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Thank you. This makes sense. I assume Steemit Inc is using Facebook/Reddit auth as a defense against countless spam attacks, and they're just weighing the presumed value a new user will add to the network vs the investment in paying for the new user.

Thanks for good question. I was confused with the same issue. It seems that account creators(like Steemit, Inc) are investing on new users for the long term growth of steemit. I have few more follow-up questions:

  1. Why do they keep talking about minimum balance required to 'transact' weekly? Transaction fee on steemit is totally free. I don't understand why.

  2. also in the white paper it says the fee is gonna be around $1, but for me i got 14.522 STEEM delegated, which is too much. and it says that delegation amount fluctuates in accordance with market situation

  3. in the white paper, it says user may remove the delegation at any time(page 23). Here, the user refers to Steem, Inc?!

  4. Is Steemit, Inc sacrificing their interest(via SP) when creating new accounts? (if so, I feel so thankful)

Thanks for reading, God Bless you.

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