Steemit is the next generation of social applications which incentivize users for engagement on their platform by leveraging the power of blockchains and crypocurrency.
Important to note that Steemit is not a fully decentralized application (where entire data is stored in distributed manner), but only a blockchain based data model is distributed to leverage the power of crypto-currency to remunerate its users.
Steemit is not based on decentralized platforms like Ethereum.
The project was founded in 2016 by Ned Scott and Dan Larimer, creator of BitShares.[
Using a blockchain enables rewarding comments and posts with secure tokens of value. User accounts can upvote posts and comments, and the authors who get upvoted can receive a monetary reward in a cryptocurrency token named STEEM and US dollar-pegged tokens called Steem Dollars.
Some journalists and people say that Steemit is a social network on the blockchain. But, frankly, after using Steemit, you will realize that there is no social aspect as such. You are not friends with anyone. What Steemit might compete with is Reddit on blockchains, where people truly get incentivized for their contribution.
Profile URL has to be hosted on a different website. You cannot upload it directly.
The asset types:
- STEEM : Tradeable tokens that may be transferred anywhere at anytime.
Steem can be converted to STEEM POWER in a process called powering up.
- STEEM POWER: Influence tokens which give you more control over post payouts and allow you to earn on curation rewards.
Part of your STEEM POWER is currently delegated to you. Delegation is donated for influence or to help new users perform actions on steemit. Your delegation amount can fluctuate.
- STEEM DOLLARS: Tokens worth about $1.00 of STEEM, currently collecting 0% APR.
- Steemit has the head start in right direction , to bring an incentivized social network. Where the content creator and the viewers are remunerated for their effort. This is completely different approach as compared to existing eco-system where sites like facebook solely make billions of dollars based on the user generated content , which tries to keep the network engaged by having people check out their ads. This approach does not provide any value or wealth distribution to the people who make the social networking actually work. Steemit is breaking this norm with philosophy and technical expertise of decentralization of value and infrastructure.
- It is a great place for people to post original content and get paid for their work.
- You can trade the Steem crypto currency directly in the market and convert it into Bitcoin or any other currency.
- It can get really confusing and complicated for a general user.
- If you loose or forget your password. You will be permanently blocked. You will have to create a brand new account with a new phone number. And you will loose your wallet. This is extremely dangerous, especially since people are trading Steem as a digital currency. So, using Steemit wallet might be problematic, if you loose the credentials.
- Steemit is still new and is still building its audience and content. That makes it hard to find new interesting content.
- One of their co-founder Dan Larimer had resigned and started a new venture. So, focus of the entire core development team might be of concern.