Excellent Article!
However what do you mean by:
Interesting to see the sizeable increase in Steem Dollars this week. This would explain why the Steem Dollar price came under a little pressure this week. It has however began to recover..
As a matter of fact about $75,000 'came into existence'[1] compared to the expected to come at that price levels in the last 7.8 days
[1] this most likely means about that much must have been requested for conversion
Thanks for the post @james-show.
Your links are not working for me...
According to data on steemd.com Steem Dollar supply increased by almost 300,000 this week.
My data is done by hand each week. With screen shots attached. You can check last weeks screen shot on my blog. Unless data on steemd.com is incorrect, my numbers are right.
My point about the reason prices may have fallen was very one dimension I admit, and should have stated it could have been a contributing factor to that outcome. The perception of increased supply is enough to trigger a sell off in all developed markets, however I can't say for sure that is what happened here...
Welcome a response if you disagree.
As I said there is an increase of SD... The point is - at that price level should result in 75,000 more Steem Dollars created, than the one that actually were created.[1]
[1] Steem dollars creted = current 7 day median price * (1/2 * 75% * 2 steem/sec) * 20 * 60 * 24
Ah, I see where you've got that from. We are still distribution mode, your numbers will be hot in just over a year from now..
At the moment Steem Power is being produced at 800 per second, 40 of that goes to Content and Curation Rewards. 75% (30) goes to Creators, 50% of that is paid in Steem Dollars, Price of Steem is $2 so $30 worth of Steem Dollar is created per minute, 302,400SBD per week (roughly)...
See here
https://steemit.com/steemit/@hisnameisolllie/steem-dilution-rate-explained-currently-much-higher-than-you-might-think
My numbers are exactly as yours except that I have, although steel rough, much closer numbers for the prices used (aka previous 7 dais median price) - for the last about 9 days -
3.199
2.798
2.746
2.664
2.420
2.368
2.333
2.240
2.160
@james-show I see your point now. I will look into this.
I wonder whether, because the payout algorithm is now on a 12hr cycle, with Steem price fluctuating, different levels of voting activity, different levels of posting activity, these variable mean that mine and your rough weekly calculation are never 100% accurate.
Each payout is under slightly different conditions..
The apparent discrepency is caused by the conversion of SBD through the convert steem$ option in the system, which i think was james's point.
This conversion actually destroys steem$. So a net gain of 75K when we expect the system to be producing 300K simply means that 225K were redeemed.
I think the point james was trying to make is that its not necessarily accurate to say "75K were created" when thats a net gain. In the same sense as it would be inaccurate to take a situation where 10 babies were born, 5 old people died and say "5 people were created today"