RE: How Does Steemit Reward System Work? Complete Research Paper on Steemit Economy and Reward System!
Thanks for asking.
A fixed amount of Steem is available in the reward pool everyday. For exact amounts, please visit @dragosroua post that I mentioned in the post. It's an FAQ on Steemit rewards.
The price of Steem on any given day determine the $ value of rewards distributed everyday. For example if Steem is $2 and total 50,000 Steem are available for reward pool, the total rewards distributed would be $100,000. However, if Steem is $0.80, rewards tumble to $40,000. Value of vote also fluctuates with Steem's price because the total amount is fixed so the value comes down or goes up proporionately with change in Steem's price.
As mentioned in the post, annual inflation is at 9.5 % at the moment and it will decrease by roughly 0.5 % every year until the inflation rate remains just 0.95 % (a 10x decrease from the initial rate). From thereon, the inflation rate will be fixed and only 0.95 % of the total supply will be made available for reward pool and witnesses. So, there is no planned hard cap but the inflation is controlled.
I hope I have answered all your questions. I have to admit that your comment contained the most brilliant questions ever put up. Glad to find you and follow you. Please consider connecting. Thanks.
thanks for your kind response my friend, so in order to determine the daily reward pool we have to find 9.5% of total supply and then minus 25% from it for witnesses the remaining amount will be the next day reward pool for authors and curators am i right.
Here's what you are looking for.
This is 75 % of all the Steem available everyday. The authors portion.