to learn from here. Thank you for presenting such a beautiful topic to all of us. Best wishes to you.
This is basic and detailed information and even many old steem users don't know this basic. thanks for valuable information
Great stuff, was paying keen attention as you wonderfully explain the reward distribution on steemit for both the author and curator, it's well understood clearly from you article.